Triple Point Social Housing REIT plc

Rent Collection and Portfolio Sale Update

Further to the “Portfolio Sale and Lease Transfer” announcement made on 3 May 2024, the Board of Triple Point Social Housing REIT plc and Triple Point Investment Management LLP (“Triple Point” or the “Investment Manager“) today provide an update on rent collection, a potential portfolio sale and progress made with tenants, My Space and Parasol.

Increasing rent collection and strong rental growth continues

The Company’s portfolio delivered resilient performance in the first three months of the year to 31 March 2024. Rent collection increased to 93.3% (Dec 23: 90.2%), and 25 out of the Company’s 27 lessees continued to demonstrate no material rental arrears.

Increased rent collection has been complemented by continued rental growth. As at 30 April, 61.6% of the Group’s leases had put through their 2024 annual rent increase at a weighted average uplift of 6.1%.

Update on portfolio sale

The Company has agreed heads of terms in relation to a portfolio sale with an aggregate value in excess of £20 million. The portfolio sale is representative of the Company’s wider portfolio and contains a range of both new build and adapted properties as well as self-contained and shared homes. EPC ratings of the properties range from B to D. We expect the portfolio sale to complete prior to the publication of the Company’s interim results for the sixth month period to 30 June 2024, which will be published in September.

Update on Parasol and My Space

Parasol

The Investment Manager has commenced a process of transferring all of the Group’s properties currently leased to Parasol to Westmoreland, representing 9.6% of rent roll. The transfer process remains on track to complete before the reporting of the Company’s interim results in September.

Following completion of the lease transfer process, an update on forward looking rent collection will be provided and, in the interim, Parasol continues to pay rent in accordance with the existing creditor’s agreement.

My Space

The Investment Manager continues to engage with My Space’s senior management team on their turn-around plan. The Company notes that four new independent Board members have been put in place with housing, audit, compliance and procurement expertise and that rent collection is expected to increase over the course of the year. If an acceptable long-term position cannot be reached with My Space, which represents 8.1% of rent roll, then, as with Parasol, the Investment Manager will move leases to one or more alternative Registered Providers.