UK supported housing trust Independent Living REIT is seeking to raise £150m (€177m) in an initial public offering on the London Stock Exchange.
Independent Living REIT, managed by Atrato Partners, will invest in a diversified portfolio of supported housing assets which are let to tenants. The company has an acquisition pipeline of £500m of assets.
The company, which expects to join the London Stock Exchange on 4 October, said it intends to become a real estate investment trust, once it has completed the acquisition of an initial portfolio of target assets.
Independent Living REIT will target an annual total return of 7 to 10% over the medium term, the company said.
Fiona Miller Smith, chair of Independent Living REIT, said: “The number of vulnerable people relying on supported housing is set to significantly increase over the coming years, whilst the structural undersupply of appropriate accommodation remains.
“We aim to address this rising demand and limited supply by leasing affordable, dedicated housing to housing associations via a well-governed and compliant model.
“We have specifically designed Independent Living REIT plc following extensive dialogue with the Regulator of Social Housing. Our model delivers a long-term, financially sustainable approach that benefits local authorities, residents and investors. By delivering safe housing for vulnerable members of the community, we will provide a clear and measurable impact to society.”
David Blakeborough, managing director, Atrato Partners, said: “Well-designed and appropriately priced supported housing delivers capital growth and inflation-linked income returns for investors, savings for the UK taxpayer, and improved outcomes for residents.
Following our discussions with the Regulator, we are excited to have built a model that will help address the significant shortage of high-quality supported housing in the United Kingdom.”
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