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Civitas Purchases Housing Portfolio And Reassures Over Grenfell Event

LONDON (Alliance News) - Civitas Social Housing PLC said on Thursday it has acquired a ...

Alliance News 29 June, 2017 | 1:14PM
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LONDON (Alliance News) - Civitas Social Housing PLC said on Thursday it has acquired a portfolio of regulated social housing for a total of GBP22.0 million, as it stated that the properties in its portfolio were safe for use following the Grenfell Tower incident.

The portfolio comprises of 16 supported living properties with 173 tenancies, situated across the country in eight different local authority areas.

All properties in the portfolio are subject to a 22-year lease with specialist housing association Inclusion Housing CIC, with rents established by the relevant local authority and adjusted annually by inflation over the full period.

Civitas said the purchases were funded through the company's cash resources.

In addition, the investment company also said on Thursday in response to the Grenfell Tower events that all properties in its portfolio is of a high standard and suitable for use by tenants, supported by a physical inspection prior to purchases.

"The company's strategy is to buy individual home dwellings and low rise smaller apartment buildings. Civitas does not buy or own any high rise or older system-built properties to which the issues referred to relate. It has never been the intention to acquire any such properties as they do not fit within the company's investment strategy," Civitas said in a statement.

"At this time we wish to extend our thoughts to those caught up in these tragic events. Civitas Housing Advisers Ltd has made a private donation to the British Red Cross London Fire Relief Fund," the company added.

Shares in Civitas Social Housing were up 0.5% at 109.00 pence on Thursday.

By Dayo Laniyan; dayolaniyan@alliancenews.com

Copyright 2017 Alliance News Limited. All Rights Reserved.

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Securities Mentioned in Article

Security Name Price Change (%) Morningstar
Rating
Civitas Social Housing Ord 85.30 GBX 0.24 -

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