Britain’s largest quoted housing landlord cautious

 
City A.M. Reporter
BRITAIN’S largest quoted housing landlord Grainger said yesterday that its full-year operating profit rose 19.5 per cent to £94.2m, but expressed caution about the outlook for the UK’s housing sector.

“In light of the ongoing challenge of the current economic climate, we remain cautious about the prospects for general growth in residential values over the next two years,” Robin Broadhurst, Grainger chairman said.

Its net loss in the year to September narrowed to £10.8m from £122m a year earlier

The company said its gross net asset value per share rose 3.1 per cent in the 12 months to the end of September to 200p, up from 194p, and it proposed a final dividend of 1.2p per share for a full-year total dividend of 1.7p.

Grainger, which also owns property in Germany, had said last month it expected group property sales in the year to the end of September to fall 23 per cent due to a challenging UK housing market, although trading profits will improve on higher margins.

Economists have warned that the housing sector faces further falls in prices as rising unemployment takes its toll.