DTZ Investors, COLIV Fund I has been recognised as a GRESB Sector Leader for scoring top in sector and region in residential development against the GRESB ESG benchmark.

COLIV Fund I was set up based on a vision of creating places that deliver a meaningful and tangible social and environmental impact. This recognition by GRESB demonstrates how this vision has been put into practice and implemented across the portfolio.

GRESB has become the world’s leading ESG benchmark for real estate investments, enabling participants to drive forward their ESG ambitions through clear insight into strengths, weaknesses and opportunities. In 2022, over 1,800 entities participated in GRESB worldwide, covering $6.9t trillion of gross asset value (GAV) across 74 countries.

The GRESB 5 Star rating recognises entities in the top 20% of the benchmark. The fund achieved an overall score of 97/100, exceeding the GRESB average of 81 and the peer average of 72.

COLIV Fund Manager Chris Saunders: “We are proud our focus to deliver strong ESG standards across the fund has been recognised through a 5-star GRESB rating and our top ranking residential development in the 2022 GRESB Real Estate Assessment. COLIV Fund I has produced two co-living schemes operated under the Folk brand; The Palm House in Harrow and Sunday Mills in Earlsfield. With a further development currently under construction in Battersea. Our developers, Halcyon Development Partners, have been instrumental in helping us deliver exceptional Folk Co-living buildings that exceed industry recognised environmental, social and governance [ESG] measurements. We are delighted with these results and honour them for their part in this accomplishment.”

Nik Dyer, Associate Director at Halcyon Development Partners said: “A 5-star GRESB rating is a phenomenal achievement for the COLIV Fund I and testament to all the hard work that has been put into the fund’s projects to date. At Halcyon, it’s fundamental for us that we constantly challenge ourselves to deliver meaningful social and environmental impact. Our own ESG ambitions and those of our partners are a central focus for projects and we continually look to pioneer initiatives and tools to better our development credentials. The Palm House in Harrow and Sunday Mills in Earlsfield are two exemplar projects where ESG ambitions have been successfully championed from initial project vision to the completed building.

For media enquiries, please contact:

Sarah McClarron, DTZ Investors

0203 349 0218

sarah.mcclarron@dtzinvestors.com

DTZ Investors’ co-living brand, Folk Co-living, on a mission to set a new standard for renting, has launched its second site in London, Sunday Mills in Earlsfield. The building, operated under the Folk Co-living brand by Urban Bubble, opened to residents at the end of October and has attracted unprecedented interest resulting in 50% of the units being leased before opening.

Set along the River Wandle, the building features 315 beautifully designed studios and impressive shared spaces like a roof terrace with 360-degree views of London, a huge co-working space, high spec community kitchen, a gym, cinema room, lounge and on-site restaurant and bar.

Folk buildings are designed around the brand’s key pillars of community and connection, encouraging social interaction and the formation of new friendships and relationships. The building, developed by Halcyon Development Partners, was funded through DTZ Investors specialist co-living investment vehicle, COLIV Fund I, and is the second Folk Co-living development in its growing portfolio.

Constructed by McAleer & Rushe, Sunday Mills features spaces designed by Assael Architecture and design partners Atypical Practice, who together have created spaces for residents to come together and cook, work, enjoy social events, exercise and relax. A restaurant overlooking the river will launch early next year, providing an exciting new food and drink destination for local residents and visitors to Earlsfield.

The site is just a four-minute walk to Earlsfield train station, where residents can jump on a train to central London in just fifteen minutes. Particularly attractive to London renters is the all inclusive bill. In a recent survey, over 80% of Folk residents said the convenience and cost savings of an all in one bill were what attracted them to move in. This includes access to all amenities, the weekly events programme, and covers all bills, removing the worry of rising living costs which many renters are facing in the current climate.

The socially responsible brand has reserved 35% of the studios as affordable housing, with studios starting from just £180 a week for renters who most need them, including 5 studios that are reserved for local young people who were previously in foster care. Folk buildings also commit 1% of net income to local charities and community partners. There has been a strong focus on sustainable design and construction to drive the building’s efficiency and performance and the building is on target to achieve a BREEAM Excellent accreditation. This reflects the Fund’s ESG credentials, with COLIV recently awarded a 5* GRESB rating, scoring 97 out of 100 receiving further recognition as Global Sector Leader in residential development.

COLIV Investment Director Chris Saunders said, “We are really excited to launch Sunday Mills. It is a fantastic co-living building in a great location, so we haven’t been surprised by the phenomenal interest from prospective residents; it’s a testament to the quality of the product the Fund is looking to create and the strength of the Folk Co-living brand”

Dominic Butler, Partner at Halcyon Development Partners said: “I am thrilled to see the launch of Sunday Mills following another successful delivery by our team at Halcyon. I became first involved with this site in 2018. It was clear the site had the right credentials to create a vibrant co-living destination. After navigating the various land interests, I successfully led the acquisition process and transacted on the site in January 2019. The transformation of the site from an industrial storage yard to a game changing co-living building is breath taking and an achievement the team and I are hugely proud of.”

Folk launched The Palm House, Harrow earlier this year and has already successfully stabilised, achieving full occupancy within 6 months of practical completion. A third Folk Co-living building will launch in 2023; a 270 studio scheme in Battersea, with 31% onsite Affordable Housing.

DTZ Investors is currently capital raising to fund a future pipeline of opportunities. If you would like to know more, please get in touch with Chris Saunders.

For media enquiries, please contact:

Sarah McClarron, DTZ Investors

0203 349 0218

sarah.mcclarron@dtzinvestors.com

Driven to deliver convenient, well-designed, and functional workspaces that are inaccessible for most renters in London, DTZ Investors has today announced a new partnership with ARC Club to provide high quality professionally managed workspace for its Folk Co-living residents at The Palm House in Harrow.

Funded through DTZ Investors Co-Living Fund I (COLIV), DTZ Investors create interior designed co-living buildings with state of the art amenities that renters can be proud of.

ARC’s appointment as workspace manager at the Palm House will see them introduce a number of professionalised amenities, including second screens and state-of-the-art printing, as well as community event programming and an on-site professional customer service offering.

Joining forces with ARC Club also means that The Palm House’s residents will have access not only to an ARC Club space in their own building but to ARC’s growing network of spaces all over London, so they can work from wherever they choose.

Chris Saunders, COLIV Fund director, says: “DTZ Investors are delighted to partner with a brand that shares Folk’s vision and values of delivering well-designed, flexible, and accessible spaces that build community and connection. ARC Club will provide premium workspaces included in residents all inclusive bill, giving residents access to The Palm House and ARC Clubs across London. We’re also looking forward to welcoming members of the local community into our spaces to collaborate and create together, building a diverse and inspiring environment that everyone can be a part of.”

Hannah Philp, Co-founder at ARC Club said: “We believe that having places to convene in our local neighbourhoods is vital for physical and social wellbeing. We are social animals! As such, we are delighted to be partnering with Folk and adding productive, design-led  workspaces to their co-living portfolio. With this partnership, ARC will increase its network to 5 flexible workspaces dispersed across London and access to all of them will be included in ARC Membership, which is free to all Folk residents. The introduction of an ARC Club at The Palm House will also increase the amount of shared space that is available to the wider residential area and enhance the positive local impact of each building. ARC is committed to transforming how we live, work and thrive together in our local neighbourhoods”.

For media enquiries, please contact:

Sarah McClarron, DTZ Investors

0203 349 0218

sarah.mcclarron@dtzinvestors.com

DTZ Investors announces full lease up of its first Folk Co-living asset, The Palm House, in Harrow and Wealdstone, North London.

The 222-unit co-living building launched in late February 2022 and is the seed asset funded through COLIV Fund I, the world’s first large-scale co-living fund.

Rent for studios at The Palm House is inclusive of all bills, with zero deposit, and gives residents access to a large co-working space, surround sound cinema, a state-of-the-art gym, and a weekly event programme. The eight-story, 87,000 sq ft building also features two terraces and a MasterChef style communal kitchen, dining, and living space with panoramic views across London. Residents can move into the building in as little as 5 days and sign up to flexible 3–12-month lease plans.

COLIV Investment Director, Chris Saunders, said: “The Palm House provides an exciting alternative to Harrow’s traditional residential offering. We had a clear vision when building the Folk Co-living brand, with a real focus on creating homes with incredible spaces that help people connect, free up their time and make a positive impact on their local area.

“The successful and speedy mobilisation of this asset is the combined effort of COLIV’s Fund team, Folk’s operating partner Urban Bubble, brand and experience designers Off The Wall, and our first class team on the ground at The Palm House.

“Our team is empowered to deliver the brand vision through excellent service and high operational standards, which will be key to maintaining occupancy across our growing co-living portfolio.”

Paul Naylor, General Manager at The Palm House, said: “The Palm House takes all the best bits of co-living and combines them with state-of-the-art design and innovative technology to make for a more sociable and hassle-free rental experience.

“The Folk brand has been created by a team with years of experience and knowledge of residential property and co-living. Since launching the building on 18 February 2022, we have averaged almost 200 enquiries a week, with 65% of our residents opting to lease for 12 months. On average residents stay with us for 10 months, and we are increasingly seeing those on shorter contracts renewing or extending to stay with us for longer.”

DTZ Investors will launch Sunday Mills in Earlsfield later this year and will incorporate valuable learnings from The Palm House to its second purpose built co-living development, the largest of its kind in the UK. The COLIV Fund’s third asset is under development in Battersea with DTZ Investors currently capital raising to fund a future pipeline of opportunities. If you would like to know more, please contact Chris Saunders.

For media enquiries please contact:

Sarah McClarron, DTZ Investors

0203 349 0218

sarah.mcclarron@dtzinvestors.com

Harrow Association of Disabled People marks its 50^th birthday with an event at Folk at The Palm House, Harrow.

The organisation has been operational since 1972. Over the past 50 years, it has helped thousands of disabled people each year access information, advice, and support, providing high-quality services that focus on delivering disabled people equal opportunities and the right to live independently.

DTZ Investors co-living fund (COLIV) launched Folk and its first co-living site, The Palm House in Harrow, North London, earlier this year. Working with Halcyon Development Partners, we selected HAD as Folks first charity partner soon after.

COLIV Investment Director Chris Saunders said, “we partnered with HAD as part of our community engagement programme which is funded through our commitment to reinvest 1% of operating profits back into the community”

“When we heard about HAD’s plans to mark their 50th year with a special event, we knew we could help. Over 100 people, including Mayor of Harrow, Cllr Ghazanfar Ali, were welcomed through the doors of The Palm House to celebrate this incredible organisation, and we’re pleased to say it was a great success!”

A temporary information centre was erected in the site’s co-working space where guests could obtain the latest information about impairment services and entitlements. Speeches followed, gathering a large and engaged audience. Gladys Janes MBE guided the audience through HAD’s rich history. With 50 years of service, she was undeniably the most qualified person to deliver it! But perhaps most memorable of all was hearing the first-hand account from a member attending their first public event in two years, who, before being directed to HAD’s services, told a raw tale of barely surviving through lockdown that many people would find relatable. A humbling account that reminds us why this partnership is so important.

Louise Weldon, Chief Executive Officer at HAD, said: “It has been wonderful to form a relationship with DTZ Investors, Folk Co-living, and Halcyon Development Partners so that we can collaboratively work together to support disabled people within Harrow. Becoming a dedicated partner of the Community Investment Programme at The Palm House in Harrow has given HAD (Harrow Association of Disabled People) use of meeting rooms, space for staff members to work and an opportunity to hold events in the property throughout the year, which will help us enormously. We do not have any meeting rooms so this partnership will be invaluable. In return we are looking forward to providing workshops, training, and information on disability issues. In the longer term we hope that residents of The Palm House will gain more of an understanding about the barriers disabled people face in society”

The Palm House will offer residents the chance to volunteer for opportunities with the charity, and several residents were on hand at HAD’s 50^th event to help the sites first-class café and bar team in Mule serve food and drinks to guests as they enjoyed a full day’s programme that included an evening of live music and entertainment.

For media enquiries please contact:

Sarah McClarron, DTZ Investors

0203 349 0218

sarah.mcclarron@dtzinvestors.com

DTZ Investors has announced the launch of Folk, a new co-living brand, with the opening of The Palm House in Harrow and Wealdstone, North London.

The Palm House is a 222 studio amenity-rich co-living building designed by industry-leading architects Hawkins Brown and interior masters Atypical Practice. Using extensive in-market research, Folk’s co-living spaces have been created to erase the pain points of traditional renting and provide a better resident experience. The Palm House has been designed around Folk’s key pillars of community and connection, providing shared spaces that encourage social interaction and the formation of new friendships and relationships. The brand will give its residents the opportunity to enjoy new experiences every day through a varied programme of events, ranging from morning yoga to evening hackathons.

COLIV Investment Director Chris Saunders said, “We are delighted to launch Folk’s first co-living property to the market, providing an aspirational living experience at an affordable rent.  As well as being a great place for residents to live and work, the extensive amenities the building provides will also have a positive impact on the local community as we look to work with groups in the Harrow area.”

Located in Zone 5, a 4-minute walk from Harrow and Wealdstone station, residents can reach Euston in as few as 12 minutes. The Palm House is a home for “everyday folk who want more than every day renting”. Among its many features, the site boasts 27,000 sq ft of communal space, including a gym and fitness studio, an open-plan MasterChef style kitchen, a co-working space with meeting rooms and conference call facilities, two outdoor terraces, a screening room, a games room, lounge and an onsite bar and restaurant.

The Palm House’s impressive coworking space is open to residents and the local community. Set across 4,000 square feet, the area boasts 70 desks, cosy break out space, meeting rooms,quiet desk booths and conference call facilities. Interior designers at Atypical Practice used salutogenic design principles that make coworking feel like working from home in the company of friends.

The eight-story, 87,000 sq ft building, developed by Halcyon Development Partners, aligns with DTZ Investor’s commitment to reaching net-zero across its portfolio by 2040 and has achieved a BREEAM Excellent accreditation. The Palm House is a 100% renewable energy-powered building that utilises new systems and technologies to manage energy, air, and water.

COLIV is serious about positively impacting the local community. Folk buildings will commit 1% of net income to local charities and community partner initiatives. Folk has already formed a partnership with the Harrow Association for Disabled People to support the local charity.

Folk has also partnered with Mule to debut their first London bar and eatery. Mule will provide a public-facing dining experience, serving carefully sourced quality ingredients from breakfast in the morning all the way through to cocktails in the evening

Residents also benefit from free access to an events programme, ranging from cooking classes to film clubs. All Folk buildings will also have a budget set aside for resident-led activities and events.

Folk will be launching two further co-living developments in Earlsfield and Battersea. Earlsfield is a 315 studio co-living scheme, with 35% onsite Affordable Housing. The scheme will open in October 2022. Folk will then open a 270 studio scheme in Battersea, with 31% onsite Affordable Housing in Q1 2023.

For media enquiries please contact:

Sarah McClarron, DTZ Investors

0203 349 0218

sarah.mcclarron@dtzinvestors.com

DTZ Investors has forward funded a 260+ room scheme in Battersea for its co-living fund.

The Collective, which is the fund’s property and asset manager, will build and operate the development on Chatfield Road, in the London Borough of Wandsworth. When completed it will be the third asset in the fund following the forward funding of The Collective Harrow (announced October 2019) and The Collective Earlsfield (announced October 2020). The Collective Battersea will provide 35% affordable housing, available at discount market rent for people with starting salaries of £22,000 per annum.

Chris Cooper, Chief Executive Officer at DTZ Investors, said: “Co-living as a sector has been remarkably resilient during the pandemic. The desire for human connection remains very strong and demand is highest in buildings that combine high quality living spaces with a wide range of communal amenities.

“The acquisition of The Collective Battersea marks another vital step toward fulfilling the investment strategy of our dedicated co-living investment vehicle, which now has a completed GDV of over £200m. Once fully capitalised, the fund’s portfolio of co-living buildings in prime locations across the capital will be home to 3,500 people. As well as providing shared spaces for people to spend time with one another and helping to tackle the loneliness problem, we are giving back through The Collective and the fund’s Community Investment Programme to support local social, environmental and charitable projects.”

Reza Merchant, Chief Executive Officer and founder of The Collective, said: “We’re pleased to close this deal with DTZ Investors and the COLIV fund – a further demonstration of institutional demand for our vertically integrated co-living model. We strongly believe consumer demand for our product to be counter-cyclical, and we’re pleased to see this validated in the current challenging economic climate.

“We’ve seen continued robust enquiries and bookings across our portfolio throughout the pandemic, driven by consumers’ increasing prioritisation of value for money, convenience and human connection in their choice of home. The Collective Battersea will be one of a number of our projects to go into construction in central London in 2021, all offering one-of-a-kind shared spaces, an inspiring events programme, and a vibrant community to call home. Our mission is to build a global network of spaces that enable people to lead more fulfilling lives and positively impact the neighbourhoods they’re part of, and this highly sustainable development with subsidised rents for local people is another big step on our journey.”

Strong alignment to ESG objectives

The fund is committed to delivering a sustainable housing solution that fosters diverse and supportive communities and promotes health and well-being, whilst delivering value for money for co-living residents.

The Collective Battersea will achieve BREEAM Excellent certification (aligned with the other buildings in the fund) reflecting the ambition to contribute to sustainable housing solutions for London.

The new affordable homes will be marketed exclusively to local people and key workers first, with nomination rights for the council reserved for subsequent occupants. The Collective Battersea will also include a gym and studio spaces, which will facilitate events based around health and wellbeing, that can be utilised by the wider community, as well as roof terraces, and outdoor spaces providing immediate access to the River Thames.

DTZ Investors’ and The Collective’s Community Investment Programme is already up-and-running, awarding grants to initiatives working to end homelessness, increase social mobility and create inclusive communities. In 2020 the fund awarded £10,000 to Harrow Mencap to pay for their Home Online Activities Network for a period of three months.

Location

The Collective Battersea is located just three miles south west of central London, with excellent rail links, with two stations within a 12-minute walk. Battersea itself benefits from a wide range of amenities, from culture and arts centres to a wide selection of restaurants and cafes. Convenience stores and a medical centre are in close proximity, as are a range of green spaces including Battersea Park, Clapham Common and Wandsworth Common.

COLIV momentum

This latest deal follows the launch of the fund, the world’s first institutional co-living investment vehicle, in October 2019 by DTZ Investors. It aims to raise total equity commitments of up to £650 million and to acquire, or forward fund, between six and ten co-living assets in London, with a target gross asset value of £1 billion across the life of the fund. In July 2020 DTZ Investors announced that Merseyside Pension fund had joined other investors, including the Strathclyde Pension Fund, in investing.

For media enquiries please contact:

DTZ Investors

Jeremy Durrant, Jamie Till

07792 918 648 / 07581 480 083

dtzinvestors@instinctif.com

The DTZ Investors Co-Living Fund (COLIV) has entered into a £32m development facility, representing 65% Finance to Cost, to construct a 222-unit co-living development in Harrow. Finance has been structured on a Shari’ah compliant basis and is provided 50/50 by Bank of London and The Middle East (‘BLME’) and Bank ABC in London. CBRE’s Debt & Structured Finance team, part of CBRE Capital Advisors, acted as sole debt advisor to DTZ Investors.

Launched in October 2019, COLIV is the first dedicated co-living fund in the UK, launched in partnership with the world’s leading co-living developer and operator, The Collective. The development in Harrow was the seed asset in a planned portfolio of best-in-class, large-scale co-living assets with a target gross asset value of £1 billion. COLIV is also onsite constructing a 310-unit co-living scheme in Earlsfield.

Upon completion in Q4 2021, the 87,000 sq ft development will be operated by The Collective, and will benefit from 27,000 sq ft of communal amenity space, including a gym, cinema room, library, communal kitchen, laundry room, games room, roof terrace, a restaurant and co-working space.

Chris Cooper, CEO of DTZ Investors commented: ‘We are delighted to be working with BLME and Bank ABC on the recapitalisation of COLIV’s development project in Harrow. This commitment from both banks is another demonstration of the strong investor appetite to access the rapidly evolving co-living sector. Construction is progressing well onsite, having just topped-out the 8 storey frame, meaning we are now less than 12 months from opening the doors. Plans are well afoot for delivering an affordable housing solution that will focus on building inclusive communities that focus on the health and wellbeing of our members”.

Paul De Croos, Head of Real Estate Finance at BLME, commented: ‘We are pleased to be working with DTZ Investors and Bank ABC to see this exciting project to completion. Co-Living represents an important new phase of development in the real estate market. For BLME, this is a unique opportunity to support a forward-looking, high quality community accommodation project that is focused on creating solutions to the challenges faced by a generation of younger renters.’

Keith Leach, Head of UK Real Estate Finance at Bank ABC, commented: “Bank ABC is excited to join BLME in working alongside DTZ Investors to deliver the COLIV Fund’s first development project. The Co-Living sector is a developing market, offering modern cost effective accommodation with a range of amenities to suit the lifestyles of young renters. For the Bank, this is a great opportunity to work with DTZ investors, who are highly experienced real estate investors and The Collective who are experienced operators at the forefront of this growing sector.”

Paul Coates, Head of Debt & Structured Finance UK & EMEA, CBRE commented: “The need for attractive and community-led accommodation has been a growing trend for younger generations moving to urban locations. Financiers are increasingly recognising the growing opportunities in the sector as a result of these structural changes and are demonstrating competition to finance best-in-class assets. We are delighted to close the development facility for COLIV and would like to congratulate all involved, including BLME and Bank ABC for getting this forward funding development facility across the line.”

In 2019, CBRE advised on over €6bn of debt transactions across EMEA. This represents the team’s first financing of a co-living asset pipeline at a time when the sector is developing significant interest from investors, operators and occupiers.

For media enquiries please contact:

DTZ Investors

Kate Fearnley

02033490224

kate.fearnley@dtzinvestors.com

DTZ Investors has forward funded a 310 room scheme in Earlsfield for its co-living fund, in a deal requiring c.£70 million of total investment.

The Collective, which is the fund’s property and asset manager, will build-out and operate the development on Trewint Street, in the London Borough of Wandsworth. When completed it will be the second asset in the fund following the forward-funding of The Collective Harrow, which was announced when the fund launched in October last year.

Chris Cooper, Chief Executive Officer at DTZ Investors, said: “We launched our co-living fund last year with the aim of providing high quality, flexible and socially responsible housing in London. The development we are announcing today at Trewint Street in Earlsfield is a fine example of that aim.”

“We want to have an impact beyond the four walls of our real estate by connecting with our local communities and promoting better health and well-being for our residents. The Collective Earlsfield will provide 35% on-site affordable housing targeted at key workers. The extensive indoor and outdoor communal spaces help to knit the community together and combat loneliness. A bespoke Community Investment Plan has been agreed with The Collective and the Local Authority. Together, we will work with local charities to give back to the causes that matter most to the community.”

Reza Merchant, Chief Executive Officer and founder of The Collective, said: “We are excited to progress The Collective Earlsfield through to construction in partnership with DTZ Investors under the COLIV fund. We’ve been impressed with the proactive approach taken by Wandsworth Council to unlock the delivery of this project. The co-living asset class is demonstrating its resilience in the context of the COVID-19 pandemic and the current economic climate, and we remain focused on delivering our pipeline of projects in the UK and across continental Europe and the US.”  

The development will be funded with a mixture of equity, drawn down from the fund, and debt, which will be provided by alternative asset manager Cheyne Capital.

Richard Howe of Cheyne Capital comments:  “We are pleased to be supporting this exciting co-living project in Earlsfield, which fits well with our thesis of originating investment opportunities in value-add or development assets in attractive locations, in partnership with high-quality borrowers with whom we can form a long-term relationship. This latest activity by DTZ Investors demonstrates the growing institutional demand for the co-living sector, which we believe offers a compelling risk/reward dynamic for investors today.”

Strong alignment to ESG objectives

The fund is committed to achieving sustainable housing solutions, which foster a diverse and supportive community, promoting health and well-being – whilst delivering value for money for co-living residents.

The Collective Earlsfield will achieve BREEAM Excellent certification, reflecting its ambition to contribute to sustainable housing solutions for London. More than a quarter of the 120,000 sq ft development will be dedicated to resident amenities to encourage social interaction, including a café, co-working space, events space, a communal dining and kitchen area, cinema room, laundry facilities, shared lounges and a library. Outdoor spaces adjacent to the River Wandle will encourage residents to spend more time outside, and a gym and studio space will facilitate health and well-being focused events. 35% of the rooms will be affordable housing at discount market rent, with five rooms reserved for young people leaving foster care in the borough at significant discounts to local market rents.

A Community Investment Plan led by The Collective will also be put in place during the development period which will identify a number of charities and social groups in the local area that the fund will work with to help resolve issues that are important to the local community.

Location

The Collective Earlsfield is a less than five minutes’ walk from Earlsfield Station, which provides mainline trains into London Waterloo in approximately 13 minutes. The adjacent River Wandle and Wandle Trail is a cycle and pedestrian only route that follows the River Wandle from its mouth at the River Thames in Wandsworth, through three boroughs, to Croydon.

COLIV momentum

This latest deal follows the launch of the fund, the world’s first institutional co-living investment vehicle, in October 2019, by DTZ Investors. It aims to raise total equity commitments of up to £650 million and to acquire, or forward fund, between six and ten co-living assets in London, with a target gross asset value of £1 billion across the life of the fund. The first acquisition was The Collective Harrow in Q4 last year. In July 2020 DTZ Investors announced that Merseyside Pension fund had joined other investors, including the Strathclyde Pension Fund, in investing.

Building on this momentum, the fund is targeting further deals before the end of the year.

For media enquiries please contact:

DTZ Investors

Jeremy Durrant, Jamie Till

07792 918 648 / 07581 480 083

dtzinvestors@instinctif.com

• COLIV is targeting total equity commitments of up to £650 million to buy or forward-fund between six and ten purpose-built co-living assets in London, with a target gross asset value of £1 billion over the ten-year life of the fund
• The fund has a high social impact agenda, aiming to provide an innovative solution to help address London’s housing shortage and tackle loneliness in the Capital
• £70 million of seed capital secured at first close
• The fund makes first acquisition with forward-funding of The Collective Harrow

LONDON, 14 October 2019 – DTZ Investors (DTZI), a specialist European real estate fund manager, and The Collective, the leading global co-living platform, have jointly launched the world’s first institutional large-scale co-living fund with the aim of raising total equity commitments of up to £650 million.

The new fund – COLIV – will seek to acquire, or forward-fund, between six and ten co-living assets in London, with a target gross asset value of £1 billion over the ten-year life of the fund.

DTZI will act as the investment adviser to the fund, which consists of primarily institutional capital, with The Collective acting as asset manager and property manager. The partnership provides the platform and vehicle for institutional investment in the co-living sector across London over the next ten years and is a clear signal of increasing institutional appetite and demand for large-scale co-living spaces.

The fund offers an innovative solution towards addressing London’s housing shortage by increasing the supply of an alternative and much in-demand housing typology. A heavy emphasis will be placed on positive social and environmental impact with the potential to drive down carbon emissions through the delivery of a sharing economy housing model, and the creation of buildings with ground-breaking energy performance. Social impact is a key driver for the fund with the objective of delivering tangible and meaningful impact at the neighbourhood level for each and every project, and the opportunity to increase the delivery and diversity of homes across London.

The fund has launched with £70 million of seed capital, with DTZI and The Collective equally committing to the £10 million Sponsor Co-Investment.

The fund has also announced its first acquisition with a deal to forward-fund The Collective Harrow, a new co-living destination in the London Borough of Harrow that will start on site immediately.

The Collective Harrow will comprise a nine-storey building with 222 shared living rooms, 5,000 sq ft of incubator employment space targeted at local start-up businesses, and 6,800 sq ft of world-class shared spaces including a public-facing concept dining experience, gym, library, cinema, mindfulness lounge and a ‘MasterChef’-style communal kitchen on the top floor. The Collective is development manager for The Collective Harrow, where construction is underway with completion targeted for 2021.

The fund will seek to provide investors with an attractive core-plus return, by building a portfolio of best-in-class large-scale co-living assets in Greater London over a four-year investment period. In addition to investing in operating assets, COLIV will also forward-fund developments which will be acquired with pre-agreed occupancy targets to provide stabilised cash flow to meet the fund’s income requirements.

The fund has identified a strong pipeline comprising both existing assets from The Collective, as well as new investment opportunities.

DTZ Investors’ CEO, Chris Cooper, said: “We are delighted to announce the launch of COLIV, the world’s first large-scale co-living fund in partnership with The Collective. It’s an important step in the development of our business to be leading the market in the delivery of innovative solutions to London’s housing shortage. This fund will bring forward a strong social agenda through: the buildings and places we create; the manner in which we engage with our communities and; the way in which we foster wellbeing for members.

Co-living is an ideal response to the needs of London’s rented housing market, building on the principles of quality, convenience and community. Modern London life is a conundrum: urban living and technology have managed to create a society that is constantly connected yet alone. People and communities are being pushed apart, contributing to significant loneliness and mental health issues.

Our aim is to have a positive impact beyond the four walls of our real estate, and in this regard, I am thrilled to have teamed up with The Collective, a business we have grown to know very well over the past few years. We have been very keen admirers of how they have pioneered this market, delivering great spaces for their members and neighbourhoods alike, while investing in the needs of their communities.”

Reza Merchant, CEO and Founder of The Collective, said: “The launch of this fund, which aims to bring £1 billion of institutional capital into the co-living market in London over the course of the next 10 years, marks this sector’s arrival as an institutional asset class. We are honoured to be taking the fund forward with DTZI given our shared vision and belief in creating places founded upon meaningful and tangible social and environmental impact.

“Our experience in creating, delivering and operating co-living spaces across London over the past 10 years, paired with DTZI’s deep rooted investment advisory expertise and institutional relationships, provides the foundation for a sustainable operational model that will underpin returns to investors. It also allows us to significantly grow and deliver our pipeline in London in the coming years whilst retaining long-term involvement on all of our projects.”

For more information visit: www.COLIVfund.com

About COLIV

COLIV is the world’s first fund dedicated solely to the co-living sector. The fund, which was set-up by DTZ Investors (DTZI) in partnership with The Collective, is seeking to acquire, or forward-fund, between six and ten purpose-built, large-scale co-living assets, all in the London area with an estimated gross asset value target of £1 billion. DTZI is the investment advisor for the fund, while global co-living pioneer The Collective is the asset manager and property manager. Alongside the investment opportunity, a guiding principle of the fund is to create broader positive impact. This includes making a positive impact to members; the neighbourhoods invested in and more widely on London’s housing shortage. Members will benefit from the strong sense of community, and management focus on wellbeing and personal development. COLIV will also help cohesion by opening its buildings for use by local community groups. A portion of the fund’s rental income will also help local community initiatives which have aligned social objectives. For more information, visit www.colivfund.com