Printer Friendly

Civitas Social Housing Acquires West Midlands, England Specialist Supported Living Properties Portfolio.

M2 EQUITYBITES-October 25, 2017-Civitas Social Housing Acquires West Midlands, England Specialist Supported Living Properties Portfolio

(C)2017 M2 COMMUNICATIONS http://www.m2.com

25 October 2017 - UK-based real estate investment trust Civitas Social Housing plc (LSE: CSH) has completed the purchase of a portfolio of specialist supported living properties for a total consideration of GBP 3.055m (USD 4.06m), the company said.

This portfolio includes the freehold interest in 18 properties and leasehold interest in one property, with 30 tenancies, in the West Midlands.

Civitas said the portfolio is immediately income generating with an initial net yield in line with the company's expectations and was sourced off-market by Civitas Housing Advisors Ltd., the company's investment manager.

Each property is subject to a 22-year lease with a specialist Housing Association - Inclusion Housing CIC -- focused around specialist supported living, with rents established by the relevant local authority and adjusted annually in line with CPI over the full period. Inclusion is a Registered Provider, regulated by the Homes and Communities Agency and a counterparty to leases within the company's previous portfolios.

The portfolio was funded through the company's cash resources. In due course, it is intended that leverage will be applied in accordance with the company's said policy and it is expected that this will further enhance the yield achieved from this investment.

Civitas targets the objective of delivering sustainable returns to its shareholders by making socially relevant investments within the regulated social housing sector in England and Wales.

((Comments on this story may be sent to info@m2.com))

COPYRIGHT 2017 Normans Media Ltd.
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2017 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:M2 EquityBites (EQB)
Geographic Code:4EUUK
Date:Oct 25, 2017
Words:258
Previous Article:US Insurance Broker Frenkel and Co to be Acquired by Epic.
Next Article:Young America Capital Assisted Gaston Security in Sale to ADT's Integrated Solutions Division.
Topics:

Terms of use | Privacy policy | Copyright © 2019 Farlex, Inc. | Feedback | For webmasters