The company is seeking to raise target gross issue proceeds of £150 million through the issuance of new ordinary shares by way of a placing, offer for subscription and intermediaries offer, and will apply for those shares to be admitted to the Official List of the Financial Conduct Authority and to trade on the premium segment of the London Stock Exchange’s main market.

Once it has completed the acquisition of an initial portfolio of target assets, the company intends to become a Real Estate Investment Trust (REIT).

It is targeting a dividend of 5 pence per ordinary share for the first and second financial years following admission, which it will then seek to grow progressively thereafter. It will then will target an annual total return of 7 - 10%. over the medium term.

The company’s investment objective is to address the shortage of high-quality supported housing, delivering capital growth and inflation-linked income returns for its investors whilst providing a fair deal for society through savings for the UK taxpayer, and improved outcomes for residents.

Supported housing provides accommodation, alongside support, supervision or care, to help people live as independently as possible in the community.

The company said it will seek to achieve its investment objective by investing in a diversified portfolio of fit-for-purpose supported housing assets which are let to compliant tenants. It intends to focus on the following three subsectors of supported housing.

• Specialised Supported Housing: accommodation designed for adults with learning difficulties, mental health issues or physical disabilities and who require specialised services or support to enable them to live independently within the community.
• Extra Care: larger blocks of flats, primarily for adults aged 55 and over. Extra Care is an alternative to care homes with the care typically provided by a specialist third party care provider.
• Homeless Accommodation: accommodation for people who have an immediate and unexpected housing need, including victims of domestic abuse and asylum seekers. The support required is typically at a lower level.

Fiona Miller Smith, chair of Independent Living REIT plc, said: “The number of vulnerable people relying on supported housing is set to significantly increase over the coming years, whilst the structural undersupply of appropriate accommodation remains. We aim to address this rising demand and limited supply by leasing affordable, dedicated housing to housing associations via a well-governed and compliant model.

“We have specifically designed Independent Living REIT plc following extensive dialogue with the Regulator of Social Housing. Our model delivers a long-term, financially sustainable approach that benefits local authorities, residents and investors. By delivering safe housing for vulnerable members of the community, we will provide a clear and measurable impact to society.

“The company has a very strong management team backed by the successful Atrato Group platform and I am delighted to represent the company as chair.”