The board of Triple Point Social Housing REIT (LON:SOHO) announced on Tuesday that it had completed the bulk acquisition of several properties across England.
The company acquired six residential properties and one care home for a consideration of £18.3 million, excluding costs.
A total of 91 properties will be acquired, including 43 in the West Midlands, 40 in Yorkshire, five in the South East and three in the North West.
Triple Point Social Housing REIT’s statement continues to be updated as follows:
“The Group has entered into new FRI leases with terms ranging from 20 to 35 years for each property acquired. We contract with care providers that are regulated by the Care Quality Commission, including associations and inclusion housing.”
The company went on to say that the rent received under the lease agreement is reviewed annually for upward revision only and increased in line with the Consumer Price Index.
The company said its properties include “specialized, high-quality housing” for people who require specialized care for mental health and other needs.
Finally, he said the properties acquired today are generating a net yield that is in line with the company’s investment criteria and return profile.
Following this update, Triple Point Social Housing REIT shares rose 0.72% or 0.70p to 98.50p per share as of 25/02/20 12:22 GMT. Berenberg analysts initiated a “buy” stance on the company’s stock. The group’s P/E ratio is 43.08 times and the dividend yield is an impressive 5.02%.
Previously, in the same area, we reported that Impact Healthcare REIT PLC (LON: IHR) had acquired a care home in Bristol for a consideration of £6.95m.
