Tenth charity client of homelessness investment fund enters administration

It and property advisor AEW will work with Evelyn Partners and Myshon to surrender the leases to Home REIT and re-let the properties once the handover is complete.

The trust has faced multiple issues in recent years. In July, Home REIT announced that a “managed wind-down strategy” would be in the “best interests” of shareholders.

The listed firm, which specialises in accommodation for people experiencing homelessness, said a “managed wind-down strategy” would be in the “best interests” of shareholders.

Home REIT, whose shares are currently suspended, said a review of its “stabilisation strategy” had concluded it faced “considerable challenges”.

These include a “high fixed corporate cost base” due to its structure and the need for investment in its properties.

Last month, the firm revealed it had been unable to secure refinancing of its existing debts on terms that it could recommend to shareholders.

Earlier this year, Noble Tree became the sixth client of Home REIT to go bust, as the firm struggles to collect rent.

Supportive Homes CIC, a tenant of 209 properties in the company’s portfolio, entered voluntary liquidation in September last year.

In March this year, Home REIT said it had sold off 63 properties, which will bring in proceeds of £6.1m.

Home REIT has been selling homes by the hundreds since August 2023, as part of a plan to bring its debt under control.

The Financial Conduct Authority launched an investigation into Home REIT in February.

The firm had earlier revealed it had been unable to secure refinancing of its existing debts on terms that it could recommend to shareholders.

Trading in Home REIT’s shares was suspended in January 2023, after it missed a deadline to publish its annual report.