Real Estate Debt Investment
A catalyst for real estate transformation.
Why invest in real estate debt?
Property is a core component of the economic engine. Debt financing is an effective way to kickstart a chain of positive transformation in the sector.
Private investment in real estate debt can help regenerate the UK. This can be achieved through making use of brownfield sites, repurposing obsolete buildings, or enhancing the built environment.
In turn, more affordable beds are delivered to the housing market, and more energy-efficient stock is brought to the market more quickly.
A catalyst for real estate transformation across the UK
With a 4.3m shortage of homes in the UK, there is an ever-growing need to repurpose redundant buildings and regenerate brownfield land.
At Octopus, we are committed to being a catalyst for real estate transformation.
Our real estate debt strategy focuses on providing flexible funding to best-in-class borrowers for transitional real estate projects.
Watch our video to see Nightingale Quarter’s incredible transformation to a thriving modern community on the site of the former Royal Infirmary Hospital.
Our approach to investing in real estate debt
As a non-bank lender, we are uniquely placed to create value. We aim to capture significant upside potential through our ability to provide flexible transitional lending to high-quality borrowers.
Maximising potential
Lending against fully depreciated properties and land to increase upside potential, while managing risk.
Short-term lending
Minimising exposure to time-related risk, enhancing predictability for investors.
Sustainability
We are committed to creating value for people and the environment, alongside robust returns.
Explore our regeneration projects
At Octopus, we believe that finance can be a force for good. More than just loan providers, we act as catalysts for positive transformation, breathing new life into underutilised spaces and creating vibrant communities.
Explore our diverse range of case studies from across the UK, highlighting some of the regenerative projects we have supported through our transitional lending.
Kickstarting a chain of positive transformation
Property is a critical component of our economic engine. Our real estate debt strategy aims to enhance the built environment through:
Regeneration
Regenerating brownfield sites, repurposing obsolete buildings and enhancing the built environment.
Additionality
Delivering more high quality affordable homes to the market.
Energy efficiency
Retrofitting or bringing more energy efficient stock to market.
Meet the team
Ludo Mackenzie
James Nunn
Nick Westoby
Oliver Cookson
Andy Scott
“We provide strategic financing solutions to ambitious businesses, fostering their growth with bespoke loan structures, not generic offerings. While our approach is deliberate and long-term, the satisfaction of witnessing tangible progress – buildings constructed, communities flourishing, jobs generated – is unparalleled.”
Ludo Mackenzie, Head of Commercial Lending at Octopus
Latest real estate Insights
Powering the UK’s regeneration: How transitional lending can drive progress
Affordable housing: an opportunity for investors to address regional inequality
Opportunity and impact: how LGPS funds can unlock the value in affordable housing
In the news
January 2024
Multiple Keys Needed to Unlock Social Impact
Octopus Investments’ Jack Burnham, Head of Affordable Housing, and Mike Toft, Head of Care Homes, shed light on the UK’s significant funding gap in social infrastructure, and the role institutional investors like pension funds can play in bridging the gap.
Coverage in ESG Investor
December 2023
Octopus holds first close for UK affordable homes strategy
Octopus Investments, part of Octopus Group, has held a £50m first close of its affordable housing strategy, set up to accelerate the UK’s much needed delivery of good quality and affordable homes.
Coverage in Property EU
October 2023
Affordable Homes, Family Businesses and Investment
Jack Burnham, Head of Affordable Housing at Octopus Real Estate, is joined by Helen Keenan, Chief Executive of Grosvenor Hart Homes, in a recent podcast to discuss some of the challenges and possible solutions in the affordable housing market.
Podcast on Family Capital
September 2023
New funding solution needed for UK affordable housing
The UK affordable housing sector offers an opportunity for investors to close a funding gap, a new report by Octopus Real Estate says.
Coverage in Sustain
March 2023
Invest with care
Social care investment has a troubled track record, but more sustainable models are now meeting strong appetite from asset owners.
Coverage in ESG Investor
January 2023
Octopus Investments launches UK Affordable Housing strategy for institutional investors
Octopus Investments has announced it has launched an Affordable Housing strategy for institutional investors, to accelerate the delivery of genuinely affordable homes in the UK.
Coverage in Institutional Asset Manager
January 2023
Real estate investor outlines £300m affordable housing strategy
Real estate giant Octopus Real Estate has launched an affordable housing strategy for institutional investors with a target of £300m in commitments throughout the year.
Coverage in Inside Housing
Our real estate strategies
