Capital for London: what we will invest in
Capital for London will consider investments that in addition to offering a financial return contribute to our mission of tackling poverty and inequality in London.
Capital for London has a particular interest in property based investments but the type of investments we will consider are varied and could include:
- A community therapy centre needing investment to develop its premises in order to expand its services; this might include the Trust purchasing a property and renting it back to the centre.
- Start-up costs for a community horticulture project offering employment and training to people with mental health issues. Revenue from the sale of plants and services being used to repay the investment.
- An investment alongside a housing association or Registered Social Landlord to develop low cost housing for disadvantaged groups.
- A well-established legal advice project needing finance to bridge cash flow issues caused by contracted funding being paid in arrears.
Size of Investment
There is considerable flexibility in the size of our investments, with each application considered individually. Investments are likely to be in the range of £100,000 up to £1 million. Similarly, the duration of any investment is not fixed and we will consider short, medium and long-term proposals.
Risk and Return
Capital for London is distinct from grant funding and any investments made must provide a balance of risk and financial and social return. We will consider investments that provide a lower financial reward where particularly strong social benefits can be demonstrated and where risk is low. Similarly, investments with a higher level of risk will need to offset this by providing considerable financial and social returns.
Who should apply?
We will consider investment opportunities from any project or organisation that is able to present a viable and realistic proposal. When assessing applications we will consider your organisation’s size, track record, experience, and skills to manage any investment. Successful applications will be able to demonstrate a clear income stream (used to repay the investment), robust planning for the lifetime of the investment, a good understanding of any risks (and how to mitigate them) and reliable monitoring and management systems. This is however not an exhaustive list and each application will be considered on a case-by-case basis.
How to apply
In the first instance, we ask that you submit a brief summary of your proposal (a maximum of two sides of A4) that summarises:
- What the investment is for and how it tackles poverty and inequality in London?
- How it will benefit your organisation.
- To what extent you have developed your ideas e.g. we will need to see your business plan.
- What are the financial and social returns you anticipate the investment will generate?
- The size and duration of investment required.
- Who else you are seeking investment from?
- What income streams or other source of income you will use to repay the investment and interest?
- What risks to the investment have you identified?
If, following this initial proposal, we feel there is potential to take your idea further we will ask you to prepare a more detailed proposal using a form we will provide.
For further information or to discuss a potential investment application please contact:
Capital for London
6 Middle Street
Telephone: 020 7606 6145
From our Twitter
Private renting must be regulated properly to be a viable option for households who are struggling. Many landlords want to do the right thing, but need Govt led support to make this easier. Read about our work on the private rental sector here: https://www.trustforlondon.org.uk/issues/housing/private-rented-sector/ …17 Dec 2018
Everyone deserves somewhere that they can safely call home. But housing is increasingly unaffordable for many ordinary Londoners. We need to build significantly more social and affordable homes to help lift millions of Londoners out of poverty.16 Dec 2018
This study spoke to young black men searching for good city jobs in London. 38% said that the demeanour of people interviewing them for jobs would change when they saw that they were black. https://www.trustforlondon.org.uk/publications/moving-young-black-men-londons-financial-sector-aspirations-and-experiences/ …15 Dec 2018
This study from @justlifeuk found that over half of people in unsupported temporary accommodation reported having no working locks on their doors. Temporary Accommodation Boards would help to make life easier for people in this unwelcome situation. https://www.trustforlondon.org.uk/publications/are-temporary-accommodation-boards-feasible/ …14 Dec 2018