Home REIT non-paying tenant surrenders leases on 38 properties
investmentweek.co.ukHome REIT said the majority of these properties are occupied by private rented sector tenants on assured shorthold tenancies, or ASTs, which will now transfer to the trust.
The community interest company, which represents 2% of the trust's portfolio by number of properties, has not paid rent since October 2022. Its annual contracted rent due stands at £1.1m as at 31 October 2023.
Home REIT said the majority of these properties are occupied by private rented sector tenants on assured shorthold tenancies, or ASTs, which will now transfer to the trust.
Bust Home REIT tenant surrenders leases on 146 properties
According to the trust, this transfer will enable Home REIT to directly collect the underlying income from these properties, which it said will increase rent collection and «facilitate asset management opportunities».
National residential property services company Centrick, which already manages 25 of these properties, will now be responsible for the day-to-day management and rent collection of this portfolio.
«The transaction is in line with AEW's strategy as investment manager to stabilise the company's portfolio and increase rent collection,» the trust said. «The current occupiers of the properties will not be impacted as a result of this transaction.»
Two Home REIT tenants enter creditors' voluntary liquidation
Gurpaal Singh Judge is listed as a person of significant control for Eden Safe Homes, according to Companies House.
Judge is also registered as a director or person with significant control of Lotus Sanctuary CIC and Redemption Project CIC, which have entered into creditors' voluntary liquidations.
Redemption Project, which represented 11% of rent demanded in June, surrendered its leases on 146
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