Solution: WHAT the solution is about? HOW it goes beyond the state of the art?
The Urban Heritage Development Fund (UHDF) is a specific fund designed to support investments at urban level, particularly cultural heritage investments.
The UHDF is designed to support investments at urban level through the creation of a portfolio of urban cultural heritage projects to make manifest the strategic vision of the city. It aims to achieve financial returns as well as environmental and social impacts. Different from an individual project investment, the UHDF vehicle invests its resources in a portfolio of projects. In this way it becomes possible to coordinate multiple investments over long time horizons, capture synergies across different types of projects, and improve or tailor the financial structure of individual projects (e.g. debt, equity, guarantees). The portfolio is grounded on the idea that several urban projects can reinforce each other, and in so doing achieve greater stability in their financial returns, resilience to shocks, and ultimately, reduce the financial risks. We obtain this result not only by considering the financial returns of the projects, but also in accounting for their environmental and social impacts.