Senior-living shared ownership provider posts loss of £17.1m

AHH delivers, manages and operates shared ownership homes by partnering with local authorities through Affordable Housing Communities, its for-profit registered provider which was formed in 2016.

In 2023-24, AHH reported a consolidated earnings before interest, tax, depreciation and amortisation (EBITDA) loss of £2.5m.

To cut costs, AHH has undergone a process of outsourcing key operational services, which it began in January this year.

By September, the Dorset-based provider said its internal headcount had been reduced from 148 to 40.

In July, it sold 99% of its Platinum Skies Holdings subsidiary to raise funds to pay off its debt to lender OakNorth Bank.

Pasture Housing, a joint venture with private equity investor Meadow Partners, bought the retirement-living provider for £44.8m.

In September, Meadow bought six of AHH’s senior-living shared ownership schemes in a deal totalling around £500m.

Despite its latest results, AHH said it planned to increase its delivery rate to around 500 new shared ownership homes over the next five years.

AHH’s partnership with Meadow will see a further 400 homes delivered, it said.

Its accounts also stated that it was “actively addressing the UK’s housing crisis” by “offering affordable ownership options that align with both public aspirations and government goals”.

“At the same time, AHH’s developments meet investor demand for secure, inflation-linked income derived from social infrastructure,” it said.