He has appointed investment bank Credit Suisse to raise the money for the fund, to be one-third owned by the Prince’s Charities, which will benefit from any profits.

It is believed Credit Suisse has  approached several Middle Eastern sovereign wealth funds as well as UK institutional investors.

The fund, called Tellesma, is designed to capitalise on the Prince’s experience in developing the sustainable village Poundbury in Dorset.

The Prince’s consultancy, the Foundation for the Built Environment, will be an adviser to the fund although he himself will not have an official role. However, Tellesma is expected not to develop further villages or even “eco towns” but to focus on brownfield sites and commercial developments.

Former Land Securities chief executive Ian Henderson is the fund’s chairman and Land Securities’ ex-chief operating officer, Mark Collins, will be chief executive.

Charities expected to benefit from Tellesma’s profits include the Prince’s Trust.