Grainger, the UK's largest specialist quoted residential property company, announced last week that it has acquired PHA for a total of £15.3 mln (EUR 17.2 mln).

Grainger, the UK's largest specialist quoted residential property company, announced last week that it has acquired PHA for a total of £15.3 mln (EUR 17.2 mln).

PHA owns 162 residential properties located in Devon. The purchase price reflects a cash on cash yield of 5.7%.

The properties, the majority of which were developed in the 1950s and 1960s, comprise 146 houses, 16 purpose built flats and 73 garages. Fifty of the units are subject to regulated tenancies, 12 are subject to assured tenancies and the remainder are let on assured shorthold tenancies, together with a vacant property, a commercial tenancy and two development sites.

The portfolio currently generates a total rent roll of more than £876,000 per annum. Grainger estimates the portfolio value to be £17.2 mln. Whilst the portfolio has been very well maintained over the years there remain numerous opportunities to enhance income and extract the reversionary value through selective refurbishment and modernisation, Grainger said.