Triple Point Social Housing REIT has announced that it has completed the acquisition of 24 supported housing properties, comprising 143 units in total, for an aggregate commitment of £24.15m (excluding costs). The properties are located in the North East (20 units), the East Midlands (62 units), the West Midlands (8 units), the South East (9 units), the South West (18 units) and the South (26 units). The properties acquired comprise specialist, high quality homes refurbished for individuals with mental health and other support and care needs. The company says that the properties will generate net initial yields in line with the its investment criteria and returns profile.
24 supported housing properties with new FRI leases for a minimum of 20 years
The Group has entered into new FRI leases in respect of each of the 24 supported housing properties. The leases are for a minimum period of 20 years with the ability to extend to 25 years. These leases are with specialist housing associations Auckland Home Solutions, 28 A Supported Living and Falcon Housing Association. All the housing associations are regulated by the Regulator of Social Housing. The rents received under the leases are subject to annual, upward-only rent reviews, increasing in line with the Consumer Price Index.
About Triple Point Social Housing REIT
Triple Point Social Housing REIT invests primarily in newly developed social housing assets in the UK, with a particular focus on supported housing. The assets within the portfolio are subject to inflation-adjusted, long-term (typically from 20 years to 30 years), fully repairing and insuring (FRI) leases with approved providers (being housing associations, local authorities or other regulated organisations in receipt of direct payment from local government). The portfolio comprises investments into properties which are already subject to an FRI lease with an approved provider, as well as forward funding of pre-let developments but does not include any direct development or speculative development.
Triple Point Social Housing REIT was admitted to trading on the Specialist Fund Segment of the Main Market of the London Stock Exchange on 8 August 2017. It was then admitted to the premium segment of the Official List of the Financial Conduct Authority and migrated to trading on the premium segment of the Main Market on 27 March 2018. The Company operates as a UK Real Estate Investment Trust (REIT) and is a constituent of the FTSE EPRA/NAREIT index.
Triple Point Investment Management LLP is responsible for management of the Triple Point Social Housing REIT’s portfolio (with such functions having been delegated to it by Langham Hall Fund Management LLP, the Company’s alternative investment fund manager).