Family Housing for Service Personnel (‘FHSP’) was INPP’s first US investment. Approximately US$48 million (£32 million) was invested in October 2015, with a follow-on investment of US$32 million (£25 million) in October 2016, and an additional investment of US$45 million (c.£37 million) in October 2022,into a series of fully yielding mezzanine debt instruments, maturing in 2052. 

Financial close
Concession term

Both tranches of mezzanine debt were acquired from the Federal Home Loan Mortgage Corporation (Freddie Mac) and are underpinned by security over seven operational public-private partnership (‘PPP’) FHSP projects, relating to a total of 19 operational bases for US service personnel and comprising approximately 21,800 individual housing units. The investment matures in 2052.

Service personnel housing is one of the longest-standing sectors in the US for PPP projects (or in the US, ’P3‘). The introduction of private sector capital and resources in the provision of housing for service personnel was established by Congress in 1996 and has attracted capital in excess of US$30 billion from domestic and international investors.


Project capital cost


Housing units




  • A secure revenue stream via the US Service Personnel’s Basic Allowance for Housing paid to service personnel which creates an indirectly government sourced revenue payment;
  • High barriers to entry as the number of on-base housing units is limited;
  • Positive social credentials through provision of family housing;
  • No residual value exposure; and
  • A geographically diverse portfolio of housing units across the continental US, including some of the largest and most critical installations.

SDGs Supported