GRI - New highs13 Aug 2015 19:57
Grainger plc ("Grainger", the "Company" or the "Group"), the UK's largest listed residential property owner and manager, today provides a trading update covering its activities for the ten months to 31 July 2015.
Trading highlights for the period include:
· Strong sales performance across Reversionary business
· Exceptional market response to first Build to Rent scheme, Abbeville Apartments in Barking, London
· 929 tenanted PRS units have been acquired since the start of the year
Commenting, Andrew Cunningham, Chief Executive of Grainger, said:
"In addition to the excellent trading performance over the period, we continue to simplify the Group's operations and accelerate the growth of our PRS business. Today we can announce that, to increase our focus on the UK market, we have appointed investment bank, Lazard, to advise on the disposal of our wholly owned residential property assets in Germany.
"Our focus on accelerating the growth of our UK PRS business is going well, with recent acquisitions bringing our total managed PRS portfolio in the UK to over 3,400 units, and with a pipeline of over 2,000 units. And last week we were pleased to achieve a significant refinancing package for our syndicated bank debt, reducing our cost of debt and extending maturities."
Trading performance
Reversionary business
Strong trading results
- Sales of vacant properties achieved prices on average 8.3% above September 2014 vacant possession value at margins of 51.2% (31 July 2014: prices achieved at 12.7% above September 2013 vacant possession value with margins of 48.6%).
- Sales pipeline of vacant reversionary assets - £213.8m of sales completed, exchanged or in solicitors' hands (31 July 2014: £228.1m).