Civitas Social Housing has announced that it has completed the purchase of 9 regulated social housing properties, comprising 42 tenancies, for a total consideration of £7.8m. The properties are leased to Encircle Housing Limited, Auckland Home Solutions C.I.C. and Inclusion Housing C.I.C. all of which are regulated by the Regulator of Social Housing and are counterparties to existing leases within the Company’s portfolio.
About the nine properties
The properties have been adapted for use as accommodation for tenants with learning disabilities and other care needs, and there is a care provider in place at each property. The properties are subject to 25-year leases and rents are adjusted annually in line with CPI over the full period. The company says that the properties will be immediately income-generating with an initial net yield in line with its expectations. The properties were sourced off-market by the Company’s investment adviser, Civitas Housing Advisors Limited,
About Civitas Social Housing
Civitas Social Housing PLC describes itself as the first Real Estate Investment Trust offering pure play exposure to social housing in England and Wales. The Company is managed by Civitas Housing Advisors Limited and is listed on the premium listing segment of the London Stock Exchange. The social homes owned by Civitas are provided on a long-term basis to Housing Associations with a wide range of tenants who vary in age profile and in the level of support that each receives. By acquiring these social homes, and working with Housing Associations, Civitas says that it seeks for tenants to experience a stable, high-quality living environment that offers good visibility of tenure.