£500 million Invested into Social Housing

RNS Number : 8639Q

Civitas Social Housing PLC

11 June 2018

 

11^th June 2018

CIVITAS SOCIAL HOUSING PLC

("Civitas" or the "Company")

£500 million Invested into Social Housing

The Board of Civitas Social Housing PLC is pleased to announce that since IPO in November 2016, the Company has invested over £500 million in quality properties within the Social Housing Sector in England and Wales.

Civitas now provides accommodation for nearly 3,000 vulnerable adults across 122 local authorities, in partnership with 12 Registered Providers and 72 care providers.

All Civitas properties are managed by Registered Providers, regulated by the Regulator of Social Housing and have been immediately income-generating with initial net yields in line with the Company's expectations. They are sourced off-market by Civitas Housing Advisors Limited, the Company's investment manager.

Each property is subject to a long-term FRI based lease indexed at either CPI or CPI+1. During the Company's financial year to 31 March 2019, it is expected that 100% of leases will enjoy an indexation increase.

All properties are funded through the Company's cash resources from the Company's Ordinary Shares and more recently issued C Shares. In due course, it is intended that leverage will be applied to the entire portfolio in accordance with the Company's stated 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. 

Michael Wrobel, Chairman of Civitas, commented: "This landmark is a testament to the hard work of our Manager, Civitas Housing Advisors, our growing reputation in the sector and the strength of the long-term relationships we are building."

For further information, please contact:

Civitas Housing Advisors Limited

Paul Bridge                            Tel: [phone]

Andrew Dawber                   Tel: [phone]

Cenkos Securities PLC

Sapna Shah                           Tel: [phone]

Tom Scrivens                        Tel: [phone]

Pagefield

Philip Dennis                        Tel: [phone]

David Leslie                          Tel: [phone]

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.

 

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