Newcore achieves first institutional closing of sixth value-add UK social infrastructure fund

• Participating investors include local government pension schemes, a European fund-of-funds manager, and private wealth
• NSS VI has c. £175m of investment capacity for immediate deployment into UK social infrastructure
• Value-add strategy remains focused on creating or upgrading real estate enabling essential services such as education, healthcare, transport and waste management
• Across core-plus, local impact, and value-add strategies, Newcore has raised approximately £225 million in equity over the past 12 months

Newcore Capital (‘Newcore’), the B-Corp, UK-focussed real estate investment manager specialising in social infrastructure, has achieved a first institutional close for the latest fund within its flagship value-add series, Newcore Strategic Situations VI (“NSS VI”). The close includes equity commitments from a large local government pension scheme (“LGPS”) pooled fund, a further direct LGPS scheme and a European fund-of-funds manager, with continued support from existing investors and the addition of two new institutional investors as limited partners in the fund series.

The closing means that NSS VI immediately has c. £175m of investment capacity to deploy across opportunities in UK social infrastructure in sectors including healthcare, education, childcare, transport, waste management, energy, and storage. These sectors meet essential societal needs, and NSS VI investment will acquire and improve real estate, through planning, leasing and refurbishment, to enabling the affordable provision of such services, supporting the ongoing needs of UK society. 

NSS VI is a close-ended vehicle with a fixed life spanning seven years. The fund has an equity hard cap of £300 million and aims to deliver a net levered IRR to investors of 12-14% per annum, with a maximum leverage of 40% LTV. 

Newcore expects NSS VI to deliver significant positive social impact, alongside financial returns, given the fund will be taking planning, leasing and refurbishment risk to create and improve assets and this change can and will be measured and reported.

NSS VI follows the continued success of Newcore’s value-add series, which has deployed a cumulative £275 million into creating or improving UK social infrastructure in the last 24 months. Since securing £190 million in equity commitments in May 2023, the predecessor fund, Newcore Strategic Situations V (‘NSS V’) is on track for deliver target returns and measurable positive social impact.

The UK continues to face a structural shortage of high-quality, affordable, and sustainable social infrastructure, while much of the existing stock requires significant investment to remain viable. This supply-demand imbalance constrains service delivery at a time of continued pressure on public finances.  Newcore’s value-add strategy channels long-term private capital into this gap, repurposing, upgrading, and expanding essential assets to help providers, including the NHS and local authority service commissioners, to deliver more efficient societally critical services. Newcore’s approach aims to create high-performing, future-proof buildings with secure, inflation-linked income, generating assets that are both institutionally attractive and socially valuable.

Newcore Capital CEO, Hugo Llewelyn, commented: “We are delighted to announce the first institutional closing of NSS VI, in difficult capital raising markets. Our strategy aims to solve the shortage of capital available to improve and lease affordably the buildings and land critical for the dignified delivery of UK social infrastructure services. Our track record of strong, sustainable returns over the last 15 years and this successful first closing, supports our belief in the benefits of being a B Corporation. Our thesis is consistent: if you look after all your stakeholders in the capital management ecosystem in a responsible way, including the communities in which you work and the environment, you will do a lot better in the long-term for your investors and for yourselves. This has never been truer than in the current, volatile, geopolitical times.”

Newcore Capital COO Tim Thorp added: “The first close for NSS VI, welcoming new and existing investors, reflects investor confidence not only in our value-add strategy, but also in our capital management capabilities given what continues to be a highly selective fundraising environment for real estate. Building on the strong performance of previous funds, we are pleased to bring together a group of like-minded investors to achieve a first institutional close for NSS VI.”

Today’s announcement follows a second close for the Newcore Social Infrastructure Income Fund (‘NSIIF’), a £375 million open-ended core-plus vehicle owning functional social infrastructure real estate assets, in December 2025.

In addition to NSIIF, Newcore manages core-plus separate accounts on behalf of family offices, and the Newcore Swansea Social Infrastructure Partnership, a £51 million local impact fund with Swansea Council to deliver social infrastructure, social housing and social care in the city-region. In total,

Newcore now manages £750 million of social infrastructure assets and associated dry powder, having raised approximately £225m in equity over the past 12 months.