ADVFN Logo

We could not find any results for:
Make sure your spelling is correct or try broadening your search.

Trending Now

Toplists

It looks like you aren't logged in.
Click the button below to log in and view your recent history.

Hot Features

Registration Strip Icon for alerts Register for real-time alerts, custom portfolio, and market movers

GRIO Ground Rents Income Fund Plc

31.00
0.00 (0.00%)
28 Mar 2024 - Closed
Delayed by 15 minutes
Share Name Share Symbol Market Type Share ISIN Share Description
Ground Rents Income Fund Plc LSE:GRIO London Ordinary Share GB00B715WG26 ORD 50P
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  0.00 0.00% 31.00 30.00 32.00 32.00 31.00 32.00 22,900 08:00:04
Industry Sector Turnover Profit EPS - Basic PE Ratio Market Cap
Real Estate Investment Trust 5.6M -7.52M -0.0786 -3.94 29.66M
Ground Rents Income Fund Plc is listed in the Real Estate Investment Trust sector of the London Stock Exchange with ticker GRIO. The last closing price for Ground Rents Income was 31p. Over the last year, Ground Rents Income shares have traded in a share price range of 30.00p to 40.10p.

Ground Rents Income currently has 95,667,627 shares in issue. The market capitalisation of Ground Rents Income is £29.66 million. Ground Rents Income has a price to earnings ratio (PE ratio) of -3.94.

Ground Rents Income Share Discussion Threads

Showing 1 to 19 of 225 messages
Chat Pages: 9  8  7  6  5  4  3  2  1
DateSubjectAuthorDiscuss
28/8/2013
07:30
Quarterly dividend of 1.15p (against 0.7p last time), so that's annualised to 4.6p which gives a pretty respectable return, partially indexed.

Presumably the earlier 0.7p was due to funds incompletely invested.

jonwig
22/5/2013
09:36
c.60% of ground rents they own have a link to RPI
davebowler
12/5/2013
13:54
Analyst - thanks for that.

GRIO seems to be paying an annualised 2.8p (say 2.5% on offer price) which is largely index-linked to ... something! (As mentioned before, there's no forecast in the prospectus or since.)

I suspect this might be a good rate in that it's lots better than index-linked gilts and (I think) just about as safe, in that the freeholder (GRIO) will have legal power over any owner who defaults on a pretty minor amount.

It will be interesting to see how the take-up of the new shares goes.

jonwig
12/5/2013
12:53
There is an article in The Times (Sat 11th May) about Ground Rent investing.
It does not mention this Real Estate Investment Trust Ground Rents Income Fund plc (GRIO), but mentions a Property Authorised Investment Fund (a type of OEIC) called TIME Investments Freehold Income Authorised Fund (formerly called Freehold Income Trust), which has a superb long-term performance record. You can't buy that without going through an IFA though, min £5k.

analyst
03/5/2013
06:22
£36.8m placing of 2% Convertible Preference Shares. Essentially 'C' shares which will convert to ords (not 1:1) in about a year's time.

Yield will be index-linked to some measure.

jonwig
04/4/2013
21:37
Forget tht last post lol
badtime
04/4/2013
21:00
Excuse what's the epic code?TIA
badtime
04/4/2013
16:44
August 2011, "4-4.5% yield in a ground rent fund":
jonwig
04/4/2013
16:42
Dated 2009:

Ground Rent Investment Yields

Graph 7 shows the performance of ground rent investments over the past 10 years.

The analysis splits those interests having between 80 and 125 years to run from those that have terms of 800 years or more unexpired.

Yields from ground rents in the former category have remained fairly steady over the period. However, from a low of 5.08% in 2006, average yields in the 80 to 125 year market have moved out latterly to 7.23% in 2009.

There has however been a more prevalent reaction to the recession in the 800+ year unexpired market with a notable fall in average yields from a peak of 6.36% in 2007 to 4.33% so far in 2009. This arguably reflects investors' preference for long term secure income in times of turbulence and identifies longer term ground rents as the only area in the residential investment market to show a rise in values over the last two years of economic uncertainty.





I'd think commercial yields a bit lower, in general.

jonwig
03/4/2013
09:46
jon - agred, they didn't specify the target yield in the listing particulars, just a 90% distribution (which is in the REIT rules anyway). I would hope c4% net of expenses once fully invested, but will be much lower in Y1 and there will be a lag on these new funds being invested.
18bt
03/4/2013
07:17
Yes, I have a few as part of my "alternative assets" allocation.

They say in the RNS: The investment which has taken place in the last three months will put the Company in a good position to achieve its target year-one dividend yield.
But I haven't been able to find anywhere guidance on the expected yield for shareholders. I hope it's better than 2% indexed once fully-invested!

jonwig
03/4/2013
06:45
Have gradually created a position in these as inflation protection in my SIPP at around £1.04, the last yesterday. Reasonable trading update - index linked yield of 5.4% on the new investment. Hopefully one for the long term.
18bt
03/4/2013
06:33
Non-dilutive capital raise:

a [£50m] convertible preference share issue so that current shareholders are not unfairly diluted by a straight capital raise. The convertible preference shares will carry a 2% coupon which will be payable quarterly in line with the current dividend payment timetable (from September 2013). The placing is expected to close before the end of April 2013 and will be subject to shareholder approval at a general meeting of the Company expected to be held in May 2013.

jonwig
24/10/2012
08:02
Their balance sheet hasn't the distributable reserves to pay a dividend, so they are going to the trouble and expense of convening a meeting and a high court ruling on removing the share premium account, simply in order to give investors of two months a bit of their money back.

Since most of these will be institutions, they might need the income to satisfy income fund targets. Ultimately, retail investors will bear the costs.

I've no idea what the settled-down earnings will be here, but the share price seems to be deflating, which suits me.

Reminder about the warrants:

Under the Placing and the Subscription, Warrants will be issued for nil consideration on the basis of one Warrant for every five Subscription Shares. The Warrants are constituted by, and will be issued subject to
and with the benefit of the Warrant Instrument. Warrantholders will be bound by all the terms and conditions set out in the Warrant Instrument.

A Warrantholder shall have the right ("Subscription Rights") to subscribe in cash (£1.00) ("Exercise Amount") for the number of Ordinary Shares to which he is entitled on 31 August in each year following Admission up to and including 31 August 2022 ("Subscription Date").

The number of Ordinary Shares to which each Warrant relates is (prior to any adjustment in accordance with the Warrant Instrument) one Share.

jonwig
18/8/2012
06:53
CITYWIRE 13/08/12:

Brooks Macdonald revamps ground rent fund after Ucis concerns

Brooks Macdonald Funds has revamped its £13 million Braemar Ground Rents fund following the Financial Services Authority's (FSA) concerns over unregulated collective investment schemes.

The group has launched the Ground Rents Income Fund, a closed-ended fund listed on the Channel Islands stock exchange, which has acquired the assets of the Braemar Grounds Rents Ucis fund.

The fund has also listed on the London Stock Exchange's SETSqx platform with around £50 million of assets.

Brooks Macdonald funds investment director James Agar will manage the fund, and is targeting £150 million of assets within three years.

Agar said the shift in structure followed concerns from the FSA over Ucis. 'We've seen a change from the regulator in their view towards Ucis vehicles,' he said. 'Given the nature of the underlying assets, we believe a closed-ended structure to be more appropriate. The underlying assets are long dated, very secure and provide stable streams of income.'

Agar said that ground rents had bond-like properties. The fund invests as the freeholder of a property, to which the leaseholder typically pays a small annual sum of between £50 and £250.

Agar added that the new fund would be likely to achieve better liquidity and risk profile, as well as lowering the total expense ratio from over 2% to 1.2%. The annual management charge will be 0.55%.

jonwig
15/8/2012
13:37
mhawthorn - thanks for your comments.
I never chase new issues soon after IPO, and certainly won't with this one.
My research had hardly begun!

jonwig
15/8/2012
12:21
This fund appears to be be the Braemar Ground Rent PCC, which was CISX listed - in fact I will go as far as to say it is the same portfolio under a new name! The previous performance was shockingly bad, especially when compared to other ground rent funds. I am unsure why an ungeared portfolio with a gross yield of around 6% (according to their figures) was unable to return 1%. Ground rents offer a range of additional income streams therefore a basic yield of 6% should be bringing in around 8 - 12% without much effort on a portfolio such as this. The only thing I think they deserve complimenting on is their ability to reinvent themselves on a regular basis, all the while taking fees but not returning anything like what they should to investors. I am tempted to buy a small amount of shares just to attend the AGM and pose a few questions.

You may have guessed I am invovled in the industry and we run a small private fund (fully subscribed) as well as a number of our own vehicles

mhawthorn
15/8/2012
08:34
This is probably a safe but boring investment - maybe the board and managers will find it interesting as they draw their fees?

Anyway, it will need to drop back to 100 (issue price) before I consider a purchase.

jonwig
15/8/2012
08:31
. .



Significant Holdings
(Total 84,514,283 shs (30/06/14) plus 8,464,662 warrants).

Architas Multi-manager .. 16,917,010 19.7%
Brooks Macdonald ........ 11,076,853 13.1%
Henderson Global Invs .... below 5%
Investec ................. 4,188,222. 5.0%
Ruffer LLP ............... 4,750,000. 9.0% [needs updating]

jonwig
Chat Pages: 9  8  7  6  5  4  3  2  1

Your Recent History

Delayed Upgrade Clock