Impact Investing: Doing well by doing good

Managers attending PERE’s Impact Investing roundtable discuss grappling with a host of structuring and regulatory issues to shape the first generation of real estate impact funds. “Investors require transparency on the balance of impact, perceived risk, and a certain level of financial return,” Marleen Bosma, Director Strategic Business Development, said during the roundtable.

During the roundtable, Marleen discussed Bouwinvest’s impact initiative: “First, there is the social part, which for us is about offering additional affordable houses for the long term, and also providing appropriate healthcare and societal real estate to meet the ongoing needs of currently underserved groups. Second, there is contributing to a healthy environment, which includes minimizing the asset’s carbon footprint, of course, as well as providing services and facilities to promote improved well-being and a more inclusive society.”

Financial return

The balance between financial and societal return is always a key discussion point when it comes to impact. Marleen said: “Investors require transparency on the balance of impact, perceived risk, and a certain level of financial return. It is quite clear that they will have lower return compared to traditional investments, because they want to have that impact, but how do you measure the impact to ensure that it is enough?”

Read the full roundtable here.