On Tuesday, global alternative investments giant Nuveen announced that its real estate arm is launching a global impact investing strategy based on enhancing the vitality and sustainability of entire communities by enriching the lives of their residents. In connection with the news, Nuveen announced that Nadir Settles will serve as Global Head of Impact Investing and Pamela West as Senior Portfolio Manager of Impact Investing. Nuveen Real Estate is currently one of the world’s largest real estate investment managers, with more than $152 billion in managed client assets.
The new global real estate sector will provide strategies that address some of the most pressing social and environmental challenges in the U.S., Europe, and the Asia-Pacific region (APAC), supporting growth goals of up to $15 billion in real estate AUM by 2026.
Specifically, the mandate is designed to improve communities by providing supportive services, enhancing residents’ quality of life and financial outcomes, and ensuring affordable, sustainable and climate-safe housing, while at the same time supporting Nuveen Real Estate’s commitment to making its global property portfolio net zero carbon by 2040.
“Nuveen is a pioneer in impact investing and we are competitively positioned to deliver a market-leading sector globally and at scale,” said Chris McGibbon, Global Head of Real Estate at Nuveen. “Under Nadir and Pamela’s leadership, I am confident that this new sector will address some of the most pressing challenges in local real estate across the globe, while creating an avenue for investors to have a significant impact through their capital investment. I look forward to working with a seasoned team of experts to build on Nuveen’s incredible work in the industry.”
The new real estate impact sector will invest in early-stage projects and take an impact-led approach to increase the supply of social and affordable housing by targeting low-income and disadvantaged populations, while also focusing on regeneration projects within healthcare, education, and transportation services.
“By leveraging Nuveen Real Estate’s industry expertise, we are going beyond just affordable housing to focus our attention on community revitalization,” said Nadir Settles, new Global Head of Impact Investing at Nuveen Real Estate. “We see an immediate opportunity to scale our strategy and leverage our leading position in the industry to support tenant well-being and create a more sustainable future. I am honored to have been chosen to lead such a significant sector.”
Settles will report directly to Carly Tripp, Global Chief Investment Officer and Head of Investments at Nuveen Real Estate, and lead an international team across the U.S., Europe and APAC in identifying and pursuing relevant real estate impact investments, while growing the overall sector. Settles will also continue to lead investments as Head of Nuveen’s New York Office.
Last month, the firm expanded its range of impact investing strategies to Europe with the launch of the German living impact platform, led by portfolio manager Tanja Volksheimer, to deliver social and environmental impact through affordable housing. The news also comes on the heels of the final close of the firm’s first global private equity impact platform, which targets investments that promote energy efficiency and an expansion of services for underserved communities.
Nuveen made its first investment in impact in the 1980s and has since invested over $500 million in direct and indirect private equity capital across over 200 portfolio companies in alignment with the United Nations Sustainable Development Goals. Today, Nuveen manages over $5.8 billion across all of its public and private markets impact investing strategies.
“We have been very intentional about bridging our core competency in real estate with community impact,” said Pamela West. “Our portfolio is dedicated to creating change by placing environmental and social impact at the heart of our investment strategy, which ultimately drives better outcomes for residents and inclusive communities while delivering a healthy financial return.”