Social housing group expands portfolio with £7m acquisition

A social housing group has completed a hat-trick of new acquisitions as part of combined deals worth more than £7m.

Triple Point Social Housing REIT has bought three supported housing properties, comprising 52 units in total, for an aggregate price of £7.1m.

The properties are located in: Leicester (14 units); Manchester (27 units); and Wolverhampton (11 units).

The group has entered into new full repairing and insuring (FRI) leases in respect of each of the properties, two of 20 years with the ability to extend to 25 years and one of 25 years.

These leases are with specialist housing associations, Hilldale Housing Association and Chrysalis Supported Association, which are registered providers regulated by the Homes and Communities Agency.

The rents received under the leases are subject to annual, upward only rent reviews, increasing in line with the Consumer Prices Index. The properties comprise specialist, high quality homes refurbished for individuals with mental health and other complex care needs.

The properties are immediately income generating with a net initial yield in line with the company’s investment criteria and returns profile.