News

Home REIT considering six for investment adviser role

Home REIT’s board has announced that it has received proposals from six candidates to act as the company’s investment adviser, which it is reviewing and expects to make an appointment over the coming weeks.

The new investment adviser will take over from Alvarium Home REIT Advisors Limited, after its many failings that were first exposed in a short seller report in November 2022.

The board added that it will write to shareholders setting out any proposed changes to its Investment Policy, and details of how shareholder approval will be sought.

It is also considering the sale of a small portfolio of properties “in the near term” to “stabilise its property portfolio”. Several of the company’s tenants have gone bust in recent months and many more are withholding rent due to the poor conditions at the properties.

The investment adviser and Simpact (which was brought on after the short-seller report to hold the investment manager’s hand in engaging with tenants) continue to try to restore rent payments and maintain service provision for the occupants of the company’s properties, particularly occupants of properties where the tenants have entered into creditors’ voluntary liquidations.

Debt repayment

The group has agreed with its lender to repay £30m of cash held in a restricted account which, under the terms of the group’s facilities, it was no longer able to access for general working capital purposes. This reduces the outstanding debt to the lender from £250m to £220m. The lender has also provided the Group with access to additional funds for general working capital purposes.

Bribery investigation update

The board has received an initial draft of Alvarez & Marsal’s report on its investigation findings, commissioned by the board in the wake of bribery allegations against the company. The board is reviewing the “extensive and complex report” and an announcement regarding its key findings will be made “as soon as practicable”.

HOME : Home REIT considering six for investment adviser role

Leave a Reply

Your email address will not be published. Required fields are marked *

Please review our cookie, privacy & data protection and terms and conditions policies and, if you accept, please select your place of residence and whether you are a private or professional investor.

You live in…

You are a…

Exit mobile version