The PRS REIT

The PRS REIT plc operates as a closed-ended real estate investment trust focused on the United Kingdom's Private Rented Sector (PRS). The company was established by Graham Barnet and launched via an Initial Public Offering on the London Stock Exchange on May 31, 2017, raising £250 million with financial backing from the UK Government's Homes England. Subsequent fundraisings occurred in February 2018 and September 2021, bringing the total gross equity raised to £560 million. Graham Barnet, a financier with a lifelong career in property, founded Sigma Capital Group in 1996 and serves as the CEO of both Sigma and The PRS REIT. His vision was to create a model for large-scale institutional investment in the UK's residential development sector, an asset class he noted was established in other developed countries but absent in the UK.

The REIT's primary business is investing in and managing a portfolio of newly constructed, high-quality family homes for private rental across major regions of England. Its business model centers on providing shareholders with a steady income stream and the potential for capital growth. Revenue is generated from the rental income of its property portfolio. The company targets the family segment of the rental market, which it identifies as the largest and growing portion of the PRS. Its properties are managed under the 'Simple Life' brand, which emphasizes professional tenant care and fostering a sense of community through events and a resident app. This institutional landlord model offers tenants greater security of tenure compared to the traditional private landlord market.

The PRS REIT's portfolio is the largest of its kind in the UK, comprising over 5,000 completed single-family build-to-rent homes, with an estimated annual rental value of £72.0 million. The properties are typically located near good schools and transport links, catering to a wide demographic including couples, families, and retirees. The company's investment adviser is Sigma PRS Management Ltd, a subsidiary of Sigma Capital Group, which sources the investments and manages the assets. This relationship provides The PRS REIT with a significant pipeline of potential new homes through Sigma's framework agreements with housebuilding partners and strong relationships with local authorities.

Keywords: real estate investment trust, REIT, private rented sector, PRS, UK residential property, build-to-rent, family homes, single-family rental, property investment, Sigma Capital, Graham Barnet, Simple Life homes, institutional landlord, UK property market, rental income, asset management, residential portfolio, new-build homes, Homes England, London Stock Exchange