Civitas Social Housing (CSH) has announced that it has completed the acquisition of 10 supported living properties across Hertfordshire, Essex, Suffolk and Wales for a total consideration of £8.6 million (excluding purchase costs). The portfolio provides adapted homes along with personalised specialist care for 41 individuals with complex mental health care needs, administered by three care providers which already work across other properties within the Civitas portfolio.
The properties are leased to Inclusion Housing Community Interest Company, with rents that are adjusted annually in line with the consumer price index over the full-term and are subject to a lower limit of inflation of 0% per annum and a maximum indexation of 4% per annum. Additionally, Inclusion is a counterparty to existing leases within CSH’s portfolio.
The properties are immediately income generating and while the net initial yield has not been disclosed, CSH says that this is in line with its present expectations. CSH is continuing to deploy the firepower provided by its recently agreed facility with M&G, on properties that have been significantly adapted or purpose-built for the delivery of mid to higher acuity care. CSH says that it has a significant pipeline of similar opportunities which are progressing well.