Home REIT plc has confirmed it has exchanged contracts to sell 706 properties to Patron Capital for a total of £123 million. This significant disposal covers the majority of the assets held by the company. The deal is expected to be fully completed no later than 1 April 2026. Patron Capital has already provided a cash deposit of £12.3 million. The rest of the payment will arrive in two parts. An initial £98 million, minus the deposit, is due on completion. A final deferred payment of £25 million will follow 12 months later. This final sum is not subject to conditions and has been secured with a bank guarantee.

This transaction is the result of a long process that started in the final quarter of 2024. The board received non-binding offers for the properties in February 2025. The remaining assets in the portfolio were valued at £17.35 million by Jones Lang LaSalle in August 2025. Home REIT expects to finish selling most of these remaining units during the first half of 2026.

Although the board wants to return capital to shareholders after the assets are sold, they have issued a warning. The timing and amount of any distribution are still very uncertain. This is because the company is dealing with potential group litigation and other claims. Advisors are currently looking for a suitable way to handle any future return of capital.

Michael O’Donnell, Non-executive Chair of the company said: “The Board is committed to securing the best possible result for shareholders, and after an exhaustive process, we are pleased to have exchanged on a transaction which we believe is in their best interests. For the Company as a whole there remain further hurdles to cross, however, the Transaction represents an important milestone.”

The company stated that the ability to pay shareholders is restricted while these legal challenges remain. Further updates on the progress of the final property sales are expected later this year.