The South Yorkshire Pension Fund has allocated £80 million for regional investment in South Yorkshire.
This new funding line will work alongside the SCR Jessica Fund to support the ongoing economic growth of the region.
It will increase regional development funding for the South Yorkshire/Sheffield City Region to over £120 million.
The SCR Jessica Fund has invested £40.5 million into the Sheffield City region since 2013.
CBRE’s Investment Advisory team, part of CBRE Capital Advisors, has been appointed to manage the Fund and will originate and advise on all investments, expanding their existing remit managing the SCR Jessica fund.
The two Funds will operate independently from each other, with the South Yorkshire Pension Fund having complete autonomy over investment decisions.
However, opportunities to make strategic joint investments will be a focus and will enable investments into larger scale projects as well as into alternative sectors, including residential and leisure.
Councillor Sue Ellis, Chair of the South Yorkshire Pensions Authority (SYPA), said: “This is an example of an area where we can achieve the commercial return we need to pay pensions at the same time as ensuring the delivery of schemes which will improve the long term prospects of the local economy.”
John Mothersole, Chair of the JESSICA Investment Board, added: “The commitment by the SYPA to invest alongside, albeit independently from, the SCR Jessica Fund in the South Yorkshire economy is really welcome.
“Not only does it demonstrate a ringing endorsement of the work undertaken by the SCR Jessica to date it also creates more opportunity for investment in the wider South Yorkshire property market, including areas such as residential, where the Jessica has some limitations.”