Civitas Social Housing’s NAV per share has inched up slightly during the quarter, despite a marginal increase in yield.
Ordinary NAV per share amounted to 118.7p at the end of 2019, compared with 118.3p on 30 September.
The REIT’s portfolio was valued at an average 5.29% net initial yield, compared with 5.28% at the end of September, on the back of lower long-term inflation expectations.
Annualised rent roll has increased to £47.2m, from £46.5m in the previous quarter. At the end of December, Civitas had 4,153 tenants in 608 properties, after acquiring a further nine properties for £7.1m in the quarter.
Civitas said its pipeline of investment opportunities “remains robust” and that it continues to engage “with a range of property-owning specialist care providers and other sector counterparties”.
In its trading update, the company said: “The recent definitive general election result has brought greater clarity to the political landscape.
“While specialist supported housing has always received cross-party support it is helpful that the macro environment has gained greater clarity and the new government has made various commitments supporting the delivery of state funded healthcare and social care.
“Demand continues to be very strong for the provision of properties in which higher acuity care is delivered, as this generates the highest cost saving for the state and local authorities and the best personal outcomes for individuals. It is also where the rental cost is at its lowest when compared with the total cost of care and accommodation combined.”
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