The Bridges Sustainable Property fund is to invest £5m in care sector specialist developer Castleoak.

The investment will be a joint venture to fund a series of pre-let Barchester Healthcare care homes development projects, to be managed by Castleoak. Initially five cares homes will be developed, with the prospect of additional investment to cover projects.

The care homes will be pre-let to Barchester Healthcare Homes on a long-term lease with an option to purchase the freehold within the first four years.

To qualify for funding under the joint venture, each development will need to feature construction and energy management initiatives which maximise environmental impact and demonstrate environmental leadership.

Simon Ringer (pictured), managing director of the Fund described it as an opportunity to invest with an experienced partner when there is a shortage of good quality accommodation to meet the needs of an ageing population:

“We see our investment as producing positive results on a number of fronts. We believe our investors will benefit from attractive returns through both development profits and strong income returns.

“The investment also provides an excellent opportunity to demonstrate environmental leadership in the design and construction of buildings which typically have high energy use requirements.”

Launched in November 2009, the Bridges Sustainable Property Fund invests in properties, either directly or in join venture, in regeneration areas and where buildings show environmental leadership.