REG - Triple Point Soc.Hsg - Lease Transfer

Social Housing REITAnnouncement

20/08/2024 07:00

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20240820:nRST0101Ba&default-theme=true

RNS Number : 0101B  Triple Point Social Housing REIT  20 August 2024

20 August 2024

 

Triple Point Social Housing REIT plc

(the "Company" or, together with its subsidiaries, the "Group")

Lease Transfer

Further to the "Portfolio Sale and Lease Transfer" announcement made on 3 May
2024, the Board of Directors of Triple Point Social Housing REIT plc (ticker:
SOHO) is pleased to announce the transfer of all 38 properties previously
leased to Parasol (representing 8.2% of the Company's Gross Asset Value and
9.7% of the rent roll as at 31 March 2024) to Westmoreland Housing Association
("Westmoreland").

The transfer completed on 19 August and, up to the point of transfer, Parasol
continued to pay rent in accordance with the existing creditor's agreement,
being 60% of full lease rent. Following the completion of the transfer, we
expect rent collection to increase to between 75% to 85% of existing FRI lease
rent during an initial stabilisation period (expected to last approximately 12
months), and thereafter up to at least 90% of existing FRI lease rent. In
turn, this will help ensure that dividends paid by the Company are fully
covered.

The transfer is the culmination of an extensive four-month process focused on
prioritising the welfare of residents, enabling proactive engagement with the
Regulator by both Parasol and Westmoreland, and ensuring the transfer was
undertaken in a way that maximised rental income. As well as increasing rent
collection, the Board is confident that Westmoreland will provide good
services to residents in the Group's properties.

Westmoreland manages 950 specialised supported housing homes. The current
management team was appointed in 2020 and has successfully restructured
Westmoreland, delivering four years of annual surplus and growing turnover in
a sustainable way to over £15 million per annum whilst steadily increasing
Westmoreland's cash position.

Chris Phillips, Chair of Triple Point Social Housing REIT, commented:

"Having successfully completed the transfer of properties, we look forward to
working closely with Westmoreland to ensure that rent collection is increased
and good services continue to be delivered to the properties' residents."

ENDS.

 

FOR FURTHER INFORMATION ON THE COMPANY, PLEASE CONTACT:

 

   Triple Point Investment Management LLP                                                     Tel: 020 7201 8989

   (Investment Manager)
   Max Shenkman
   Isobel Gunn-Brown

   Akur Capital (Joint Financial Adviser)                                                     Tel: 020 7493 3631
   Tom Frost
   Anthony Richardson
   Siobhan Sergeant

   Stifel (Joint Financial Adviser and Corporate Broker)                                      Tel: 020 7710 7600
   Mark Young
   Rajpal Padam
   Madison Kominski

   Brunswick                                                                                  Tel: 020 7404 5959

   Nina Coad
   Robin Wrench
   Mara James

 

The Company's LEI is 213800BERVBS2HFTBC58.

 

Further information on the Company can be found on its website
at www.triplepointreit.com (http://www.triplepointreit.com/) .

 

NOTES:

The Company invests in primarily newly developed social housing assets in the
UK, with a particular focus on supported housing. The majority of the assets
within the portfolio are subject to inflation-linked, long-term, Fully
Repairing and Insuring ("FRI") leases with Approved Providers (being Housing
Associations, Local Authorities or other regulated organisations in receipt of
direct payment from local government). The portfolio comprises investments
into properties which are already subject to a lease with an Approved
Provider, as well as forward funding of pre-let developments but does not
include any direct development or speculative development.

 

The Company was admitted to trading on the Specialist Fund Segment of the Main
Market of the London Stock Exchange on 8 August 2017 and was admitted to the
premium segment of the Official List of the Financial Conduct Authority and
migrated to trading on the premium segment of the Main Market on 27 March
2018.  The Company operates as a UK Real Estate Investment Trust ("REIT") and
is a constituent of the FTSE EPRA/NAREIT index.

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  PFUFFFLLTIIALIS