T
he Local Government Pension Scheme (LGPS) collective in the UK has invested £100m in impact real estate to accelerate the decarbonisation of existing assets. This move is part of a broader effort by the ACCESS Pool, a collaboration of eleven LGPS administering authorities with combined assets of around £45bn, to diversify into private markets.

    The ACCESS Pool has hired Orchard Street Investment Management to manage its impact real estate strategy. The firm will focus on decarbonising buildings while delivering attractive financial returns. This investment marks a significant step in the pool's initiative to diversify into private markets, according to Mark Kemp-Gee, chairman of the ACCESS joint committee.

    A competitive tender process was held, with Orchard Street selected for its history of impact investing and responsible investing practices. Kemp-Gee expects the partnership to deliver long-term financial returns alongside measurable targets for decarbonisation, health improvement, and social engagement.

    Philip Gadsden, manager partner at Orchard Street, sees the commitment from the ACCESS Pool as a testament to their strong track record in responsible investment. The cooperation with the pool adds another institutional client to Orchard Street's stable, following its partnership with the Brunel Pension Partnership on a social and environmental impact fund.