Triple Point Social Housing REIT has raised £200m in its IPO, in line with the target it announced last week.
The company said the placing was oversubscribed and it undertook a scaling back exercise in order to meet the maximum amount available under the terms of the issue.
Triple Point Social Housing REIT will target social housing assets in the UK, with 80% of its portfolio focused on supported-housing properties, which provide accommodation for older or vulnerable people.
The company has agreed to buy a seed portfolio of five supported-housing assets from Pantechnicon Capital for £17.9m, subject to its admission. It plans to deploy the rest of its raised capital within nine months of its IPO.
Its seed portfolio is targeted to produce a net initial yield of 6%.
Chris Phillips, chairman of Triple Point Social Housing REIT, said: “We are delighted with the response which Triple Point Social Housing REIT has received on its IPO, with strong support from a broad range of investors.
“The combination of a steady, index-adjusted income stream from social housing assets, and in particular from supported housing, and our ability to provide forward financing for new developments, both securing deal flow for the company whilst addressing the chronic undersupply of suitable supported housing properties, makes this a compelling investment.”
Dealings in the REIT’s shares are expected to start on Tuesday 8 August.
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