22nd May 2015 06:54
LONDON (Alliance News) - London-focused property developer Quintain Estates & Development PLC Friday said its net asset value per share rose in 2014 as the group reported good demand for its residential properties and said that it has agreed a deal to sell a 50% stake in the Hilton London Wembley hotel for GBP40 million.
Quintain said its net asset value rose to GBP639.4 million in the year to the end of March, up 7%, with its net asset value per share rising to 122 pence from 115 pence a year earlier.
The group said it has seen robust residential demand, with 90% of the Emerald Gardens project in North West London sold as of May 20, and 70 apartments at the Alto development sold since the end of the financial year. Quintain said it has a four-year pipeline of 1,200 homes set for completion.
The group's revenue rose to GBP57.7 million, from GBP32.6 million, boosted by a rise in net rental income to GBP15.8 million from GBP3.8 million.
"We are pleased to report results showing that our Wembley Park development has come of age. Together with continued strong market conditions, this has led to higher average selling prices for residential apartments and continued strong demand from purchasers," said Quintain Chief Executive Maxwell James.
"Looking forward, we remain confident about the outlook for Quintain, supported by London's continued strength as a global city, the low interest rate environment, sustained demand for new homes and Wembley Park's emergence as an increasingly vibrant destination to live, work and visit," James added.
In a separate statement, Quintain said it has struck a deal to sell a 50% stake in the Hilton hotel at the Wembley Park development to joint venture partner Oaktree Capital Management LP for GBP40 million in cash. The sale price represents a GBP6 million premium to the March 2015 book value of the property, Quintain said, and the proceeds will be used to acclerate the construction of homes at Wembley Park's Emerald Gardens and Alto sites.
By Sam Unsted; [email protected]; @SamUAtAlliance
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