The document discusses Real Lettings, a not-for-profit social lettings agency set up in 2005 to help homeless people access private rental housing. It summarizes the Real Lettings Property Fund, a £45 million investment fund that purchases properties to lease to Real Lettings. The fund has acquired over 240 homes so far. The partnership between Real Lettings and Resonance, the fund manager, selects properties and tenants. The fund aims to help bridge the gap into the private rental market and create a model for homeless transition and advancement. Examples of tenants and landlords working with Real Lettings are provided.

1. REAL LETTINGS
PRIVATE SECTOR LEASING
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2. St Mungo’s Broadway
• Formed in April 2014 by the merger of two
long established charities, we currently work
across London and the south of England but
influence and campaign nationally to help
people to rebuild their lives.
• We believe no one should be homeless and
that people can – and do – recover from the
issues that create homelessness.
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3. Real Lettings
• Not-for-profit social lettings agency set up in
2005 by Broadway
• Helps people who are homeless or at risk of
homelessness
• 17.5% of LHA housing management charge
• 174 properties in 21 London Boroughs
• Properties leased for 3-5 years, tenants on 1
years AST
• Originally grant funded, now placement fees
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4. Why it worked?
• Under one roof
• Relationships: internal and external
• Tenancy set up
• Set clear expectations
• Advice and guidance – reflect review and
challenge
• Coach for confidence, sign post for support
• Tight void/arrears management
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5. What’s changed?
• Property Procurement is a nightmare!
• Increasing PRS rents in London
• Reduction of LHA from 50th
percentile to 30th
percentile
• LHA capped at 1%
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6. The Real Lettings
Property Fund – why?
• Welfare reform was looming
• Touted our wares to many investors
• Yes – 20% of profit
• No – can’t justify the social outcome
• Resonance agreed to partnership working
• 50/50 on cost of scoping, feasibility and
implementation
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7. What is the Real Lettings
Property Fund
• The Real Lettings Property Fund is a private
rented sector investment fund delivering
commercial returns and significant social
Impact in the area of homelessness
• First Property Fund in the UK to buy
accommodation to support homeless people
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8. Future supply
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9. The Real Lettings
Property Fund
• £45 million capital real estate Property Fund
for homeless people
• Directly invest in property purchasing 240+
one and two-bed homes in Greater London
over a two year period
• The Fund leases properties to Real Lettings
for 7 years
• First close in February 2013 with £16.25
million investment
•
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10. • Identify investors: joint pitch and
information sharing
• Resonance source the properties
• Resonance and Real Lettings agree the
works spec
• The Resonance/Real Lettings Investment
Committee agree the purchase
• The Fund lease the Property to Real
Lettings
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The Real Lettings/Resonance
Partnership

11. Investors
• Big Society Capital, the world’s first social
investment bank: £5 million
• City Bridge Trust: £0.5 million
• L&Q: £10 million
• Esmee Fairburn: £0.5 million
• Lankelly Chase: £0.5 million
• Croydon Council: £10 million
• High net worth individual: £50,000
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12. Social Impact
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• To ‘Bridge the gap’ into Private Rental
Market
• To create a Mode of Transition that works
• To be Innovative and responsive
• To deliver Tenures of advancement

13. Achieving Social impact
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14. Tenant case study
Ricky is currently on methadone, he had gone into rehab after
he left prison and was street homeless for a while. He was
offered his own one-bedroom flat in East London by Real
Lettings in 2013. He was initially uneasy about moving to East
London, not knowing the area and worried about isolation.
However he is enjoying having his own space and security.
“The flat’s lovely. I didn’t want to move to Tower Hamlets, but
when I saw it I couldn’t turn it down”.
Ricky wants to become a black cab driver, but needs to be off
methadone for three years before he can ‘the Knowledge’. He
lowered his dose from 50ml to 5ml, but struggled with the huge
decrease, and started using again. When he realised he was
jeopardising his tenancy and recovery, he decided to increase
his dose back to 30ml.

15. Case study – Real
Lettings landlord
Mr J has been a landlord with Real Lettings since 2009. He has
recently renewed his lease contract for his one-bedroom flat, in
Tulse Hill, London for another three years. Mr J’s property has
been home to GC for the past four years. He is a single male
tenant who was previously street homeless in London and was
supported by Broadway before being referred to Real Lettings
for independent housing.
"I have always felt reassured that Real Lettings is supportive
towards homelessness, hence one of my reasons for leasing
my property to your organisation. I hope we continue to
maintain our positive efforts to engage and re-establish those
vulnerable in our communities".
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16. More information
www.reallettings.com
@reallettings
www.facebook.com/reallettings
Susan Fallis – Director of Real Lettings
susan.fallis@stmungosbroadwaylondon.org
Amy Webb - Real Lettings manager
amy.webb@reallettings.com
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