In QuotedData’s morning briefing 5 October 2023:
- The Unite Group (UTG) has provided a trading update and Q3 valuations. Rental growth was up 7.3% for the 2023/24 academic year, with a 99.7% occupancy rate (versus 97.9% for the prior year). The Unite UK Student Accommodation Fund property portfolio was valued at £2,929m, a 0.2% increase on a like-for-like basis during the quarter. The increase was driven by quarterly rental growth of 1.9% and a 9 basis point increase in property yields; while the London Student Accommodation Joint Venture investment portfolio was independently valued at £1,936m, a 0.2% decline on a like-for-like basis during the quarter. As a result UTG’s overall value was broadly stable for the quarter. Richard Smith, the CEO of Unite Students, the manager of UTG, will step down as CEO from 31 December 2023. He will remain as an adviser until the end of September 2024 to ensure a smooth handover. The board has appointed Joe Lister as CEO, effective from 1 January 2024, with Joe having spent 22 years with Unite and 15 of those as CFO.
- Great Portland Estates (GPE) has provided a business update for the six months to 30 September. There has been strong letting performance, 13.4% ahead of the March 2023 ERV. There has been a new £250m unsecured term loan, with GPE now having cash and undrawn facilities in excess of £470m.