Acquisitions Update

RNS Number : 3086S

Triple Point Social Housing REIT

15 November 2021

 

15 November 2021

Triple Point Social Housing REIT plc

(the "Company" or, together with its subsidiaries, the "Group")

ACQUISITIONS UPDATE

The Board of Triple Point Social Housing REIT plc (ticker: SOHO) is pleased to announce that the Group has completed the acquisition of a portfolio of nineteen properties and exchanged contracts on a further two properties, comprising an aggregate of 185 individual units (the "Portfolio"). In addition, the Group has acquired a further five properties, comprising 38 individual units in total. The aggregate consideration paid (or, in respect of the properties yet to complete, payable) by the Group for all these properties is approximately 29.9 million (excluding acquisition costs). The properties are located in Yorkshire (195 units), the West Midlands (16 units) and the North West of England (12 units).

The Group has taken over the Portfolio's existing FRI leases, which all have a remaining term of between 56 and 60 years (with tenant break options after 25 and 50 years), and has entered into new FRI leases in respect of each of the further three properties acquired for periods of 20 to 25 years. The leases are with housing associations regulated by the Regulator of Social Housing, including Highstone Housing Association, Inclusion Housing and Partners Foundation.

The rents received under these leases are subject to annual, upward-only rent reviews, increasing in line with the Consumer Price Index.

The properties comprise specialist, high quality homes for individuals with learning disabilities and other support and care needs.

The properties generate net initial yields in line with the Company's existing portfolio.

FOR FURTHER INFORMATION ON THE COMPANY, PLEASE CONTACT:

Triple Point Investment Management LLP (Investment Manager)	Tel: [phone]
Max Shenkman
Freddie Cowper-Coles
Isobel Gunn-Brown
Akur Capital (Joint Financial Adviser)	Tel: [phone]
Tom Frost
Anthony Richardson
Siobhan Sergeant
Stifel (Joint Financial Adviser and Corporate Broker)	Tel: [phone]
Mark Young
Mark Bloomfield
Rajpal Padam

The Company's LEI is 213800BERVBS2HFTBC58.

Further information on the Company can be found on its website at www.triplepointreit.com .

NOTES:

The Company invests in primarily newly developed social housing assets in the UK, with a particular focus on supported housing. The assets within the portfolio are subject to inflation-adjusted, long-term (typically from 20 years to 30 years), Fully Repairing and Insuring ("FRI") leases with Approved Providers (being Housing Associations, Local Authorities or other regulated organisations in receipt of direct payment from local government). The portfolio comprises investments into properties which are already subject to an FRI lease with an Approved Provider, as well as forward funding of pre-let developments but does not include any direct development or speculative development.

There is increasing political and financial pressure on Housing Associations to increase their housing delivery and this is creating opportunities for private sector investors to participate in the market. The Group's ability to provide forward financing for new developments not only enables the Company to secure fit for purpose, modern assets for its portfolio but also addresses the chronic undersupply of suitable supported housing properties in the UK at sustainable rents as well as delivering returns to investors.

The Company was admitted to trading on the Specialist Fund Segment of the Main Market of the London Stock Exchange on 8 August 2017 and was admitted to the premium segment of the Official List of the Financial Conduct Authority and migrated to trading on the premium segment of the Main Market on 27 March 2018. The Company operates as a UK Real Estate Investment Trust ("REIT") and is a constituent of the FTSE EPRA/NAREIT index.

 

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