Civitas Social Housing PLC Acquisition (8538W)
06 August 2018 - 4:00PM
UK Regulatory
TIDMCSH
RNS Number : 8538W
Civitas Social Housing PLC
05 August 2018
6(th) August 2018
CIVITAS SOCIAL HOUSING PLC
("Civitas" or the "Company")
GBP3.9 million acquisition of two Specialist Supported Living
properties and one Registered Care property
The Board of Civitas Social Housing PLC is pleased to announce
that the Company has completed the purchase of two specialist
supported living properties and one registered care property for a
total consideration of GBP3,880,288 ("the portfolio"), comprising
15 tenancies. The specialist supported living properties will be
managed by Inclusion Housing C.I.C. ("Inclusion") and Falcon
Housing Association C.I.C. ("Falcon"), both Inclusion and Falcon
are counterparties to leases within the Company's existing
portfolio. The registered care property will be managed by Bespoke
Supportive Tenancies Ltd ("BeST"), a new Regisetred Provider for
Civitas. BeST provide accommodation for vulnerable adults across
the country which they tailor to the needs of their tenants and are
registered with the Charities Commission. Inclusion, Falcon and
BeST are all Registered Providers, regulated by the Regulator of
Social Housing.
The properties will be immediately income-generating with an
initial net yield in line with the Company's expectations and were
sourced off-market by Civitas Housing Advisors Limited, the
Company's investment manager.
The properties have been adapted for use as specialist supported
living and residential care accommodation for tenants with LD,
autism and other care needs, and there is a care provider in place
at each property. The properties are subject to 25-year leases with
rents adjusted annually in line with CPI over the full period.
The portfolio was funded through the Company's cash resources
from the Company's recently issued C Share. In due course, it is
intended that leverage will be applied to this portfolio in
accordance with the Company's stated policy and it is expected that
this will further enhance the yield achieved from this
investment.
As noted previously, the Company is targeting several other
significant transactions to be announced shortly and which have
been subject to ongoing due diligene. In particular, the Company
expects to complete a number of material acquisitions in the near
term with an expected value of circa GBP100m.
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.
For further information, please contact:
Civitas Housing Advisors Limited
Paul Bridge Tel: +44 (0)20 3058 4844
Andrew Dawber Tel: +44 (0)20 3058 4846
Cenkos Securities PLC
Sapna Shah Tel: +44 (0)20 7397 1922
Tom Scrivens Tel: +44 (0)20 7397 1915
Pagefield
Philip Dennis Tel: +44 (0)7947 868206
David Leslie Tel: +44 (0)7584 070274
Notes:
Civitas Social Housing PLC is 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.
The Company is listed on the premium listing segment of the
Official List of the Financial Conduct Authority and was admitted
to trading on the main market for listed securities of the London
Stock Exchange in November 2016.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
END
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