PIE-EATER
05 Jun 2017
Re: RNS: results..BTR OPTIONS eadwig...The REIT mentioned by another poster is indeed called The PRS Reit. (PRSR) It is targeting an initial yield of 5% based on 100p launch price and when fully invested and firing on all cylinders an annual total return of 10%. Seems to be based in and around the M62 corridor primarily....Manchester Sheffield etc.WJG is also involved in this field but is probably primarily known for the student accommodation side of the business...which I suppose is really just BTR for Unis.....
dazedandconfused
05 Jun 2017
RNS: Greystar Nice new news, and an interesting area to be developing in (given the Northern Line extension) but i'm puzzled where the margin comes from if they still have to agree a Design & Construct contract?
Eadwig
04 Jun 2017
Re: RNS: results Theblue,Thanks, already invested in WJG. They're concentrated on student accommodation at the moment which was my last big play. Now Brexit looks likely to kill that, I don't see any reason WJG can't switch to the type of Build to Rent property I was speaking of. In fact there may well be money in conversion from new build student accommodation to communal living-style residential properties.Again, WJG are just the build side though. I'd like to play it for growth on that side, and long term for dividends and hopefully capital growth too (which was the plan with student accommodation, unfortunately very likely holed beneath the water line now, with a minimum 30% contraction in numbers on the way if Department of Brexit promises are kept, and likely much more than that).Also, I must admit, I got mixed up somewhere (with Henry Boot I think) that WJG were based in Scotland. I'd much prefer they were for strategic, long term survival, as it were. North Wales - and all their big current projects are pretty local - is, how can I put this nicely? North Wales is not the natural destination of choice for students or immediately springs to mind when talking about an urgent need to meet housing demand with affordable solutions to a standard of quality the younger generation graduate work force demands. Liverpool and Manchester are within their Bailiwick too, of course.PS. I know H.Boot are based in Sheffield, but they do have a Glasgow office also, one of five throughout the UK. Glasgow is one of the few cities with a global top 100 Uni (St Andrews of course, too, across the country) now we're slipping down the global tables, a large part of which are based on abilities to hire the best talent in the field of study - no matter where they happen to have been born, and the mix of students in classes from differing backgrounds and cultures.Scotland will fight student visa caps vigorously, if in vain, and have already realised their future is dependent in great part on that huge slice of their economy. I'm sure nationalists will be talking about independence, rejoining the EU and faculties of Oxford and Cambridge being built in Scotland, along the model of those already planned in France. I would be if I were a SNP politician, anyway, once Brexit is over and Scottish independence is firmly on the agneda again.It might all sound a bit outrageous, but I went into student accommodation thinking in terms of a full business cycle of 8-11 years, and look where we are now just a couple of years in. 425,000 foreign students all to be reduced to 'tens of thousands' along with every other immigrant coming into the country. I reckon student accommodation is already probably over-supplied come, say, 2020 (when current courses are completed). I'm assuming those already on a course will be allowed to complete it, which might be a mistake. I'm also assuming a Tory General Election win and the manifesto promises kept.
Eadwig
04 Jun 2017
Re: RNS: results twotonetyrone,Thanks for the info. It gives me some further avenues of research.I actually said TEF was the purEST play I could find ob buy to rent, but by no means a pure play. they're only involved in the building side of it, as far as I'm aware.That is the fast growth sector side, having said that. That's why I suggested a REIT as a better vehicle for the high dividend paying asset management side over the longer term - with hopefully capital growth too, but these kind of builds may not attract capital growth like, say, Victorian terrace houses and obviously individual properties.
theblue
03 Jun 2017
Re: RNS: results Try wjg. Let me know what you think. Based in north wales but build nationwide.
twotonetyrone
02 Jun 2017
Re: RNS: results EadwigBrief responses to some of your points:- L&G's entry into BTR is via a fund managed by LGIM. L&G's share price exposure to this would not touch the sides. Same with M&G (Prudential), Aviva, Standard Life, etc- Have a look at Grainger......one of largest resi landlords. They might not use the recently coined phrases BTR, PRS, etc but do the same thing.- A PRS REIT has recently been launched with seed investment from government via HCA. Can't remember name, google it.- Accept your comments on BTR but don't think TEF are pure play. The schemes they've done thus far are ones they've taken through planning and then forward sold to an institution (M&G) who will own once TEF finish development. Therefore TEF are creating the product but another party will own/manage the investment. You see my point that model isn't pure play BTR.I still like (and hold) TEF.TTT
Eadwig
02 Jun 2017
Re: RNS: results uselessbaba,I've been looking for plays on residential 'build-to-rent' and, besides TEF and INL (which is far more rental homes for councils in the south east and south coast and managing the rentals on behalf of council, mixed with three or four other revenue streams). Other than £600m invested by Legal & General, I can't seem to find any other listed plays, let alone 'pure plays' on this theme.If anyone has any suggestions, I'd love to hear them.All the major players seem to be private companies (and not all British by any means). There are 'build-to-rent' REITs, but they are commercial properties (E.g. LXI, BBOX) and commercial properties, on the whole, are not going to have the same capital growth of assets. In fact most commercial properties depreciate pretty quickly, only the land appreciates.A residential 'build-to-rent' REIT would be a high dividend paying, growth play, which I can't quite understand why no one has gone for that model as yet - something along the lines of ESP, who commission or buy student accommodation and then manage the assets and make money on the rents, as opposed to just the initial building side of the equation.TEF is about the best play you can find (unless anyone knows any others?) and with a huge sales pipeline and a relatively small market cap and a weak pound, it might well be a target for someone looking to leap into what appears to be the next big thing in the UK residential housing sector.However, I think most predators would be looking to get in on the longer-term asset management side of things, rather than the building, or perhaps the whole thing, in which case TEF does become a target.Of course, there are housing associations, which have always been in the build-to-rent market, but I'm not convinced they are adapting to the new model which is more a rental for the younger, singles market or young couples who wish to remain flexible until their careers settle down, perhaps. Often with services like general maintenance, parking, cleaning, laundry, utilities, high speed broadband, TV services etc etc, even a gymnasium and pool at the higher end of the market, either included in the rent or some as optional extras. This is a very standard model in many cities throughout the world, most obviously places like Chicago and New York, but many, many other countries too.Every time I see the London skyline it seems like another residential 'skyscraper' has been added and Manchester seems to be granting permission for another tower every few months or so. I'm sure other cities are too.UK housing associations have never worked along those sorts of lines, so I don't really see them as competition in the same way for the young, careerists, who can't get a deposit together or aren't prepared to commit to a mortgage so early in their careers.
city watcher
01 Jun 2017
500 - 2000 rented homes over 3 years Evening Standard - wed. 31st May.'TELFORD HOMES tockets on rentals 'A decision to debut in the rental flats market last year has paid off for Telford Homes,the housebuilder said today, as it revealed record sales and profits.Boss Jon Di-Stefano said that, since early 2016, the company has secured a pipeline of 500London rented homes to construct. This is anticipated to increase by around 2000 over thenext three years. "Rental demand is robust in London, and institutional investors are not worried about the upcoming election. They see that long-term returns in the private- rented sector are strong," he added. AIM-listed Telford Homes also said, demand from housebuyers had held up since the Brexit vote.Revenue jumped 19% to £291.9 million in the year to March 31. Pre-tax profits rose 6%to £34.1 million.
donna blitzen
01 Jun 2017
Re: just in Very probably a good move, fitcontroller. Welcome here and best of luck. 500p+ in prospect in due course. The company has a good couple of years ahead of it.
fitcontroller
01 Jun 2017
just in bought in here with profits from TW. been awesome, but need to reduce holding to sensible levels
II Editor
31 May 2017
NEW ARTICLE: More to come from Telford Homes "Housebuilding is back in fashion with investors as the outlook on the sector, after predictions of doom and gloom for property in general post-EU referendum, begins to look more rosy.We heard recently that feted fund managers Neil Woodford and ..."[link]
Bryan67
31 May 2017
Re: RNS: results Yep just bought in. Ticks virtually every box for me.
malj1
31 May 2017
Re: RNS: results Yes TEF v interesting comments in the a/c's. All & sundry worried by BBA/BoE showing falling transactions (yet strongly increasing av mort £ implying ditto hpi). TEF show significant step change up in sales to PRS/BtR. In short landlords hoovering up volume, reducing supply available to open market buyers, thus driving up prices. Effectively these transactions are cash buys & fall outside BBA/BoE coverage.
uselessbaba
31 May 2017
Re: RNS: results Yes, excellent results, I am wondering how long it's going to be before we get some predators sniffing around. Surely TEF must be attracting the attention of some of the big boys. I was thinking maybe one of TEF's new build-to-rent partners, relatively low market cap, good income + growth prospects are usually very appealing to pension/insurance funds, plus you keep the profits in house. Just a thought.UB.
ookyfly
31 May 2017
RNS: results Excellent results. Relly outstanding in fact.Excellent prospects too in the years ahead.Divi up 10% too.Glad this is one of my largest holdings.
