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That
approval be given for the 3% allocation to Greater Manchester
Property Venture Fund, approved by Panel on 11 July
2025.

 

For the
approval of GMPVF to accept the negotiated terms and proceed with a
share sale and early loan redemption, from its investment in a
Build to Rent Joint Venture.

Reasons for the decision

(i)                 
An allocation of 3% of Fund assets
to the Greater Manchester Property Venture Fund was ratified by
Panel on 11 July 2025.

(ii)               
Our partner in a city centre BTR
Development has made a proposal to acquire GMPF’s interest in
the Joint Venture and repay the GMPF mezzanine loan
provided.

(iii)              
CBRE in their role as
non-discretionary manager to GMPVF, has engaged with the JV partner
and negotiated more favourable terms than originally
proposed.

(iv)             
CBRE has provided a Report
(Appendix A), that sets out the alternative strategies considered,
the current market pricing and its view on future market risk. The
report states that the terms negotiated are the best outcome that
could be reached and provides an opportunity for GMPF to exit its
investment within a single transaction at a fixed date in
2026.

(v)               
The exit proposed from this project
will repay GMPVF’s investment in full, along with
profits. 

Alternative options considered

GMPF could continue to hold the
investment, sell its holding at a future date or consider acquiring
the shares of the JV partner. These options have been considered
but would have a much greater risk of loss to GMPF, than the
recommended share sale and loan redemption.