Unite Group PLC Quarterly Valuation Update for USAF and LSAV (0494T)
October 09 2017 - 3:30AM
UK Regulatory
TIDMUTG
RNS Number : 0494T
Unite Group PLC
09 October 2017
Press release
9 October 2017
THE UNITE GROUP PLC
('Unite Students', 'Unite', the 'Group', or the 'Company')
Quarterly valuation update for the Unite UK Student
Accommodation Fund and the London Student Accommodation Joint
Venture - valuations rise 1.6% in the third quarter
The Unite Group plc, the UK's leading manager and developer of
student accommodation, announces the quarterly property valuation
of the Unite UK Student Accommodation Fund ('USAF') and the London
Student Accommodation Joint Venture ('LSAV') as at 30 September
2017.
At 30 September 2017, USAF's property portfolio was
independently valued at GBP2,137 million representing a
like-for-like increase of 1.6% during the quarter. The portfolio
comprises 24,450 beds in 69 properties across 23 University towns
and cities in the UK.
LSAV's investment portfolio was independently valued at GBP1,102
million, up 1.6% in the quarter. LSAV's investment portfolio
comprises 8,477 beds across 13 properties in London and Aston
Student Village in Birmingham.
The increase in valuations is driven by rental growth and 7
basis points of yield compression across both USAF and LSAV in the
quarter. The overall USAF portfolio is now valued at an average
yield of 5.5% and LSAV's portfolio at 4.9%.
As we enter the final stages of the lettings cycle for the
2017/18 academic year, Unite Students has achieved a strong
lettings performance across its whole portfolio with 99% of bed
spaces let.
Joe Lister, Unite Students Chief Financial Officer,
commented:
"The lettings performance for the 2017/18 academic year has been
very strong with occupancy at 99% and full year rental growth at
the mid to upper end of our 3.0% - 3.5% forecast. Contracts with
university partners guaranteeing income and rental growth now
underpin 60% of the portfolio providing a high level of certainty
over future income and demonstrating the strength of our
relationships with high to mid-ranking universities. Demand from
direct let bookings remains strong due to our high quality
portfolio and market-leading service platform."
ENDS
For further information, please contact:
Unite Students
Joe Lister, Chief Financial Officer Tel: +44 117
Candice Macdonald, Head of Corporate 302 7005
Communications Tel: +44 7525
592521
Notes to editors:
About Unite Students
Unite Students is the UK's largest and most established manager
and developer of purpose-built student accommodation. It provides a
home for around 50,000 students, in more than 140 properties,
across 24 leading university cities in England and Scotland. Unite
works in partnership with more than 60 Higher Education
institutions and also lets rooms directly to students.
Unite's purpose is to provide a home to its culturally diverse
customers, offering them a strong foundation for academic and
personal success. The accommodation is high quality, safe and close
to university campuses, transport links and local amenities.
Students live in ensuite study bedrooms with rents covering all
bills, insurance, 24-hour security, fortnightly cleaning of
communal kitchens and bathrooms and high-speed Wi-Fi.
Founded in 1991 in Bristol, the Unite Group plc is a FTSE250
company, listed on the London Stock Exchange, employing more than
1,400 people. It pursues a sustainable growth strategy, designed to
make the most of the resilient nature of the student accommodation
sector. Unite is focused on maintaining its position as the leading
provider of student accommodation in the UK, by having the best
brand, operating the highest quality portfolio and maintaining the
strongest capital structure in the sector. This is achieved with
consistent investment in, and improvement to, the operating
platform; highly selective development activity and asset
management initiatives.
Unite has invested in and operates a two specialist funds and
joint ventures with institutional investment partners, the GBP2
billion Unite UK Student Accommodation Fund (USAF) and the GBP1
billion London Student Accommodation Vehicle (LSAV).
Unite is the founder and major donor of the Unite Foundation.
Since 2012, this has provided free student accommodation and
financial support to 160 young people in the UK who lack family
support.
For more information, you can visit Unite's corporate website
www.unite-group.co.uk, the student site www.unite-students.com or
the Unite Foundation www.unitefoundation.co.uk.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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