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132 APARTMENTS ACQUIRED FOR SHARED OWNERSHIP USE
132 APARTMENTS ACQUIRED FOR SHARED OWNERSHIP USE.
About this update from Residential Secure Income Plc
[{"type":"text","content":"\n \nRNS Number : 6234U Residential Secure Income PLC 01 April 2019 \n\n1 April 2019\n \nRESI ACQUIRES 132 APARTMENTS FOR USE AS SHARED OWNERSHIP FOR £60 MILLION\n \nResidential Secure Income plc (\"ReSI\") (LSE: RESI), which invests in affordable shared ownership, retirement and local authority housing, is pleased to announce it has exchanged contracts to acquire 132 new build apartments (the \"Portfolio\"), located at Clapham Park, in the London Borough of Lambeth, for a total acquisition cost of £60 million. The apartments are being purchased from Metropolitan Thames Valley Housing (\"MTVH\"), one of the UK's largest Housing Associations, who will retain management of the Portfolio, continuing the long term partnership between both parties.\n \nReSI intends to convert the 1, 2 and 3 bedroom apartments into Shared Ownership homes, utilising grant funding from the Greater London Authority's Homes for Londoners programme. Shared Ownership allows a purchaser to buy a property with a lower deposit requirement and with lower annual costs, making the apartments more affordable and allowing individuals and families to get onto the housing ladder. \n \nThe Portfolio is intended to be held through ReSI's wholly owned subsidiary ReSI Housing Limited (\"ReSI Housing\"), which is regulated as a for-profit Registered Provider of social housing. The Portfolio will be acquired in two phases using a mix of existing cash resources and debt and is due to complete in September and December respectively, at which point ReSI will have a fund level LTV over 40%.\n \nThe Portfolio, which is located between Clapham, Brixton, Streatham and Balham, forms part of MTVH's regeneration project on the Clapham Park estate which will deliver 2,500 new homes of which 700 have already been delivered, a community hub, a new community centre and new shops. The acquisition will enable MTVH to recycle the proceeds into further developments thus supporting MTVH in the delivery of new homes.\n \nThis acquisition follows ReSI's first investment in Shared Ownership in October, when it acquired a £16.5 million portfolio of 34 homes from Crest Nicholson, which is also managed by MTVH. The transaction further reinforces ReSI's focus on growing its portfolio of Shared Ownership properties through acquisitions f...