5th Feb 2020 09:58
(Alliance News) - Grainger PLC said Thursday it has made a strong start to its current financial year, with solid rental growth from its private rented sector portfolio.
For the first four months to the end of January, Grainger's overall like-for-like rental growth was 3.5%, with a 3.0% rise on a like-for-like basis on the residential landlord's PRS homes.
The property investor said its PRS portfolio has continued to perform well, with occupancy at 97.5% and it put in a strong sales performance in the period, with pricing 0.8% ahead of valuations.
Grainger's PRS development pipeline as at January 31 stands at 24 schemes, representing 9,104 homes and around GBP2.00 billion in investment.
Of this, GBP845 million is related to investment in the company's secured element, GBP600 million from Grainger's joint venture with Transport for London and GBP570 million from opportunities in the planning and legal stages.
Looking ahead, Grainger said it will launch four new schemes over the rest of its financial year: Solstice Apartments in Milton Keynes, Millet Place in Pontoon Dock, Apex Gardens in Seven Sisters - both in London - and The Filaments on Gore Street, Manchester.
These developments along with Brook Place, which was launched earlier in the year, will allow Gringer to deliver around 1,000 new homes.
"I am pleased to report a period of continued momentum in our PRS growth strategy, as the UK's leading provider of private rental homes. We have made good progress on a number of schemes in our pipeline, including those in the planning process and new acquisitions," said Chief Executive Helen Gordon.
"The outlook for Grainger in 2020 is positive. Grainger is in a strong position to benefit from the market opportunities following the clear result of the General Election which is already driving improved housing market sentiment," Gordon added.
Shares in Grainger - which is headquartered in Newcastle upon Tyne - were up 2.0% at 303.40 pence on Wednesday in London.
By Dayo Laniyan; [email protected]
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