Residential Secure Income Share Discussion Threads

[rambutan2] 08/9/2020 21:24

My HL account received it last fri.

[cwa1] 08/9/2020 14:45

Cheers, thanks rik

[rik shaw] 08/9/2020 14:44

Got mine ok 1st thing last Friday with EQi

[cwa1] 07/9/2020 16:28

Anyone else not had their dividend yet? Cheers

[cwa1] 18/8/2020 18:53

Very modest after hours announcement of a Director's purchase:-

18 August 2020

Residential Secure Income plc

Share Purchases

Residential Secure Income plc ("ReSI") (LSE: RESI), which invests in affordable shared ownership, retirement and Local Authority housing, announces that on 13 August 2020 Elaine Bailey, Non-Executive Director of ReSI, purchased the following number of ordinary shares in the Company.


PDMR Date Acquired Number of shares acquired
Elaine Bailey 13 August 2020 5,000
---------------- --------------------------

ReSI's Non-Executive Directors now hold 168,552 ordinary shares. The total number of ordinary shares owned by the directors and former directors of the Investment Manager is 2,413,517. The Investment Manager also owns 752,989 ordinary shares directly. The Investment Manager and its current and former directors thus hold 3,166,506 ordinary shares, 1.95% of shares in issue (excluding shares held in treasury).

[badtime] 06/8/2020 21:44

Nice too see a directors buy

[panshanger1] 08/7/2020 14:02

Stamp duty cut going to help here ?

[skinny] 08/7/2020 07:07

.

Residential Secure Income plc ("ReSI") (LSE: RESI), which invests in affordable Shared Ownership, retirement and Local Authority housing, has acquired 39 shared ownership homes for a total consideration of £3.5 million including deferred payments. The properties have been purchased from Step Forward Homes, which specialises in the provision of homes for key workers, in particular the Armed Forces and Emergency Services personnel.

The portfolio is located across the north west of England and comprises 24 two and three bedroom homes that will be immediately income generating, enhancing ReSI's dividend cover. The remaining 15 homes will be acquired by ReSI within six months once construction is completed and the homes are occupied. The acquisition brings ReSI's total shared ownership portfolio to 205 homes and is funded through ReSI's new ultra-long term £300 million debt facility.

Gary Metcalf, Director at Step Forward Homes said: "The proceeds from this timely sale will be recycled into the development of further, much needed affordable homes for key workers. This is the first transaction we have worked on with the team at ReSI and we are looking forward to building a longer term relationship with them as Step Forward works to create a lasting social impact."

Ben Fry, Investment Manager of ReSI Capital Management, commented: "We are particularly pleased to have completed this transaction against the current backdrop where many families, particularly those of key workers, are facing challenging situations where we can help meet a clear need. This is a portfolio of high quality homes that further expands our shared ownership exposure and enables us to support housing delivery at a time when the supply is starved."

[badtime] 06/7/2020 21:14

Aye...I'm happy

[rambutan2] 06/7/2020 14:16

Looks a great deal to me:

The facility provides ReSI with long term and low cost funds to achieve full income generation and subsequently grow its shared ownership portfolio . The RPI-linked debt has an annual coupon of 0.461% whilst the debt principal will inflate in line with the RPI linked rent in ReSI's shared ownership leases, with an RPI collar of 0% and 5% p.a. The debt was arranged for ReSI by TradeRisks Limited and is interest only for the first three years and then will fully amortise over its remaining 42 years, with the fixed amortisation payments representing approximately 2 to 3 per cent of the principle per annum. Reflecting no refinancing risk and the strength of the shared ownership cashflows, the facility's covenants are cashflow based, rather than valuation linked, thus ensuring covenant compliance is fully in ReSI's control.

[skinny] 18/5/2020 07:35

.

Financial highlights

· IFRS Net Asset Value ("NAV") Total Return of 0.7 pence per share for the period; this comprises 2.8 pence recurring income, offset by 2.1 pence of one-off valuation reduction

· Earnings per share increased 8.3% to 1.3 pence (31 March 2019: 1.2 pence), reflecting continued progress in growing rental income from the shared ownership portfolio

· Marginal 0.4% decline in portfolio valuation since year end due primarily to a 1.5% (£3.3 million) reduction in the net present value of cashflows in the independent retirement rental portfolio caused by the onset of COVID-19 and an industry-wide clarification from HMRC that from 1 November 2018 VAT became chargeable on property managers' salaries. This was offset by a 10% (£2.7 million) valuation gain in the shared ownership portfolio as it progresses towards full income generation

· In light of COVID-19, valuations have been reported on the basis of 'material valuation uncertainty' in line with recent RICS guidance

· Small reduction in IFRS NAV to 106.9 pence per share (30 September 2019: 108.6 pence per share)

· Annualised net rental income increased 4.5% to £11.7 million (31 March 2019: £11.2 million), representing a 5% net yield on capital deployed to income producing assets

· 86.3% of rental income is subject to contractual inflation-linked rental uplifts

· £108.0 million of predominantly long term, low cost asset level drawn debt (30 September 2019: £108.2 million) reflecting a gearing ratio of 36.4%. Stress testing has shown a large amount of headroom on all covenants due to the long-term nature of the ReSI's assets and strong cash flows

Affirmation of full year dividend target

· Affirmation of full year dividend target of 5 pence per share with two quarterly dividends of 1.25 pence already paid


more.....

[badtime] 04/5/2020 22:31

Cheers Ram

[rambutan2] 04/5/2020 20:11

CG added a few at 91p on 1st. They are a cautious lot, so adds confidence that we are not missing something on the downside.

[badtime] 01/5/2020 12:03

Agreed I'll add on weakness

[panshanger1] 29/4/2020 07:29

Very solid update I would have thought thanks for posting@Skinny

[skinny] 29/4/2020 07:07

.

Financial highlights:

· IFRS NAV per share of 106.9 pence1 (31 December 2019: 107.7 pence), resulting in a total return for the quarter of 0.5 pence and taking the NAV total return to 0.8 pence for the half year to date

· Total property portfolio value of £276.9 million (31 December 2019: £260.3 million), with a marginal 0.1% decrease (£0.3 million) in like-for-like valuation due primarily to a 1.2% or £2.7 million reduction in the net present value of cashflows in the independent retirement rental portfolio caused by the onset of COVID-19, offset by a 10% or £2.7 million valuation gain in the shared ownership portfolio as it progresses towards full income generation

· In light of current market uncertainty created by COVID-19, the valuations have been reported on the basis of 'material valuation uncertainty' in line with recent RICS guidance

Dividend:

· The Company announces that it intends to pay its quarterly dividend of 1.25 pence per Ordinary Share for the period from 1 January to 31 March 2020 in full, and reaffirms its target dividend of 5.0 pence per Ordinary Share for the current financial year2

Update on portfolio and corporate activity since 31 December 2019:

· Total portfolio rent continues to be secure, with 98% of April rent collected by 27 April 2020, in line with normal performance, with further rent to be received from Local Authorities who pay at the end of the month

· As of 29 April 2020, ReSI had 93 completed shared ownership homes with 55 occupied, 26 reserved and moving to completion and 12 currently available

· Three shared ownership completions and four reservations have been transacted since 30 March 2020. This follows an initial slowing of activity as the country began to prepare for and subsequently entered lockdown, and indicates a gradual reversal of this trend with virtual viewings also increasing and shared ownership mortgages now available with LTVs of up to 95%

· The net rent on completed shared ownership homes is currently £498,000, with a further £274,000 on those reserved and moving to completion, or 0.5p per share in total

· Following the acquisition of ReSI Capital Management by Gresham House plc during the quarter, ReSI is looking to leverage the buying power of Gresham House to reduce certain fund operating expenses and hence reduce the Company's total expense ratio

· ReSI Housing was awarded Investment Partner status by Homes England in March 2020, extending ReSI's access to government grant funding to include schemes outside London and bring forward much needed additional Affordable Housing at national level

· On 27 April 2020, Elaine Bailey joined the board of ReSI as an independent Non-Executive Director with Mike Emmerich stepping down as a Non-Executive Director on the same date.

more.....

[badtime] 17/4/2020 12:27

Only bought in March/April happy to hold and add on further dips based on current info

[rik shaw] 17/4/2020 11:45

Recommended by Questor in the Telegraph this morning.

[panshanger1] 17/4/2020 11:14

Well nearly back to pre crisis levels !! Will top slice now although glad I hung on to it Still in ESP tho and that could be a long haul !!

[badtime] 01/4/2020 16:50

Bid and ask zips around a tad

[rambutan2] 30/3/2020 21:32

If that's as bad as it gets, then I think we've nothing to worry about. Just have to wait a bit longer for the div to be covered. I remain a happy holder.

[badtime] 30/3/2020 21:19

Ram....what did you think of todays update?

[badtime] 30/3/2020 10:18

I bought in two lots last week and will look to add more

[davebowler] 30/3/2020 10:07

Residential Secure Income Reit (RESI) should be celebrating as it has just secured access to government grants that will help it expand its portfolio. Its shares also fell heavily in the pandemic scare and even after rallying with the recovery in markets and investor sentiment this week remain on an 18% discount.

Its portfolio is a mix of shared ownership homes, local authority accommodation designed to alleviate the problem of homelessness and retirement rental housing.