Prince Charles is planning to launch a £1 billion property fund, Tellesma. Reportedly the brainchild of the heir to the British throne, dubious investors have been assured that the Prince won’t actually be involved in managing the fund himself.

Tellesma will be run by the former chief executive and chief operating officer of Land Securities, Britain’s biggest listed property company, and Credit Suisse has already begun raising money from Middle Eastern investors.

The fund is expected to focus on the sustainable development of commercial property and brownfield sites. The Prince might even get himself a few bargains – conservative estimates suggest the price of the land targeted by Tellesma has fallen 25 per cent in the first six months of 2008. Many sites are thought to be changing hands at up to a 50 per cent discount to recent valuations.

The Prince’s charity, the Foundation for the Built Environment, will act as a consultant, and a third of the fund will be owned by a consortium of his charities that will benefit from the funds profits.