The Equity Impact Reporting Project
Working towards a common approach to impact reporting for equity investors in social and affordable housing
The Good Economy and Big Society Capital are leading research for the Equity Investor Impact Reporting Project, a collaboration of investors and other market participants developing a framework to measure, manage and report on the impact of equity investment in social and affordable housing.
The Equity Impact Project is in the process of developing a common framework to enable investors to measure, manage and report on the impact of equity-based investments in social and affordable housing.
The framework will allow investment to be assessed according to key social and environmental issues pertinent to the social and affordable housing sector. These are housing affordability, social care provision, homelessness and the zero carbon agenda.
An initial position paper will explore the role of equity in social and affordable housing and seek to create a common language to categorise the various models, and consider their approach to risk, return and impact.
The collaboration will seek to build consensus on a standardised set of impact objectives, impact strategies and reporting metrics. This will inform an impact management ‘Best Practice Guide’, which will be based on IFC Operating Principles for Impact Management.
The Good Economy and Big Society Capital led the creation of the collaboration. There are currently 15 partners including M&G Investments, Nuveen, TriplePoint, Trowers and Hamlins, Funding Affordable Homes, LaSalle, Resonance and the Association of Real Estate Funds.
In addition, the project has set up four specialist working groups to engage market participants and build knowledge. These working groups cover registered provider engagement, specialist housing, affordability measurement and transitional supported housing/homelessness.
The Equity Impact Reporting Project will deliver the following outputs over the course of 2021.
•Position paper on the role of equity in social and affordable housing and categorisation of different investment models and their characteristics
•Standardised set of impact objectives, impact strategies and reporting metrics
•Impact management ‘Best Practice Guide’ (based on IFC Operating Principles)
•Template for fund impact reporting
The Good Economy is interested in speaking to all stakeholders of equity-based investment models in social and affordable housing. If you like to know more about the project or express an interest to be involved, please contact Andy Smith, head of housing impact services at The Good Economy.