What Walls & Futures REIT does:
The firm aims to generate long-term secure income by addressing the UK’s social housing needs.
As opposed to buying ready-made portfolios, Walls & Futures collaborates with local authorities, charities and housing associations to understand their needs before going out to the market to build new homes or acquire properties for redevelopment.
Walls & Futures does not provide the care, just the homes, which are then taken on by the local authority, housing association or charity to manage.
Through its own development, Walls & Futures can generate a profit, which protects and increases net asset value.
How is it doing
Revenue climbed by a third last year as the social housing investor outperformed the benchmark MSCI UK Residential Index for the second year running.
Walls & Futures’ portfolio, which includes care homes and supported housing leased to local authorities, delivered a total return of 8.75% in the 2018 calendar year.
That was ahead of the benchmark index, which returned 5.2%.
“This is the second consecutive year we have outperformed the index and believe it demonstrates the potential of our development strategy,” the company said.
Revenue rose by 32% to £135,900 in the 12 months ended 31 March (2018: £102,900), although Walls & Futures slipped to a loss of £18,300 (2018: profit of £45,400).
As for the value of the company’s investment property, that increased by 4.79%.
- Pipeline of new investments with several transactions currently under consideration.
- A subscription at 70p per share in August raised £100,000
- Huge shortage in the UK for ethical housing
Walls & Futures expects to benefit from an ageing population and an estimated shortage of 29,000 supported housing places.
Chief executive Joe McTaggart said: “We feel there’s a strong market there and from that can generate what we feel to be a good long-term income.”