Conygar Inv Share Price (CIC)

NAV 212.25, share price 144.00?

CIC has been selected in one of Simon's 8 bargain shares for 2022, just published tonight.
https://www.investorschronicle.co.uk/ideas/2022/02/10/bargain-shares-for-2022/
GLA

https://www.proactiveinvestors.co.uk/companies/news/972517/conygar-pushing-ahead-with-flagship-the-island-quarter-development-in-nottingham-as-it-expands-its-portfolio-972517.html

....sold these at loss years ago and notice that they have completely changed strategy now. Properties are not very fash now but have some cash left to invest so will sleep on this.

Astrong recovery in investor confidence following last year’s Covid-19 induced market softness, coupled with an undersupply of housing are highly supportive of institutional demand in both sub-sectors. International students heading to UK universities have bounced back, too, while anyone trying to rent a flat in the private sector will have seen rents surge in the past year.

This is good news for property company Conygar (CIC: 157p) which is looking to start construction work early next year on a 702-bed student accommodation scheme on one acre of its 36-acre Island Quarter site in Nottingham, a city with a large student population desperately in need of housing. Based on market rents the scheme could generate a rent roll of £5.7m and be worth £90m at current PBSA yields when it completes in September 2023. Construction costs of £54m will be debt funded.

Amended planning approval should also be granted by the year-end for the project's next phase, a 223-bedroom hotel to be managed by InterContinental Hotels, 247 residential apartments and 3,000 sq metres of flexible office space.

Conygar’s hidden value

NAV surges 28 per cent to £114m (217p a share)
Discussions ongoing for joint venture/debt funding for major phase of Nottingham site
Crosshands retail warehouse to be marketed in January
Sale of Selly Oak site likely to complete by year-end
Conygar’s annual results revealed only part of the profit potential from its flagship Nottingham site which was revalued upwards by two-thirds to £70.5m by surveyors at Knight Frank.

However, that is less than £2m per acre, or half the £4m per acre paid by the University of Nottingham for a 9-acre city centre office site which is currently used by HMRC and will become a new campus. In addition, the Nottingham residential housing market has been flying, so much so that the Conygar is unlikely to be short of funders for the first phase of 247 BTR flats, a fraction of the potential 3,500 flats that could ultimately be built, subject to planning approval.

Importantly, Conygar is in a strong financial position. Net cash of £13.7m (26p a share) will be boosted by £7m from the sale of an industrial property in Selly Oak, Birmingham, to a well-known listed student accommodation provider, and its Cross Hands retail park in Carmarthenshire (book value of £17.7m) will be marketed for sale in January. It should be easy to offload given that the retail warehousing market is recovering strongly.

Keep an eye on the UK Government’s mini-nuclear power station strategy, too, as Conygar’s strategic land holdings in Anglesey could become very valuable. Also, key infrastructure is set to be completed in the coming weeks at Conygar’s Haverfordwest site (book value £8.6m), thus enabling the sale of 729 plots of residential land.

The shares are up 29 per cent since the interim results (‘Opportunities in property’, 26 May 2021) and are back to where I suggested buying at in my 2018 Bargain Shares portfolio. B