Civitas confirms cash raise likely, portfolio on-track – NAV edges up to 107.92p at end June from 107.87p at end March. Rents received as normal with no COVID 19 impact during the quarter. 1.35p dividend declared for the quarter as planned – on track for 5.4p for full year.
The portfolio was valued on a yield of 5.26%, unchanged from March. The Royal Institute of Chartered Surveyors has confirmed that there is no material uncertainty in the valuations of specialist supported housing (unlike much of the rest of the property sector).
During the quarter to 30 June 2020, Civitas completed the acquisition of three freehold properties comprising 25 tenancies for a total consideration of £3.9m. This includes the purchase on completion of the first smaller phase of the new state of the art healthcare facilities in Wales.
Civitas Social Housing is in active discussions over the potential acquisition of a range of high-quality existing and new build properties to be acquired at completion without the need for forward financing. New debt facilities being negotiated now will finance some of this (enhancing the cash cover of the divided further). However “The board is currently considering options for raising additional capital to enable the company to continue to acquire further assets within its pipeline of attractive investment opportunities.”
CSH : Civitas confirms cash raise likely, portfolio on-track