Property Spotlight: Enjoy a 7.4% Yield with #130 Tewther Road

Welcome to the first in a new monthly Property Spotlight series. If this proves popular, we aim to highlight some of the more established properties in our portfolio each month. While these assets can sometimes be overlooked in favor of new launches, they often represent some of our most stable and proven investment opportunities.

This month, we are focusing on #130 Tewther Road, an established semi-detached supported living scheme in Bristol that continues to showcase the resilience and long-term growth potential of our inflation-linked investment model.

Investment Performance: Tewther Road

Managed by our long-term partner Nacro (one of the UK’s leading social justice charities), this property provides critical central government-funded supported housing.

Following the annual CPI rerating this month, we have analysed the yield performance for both original and current investors. The results highlight the compounding benefit of “rent-roll growth” over time:

The blue line shows the net yield an investor would receive at each point in time based on the market price on the Exchange.

The red line shows the running yield on the April 2021 launch price, assuming an investor bought at launch and held their position. Each step up in the red line reflects an inflation‑linked rent increase, so you can see how income on the original entry price has risen over time, even though the market yield at any point is set by current Exchange pricing.

Recent Updates:

• The recent CPI adjustment added an incremental 0.27% to the investor yield, ensuring your returns keep pace with the cost of living.
• Minor boiler remedial works were required at the end of 2025 but the property with a over £9,000 contingency remaining.

Valuation & Security: The “Hometrack” Buffer

We recently conducted an independent Hometrack valuation for Tewther Road to assess the underlying “brick and mortar” security.

• Hometrack Valuation: £296,000
• Current Exchange Price (including stamp duty, all fees and contingency): £257,000

What does this mean for you? This significant £39,000 buffer provides excellent capital protection. In the unlikely event that Nacro were to give notice and the lease ended, the property’s open-market value is substantially higher than the price at which it is currently offered on the platform.

This means that if the property were to be sold upon a lease exit, there is a clear pathway to capital gains for current and new investors, over and above the monthly rental yield.

The Strength of Nacro

A cornerstone of the Tewther Road investment is our partnership with Nacro, one of the UK’s most established and financially resilient social justice charities. With over 50 years of experience, Nacro operates with significant institutional scale, reporting a total income of over £90 million for the 2024/25 financial year.

Beyond their mission-driven impact, their balance sheet provides a robust layer of security for our investors. The charity holds over £42 million in total assets, including more than £20 million in cash and short-term liquid assets. This financial depth ensures they are well-capitalised to meet their long-term lease commitments and manage property operations professionally. For Housemartin investors, this means partnering with a “tenant” that has the financial weight and track record of a major national corporation, ensuring consistent, headache-free rental distributions.

Energy Efficiency & The Road to 2030

While Tewther Road currently holds an EPC rating of D (score of 62), we are already looking ahead to the government’s confirmed target of EPC C for all rental properties by October 2030.

The property is currently well within legal limits (minimum ‘E’), but we aren’t waiting until the deadline to act. We are identifying the specific, cost-effective “fabric first” measures (such as insulation or window upgrades) required to move the score from 62 into the ‘C’ bracket (69+).

By managing this process well in advance of 2030, we ensure that Tewther Road remains a compliant, high-performing asset for our partners at Nacro and a secure, “headache-free” investment for you.

The Housemartin Advantage

While the wider property market faces challenges from fluctuating mortgage rates, the Housemartin portfolio remains uniquely insulated:

• Zero Debt: All properties are 100% funded with investor funds with no mortgages, meaning rising interest rates don’t eat into your dividends.
• Government-Backed: Your income is derived from essential social services, not the discretionary income of private tenants.
• ISA Eligible: You can still wrap these returns in your £20,000 IFISA allowance for tax-free growth.

Thank you for continuing to invest with impact.