Grainger on target for debt reduction

FTSE 250 residential property owner-manager Grainger said it is in a strong position to benefit from a strengthening market as it pays down its debt.Net debt reduced to approximately £985m at August 6th 2013, achieving debt target of below £1bn well ahead of schedule, the group said.The Newcastle upon Tyne based company said loan-to-value, at a consolidated level, is estimated to be at 50%.Completed group sales to July 31st rose to £258.7m compared to £202.1m for the same period a year earlier. Rents are in line with expectations while fees increased to approximately £9.9m, up from £7.8m last year.Looking ahead Chief Executive Andrew Cunningham said: "Sales remain strong, and, with increasing optimism in the housing market in the UK, we expect to see the benefit of this reflected in sales prices in the coming months""The actions we have taken over recent years - changing the geographical weighting of our assets and reducing financial gearing places Grainger in a strong position to capitalise upon the opportunities arising from a strengthening market."CJ Grainger plc