CIVITAS SOCIAL HOUSING PLC
(“Civitas” or the “Company“)
In its first 100 days of trading, Civitas Social Housing PLC (CSH) has already reported housing investments of £80 million, with more in the pipeline.
CSH, the first real estate investment trust (REIT) focused on social housing investments, raised £350 million in an oversubscribed listing on the London Stock Exchange in November.
CSH provides market investors with an opportunity to invest directly into the social housing sector via the acquisition of existing portfolios of built social homes. It is a long-term investor that aims to help housing providers release funds to build more homes.
To date CSH has completed two deals:
o £65m for a portfolio of 29 supported housing properties in London, the Midlands and the South with First Priority Housing Association and Westmoreland Supported Housing Associations. These properties are home to 225 people and are leased to the housing associations on 25-year leases
o £15m for a portfolio of 17 supported housing properties, each leased for 25 years to one of either Westmoreland Support HA or IKE Support Housing. The properties house 120 people and are in Gloucester, Weston-Super-Mare, The Wirral and Durham
Michael Wrobel, chairman of Civitas Social Housing, said:
“We are pleased to have completed two investments so quickly after launch. We already have a diverse portfolio of supported living properties and are building strong relationships with housing providers, which we are keen to develop.
“Our investments are expected to deliver excellent returns for shareholders and will provide superior, long-term homes for tenants with support needs.”
The company’s aim is to provide real mutual benefit to:
o Housing providers – who can use CSH investment and their existing property portfolios as the capital from which to build more social homes
o Investors – who can access sensible, risk-adjusted returns with regular dividend payments
Increasingly, registered housing providers are looking to non-traditional routes to fund their activities, as grant funding in the social housing sector has been squeezed and as new housing providers are established to meet particular needs within a broader care environment.
CSH seeks to be a partner to the housing sector and focuses on realising social as well as financial returns on its investments.