Market Commentary - Housing, Infrastructure, Construction and Services 9th June 2017
What do we make of that? There is no company news today as you may have expected. In the absence of news we mention below two fundamental changes taking place in the sector, Partnership Housing and Modern Methods of Construction on which we have done much work recently. Get in touch if you want to hear more. The recent positive news from quoted entities about prospects in Partnership Housing begs the question of who might pay to have the properties built and how. The Modular/MMC (Modern Methods of Construction) market looks right and the news that Berkeley is looking at a site for a 2,000 unit pa modular factory at Northfleet is a big move.
Read more...Market Commentary - Housing, Infrastructure, Construction and Services 8th June 2017
The proposed offer by Elis for Berendsen has been increased to the equivalent of 1250p (plus 11p of dividend), from 1180p and at 6.35pm yesterday it was announced that it is now recommended by the acquiree’s board. Two macro pieces of news are worth considering. The Halifax Building Society yesterday indicated that house prices are growing at the slowest rate for four years at 3.3%, which is believable and consistent with other monitors of house prices. The OECD stated the UK needs to take steps to counteract the adverse impact of Brexit and slowing real growth in real household incomes; the recommended steps included more borrowing.
Read more...Market Commentary - Housing, Infrastructure, Construction and Services 7th June 2017
Galliford Try, Workspace and St Modwen have news this morning. Yesterday we attended Morgan Sindall’s Capital Markets Day. The upwards moves yesterday were unconvincing, befitting the uncertainty we know exists
Read more...Market Commentary - Housing, Infrastructure, Construction and Services 6th June 2017
VP plc, WYG, Countrywide and Fulcrum Utility Services grab the headlines in the HICS sector this morning. There were few upwards moves in the HICS universe yesterday. The downwards moves were more numerous but they were small indicating the ebb and flow of trading rather than big changes.
Read more...Market Commentary - Housing, Infrastructure, Construction and Services 5th June 2017
Telford Homes provides the news today with an announcement that it has signed a development agreement with US build to rent specialist Greystar to deliver 894 new homes on two sites at Nine Elms. There is some new news planned for this week with Fulcrum Utility Services having finals on Tuesday and Morgan Sindall has a site visit. On Wednesday Mears has its AGM and Halifax Building Society is due to release its monthly price index; St Modwen is also due to make an update on election day and on Friday there is no planned news.
Read more...Market Commentary - Housing, Infrastructure, Construction and Services 2nd June 2017
Half term, election next week and the sun is shining so little surprise there is limited new news. On house prices the City has gone quiet on the risks facing the sector. Regular readers will be aware that we have been a fan of SIG and this morning LXi Reit plc has announced that it has paid £9.3m to buy a 250,000 sq ft/15 acre facility near Carlisle used to cladding and components and sub-assemblies by the Distributor.
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