Investments  

Social housing trust reports uplift in portfolio value

Social housing trust reports uplift in portfolio value

Social Housing REIT Triple Point has announced its first set of results, showing rental income of £7.8m and earnings per share of 3.94p, as well as a nearly five per cent increase in the value of its portfolio.

The trust provides access to a portfolio of social housing assets across the UK focusing on ‘supported housing’. It invests in ‘inflation-adjusted, long-term, fully repairing and insuring leases with approved providers.

The group said earlier this week it is intending to raise further investment through debt and a C Class share issue.

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Its portfolio had grown in value by 4.37 per cent against the properties' aggregate purchase price, including transaction costs. The properties have been valued on an individual basis.

The company will pay a dividend of 1p a share. Triple Point floated on the stock exchange in August after raising £200m in its oversubscribed initial public offering (IPO).

The offering placed 200 million shares at 100p per share.

The real estate investment trust has invested £179.2m including purchase costs on the acquisition or forward funding of 148 regulated supported housing assets. As a result, it said, it has largely invested the proceeds it raised through its August 2017 initial public offering.

Triple Point acquired 116 properties (828 units) during the period with an aggregate purchase price of £131.8 million (including costs).

Christopher Phillips, chairman of Triple Point Social Housing REIT plc, said: “The outlook is positive and we expect the strong performance of 2017 to continue into 2018.

"The investment manager has identified a significant future pipeline of supported housing properties that are high quality and in line with the group’s yield expectations.

"We expect to acquire a high percentage of the assets in the pipeline within the next 12 months, however we will continue to turn down these or other investment opportunities if we believe them to be a poor fit for the group following due diligence based on factors such as asset suitability, lessor covenant, rent sustainability and location.”