Quadrise Share Discussion Threads

[redartbmud] 24/5/2012 08:27

What am I missing?

Loads of comment about progress and development, but the share price remains in reverse.
Who is correct, the directors or the market?

[scburbs] 24/5/2012 07:52

CEO change - I wonder who has driven that?

Operating cash flow positive from April 2012 as promised.

LDO creeping up to 49% let but really need to convert the 12% in advanced negotiation to start to make serious progress. JV discussions underway (again!).

Student accomodation targetting an impressive 5.5% rental growth for next year which should be very positive for future valuations.

On the valuation side there were material valuation falls on Sequel and at Wembley, although Greenwich was up and iQ materially up with Quercus slightly down. Overall £40.5m down.

Gearing peaking with proceeds due from disposals and iQ refi set to bring it down significantly over the next 6 months. New iQ average debt cost is over 3% cheaper so should do wonders for recurring cashflow.

[scburbs] 23/5/2012 07:30

This is particularly good news.

"Quintain, the London regeneration specialist and fund manager is pleased to announce that it has successfully arranged a £70 million financing with M&G Investments for the new 673 bedroom iQ Shoreditch scheme which will open this summer, bringing the iQ portfolio to 5,183 rooms with a rent roll of £33 million."



I don't know why they can't just put it in the RNS, but this is not a like for like refinancing it is obtaining new debt against an ungeared asset and should mean £35m will flow from iQ to Quintain releasing a good proportion of the funding that Quintain has had to inject since the sale to iQ.

"The Group's investment in its joint ventures increased during the six months by £50.0m to £267.0m. This reflected an increase in valuation of £6.7m and an investment of £45.1m during the period. £36.1m of this was spent on funding the development of iQ Shoreditch through a loan to the iQ scheme. We expect this funding to be repaid when iQ refinances this property."

[davidosh] 22/5/2012 10:24

Slightly worrying that the last update on that LDO news blog was September last year though ?? Surely they have done something or signed a deal since then

[quepassa] 22/5/2012 10:10

LDO video link:-



ALL IMO. DYOR.

QP

[redartbmud] 16/5/2012 08:14

Yes and if form is anything to go by they will have no impact on this company's share price!

[davidosh] 16/5/2012 00:26

The Hilton at Wembley and the cable car to Greenwich are both only weeks away from opening now too...

[honiton] 15/5/2012 22:20

Sisk, the builders, are ploughing ahead with LDo and student accomm at wembly

[johnv] 15/5/2012 11:55

Davidosh, my thinking was that, as comm prop values start to rise, the difference becomes even greater that someone will in the end decide to buy.

SL seems to be one of those funds which always sells at the wrong moment.

[corneliusvanderbilt1794] 15/5/2012 10:35

but standard life seem obsessed with taking losses here, heavy seller for three years now

[davidosh] 15/5/2012 10:07

johnv....Surely you could have given that as a forward statement on two or three occasions over the last two years or so? The discount has been there for all that time so it certainly needs the commercial and residential property markets to have some positive visability and bank lending able to back it up going forward as well. Are we there yet is the question ?

[johnv] 15/5/2012 09:18

So here we are, a 35p share with NAV of 116p, when the commerical market starts to pick up , someones going to notice and snap us up.

[scburbs] 15/5/2012 08:37

IMS from Unite looks positive for continued progress from iQ.

"Positive reservations performance with 72% of rooms let for the 2012/2013 academic year, compared to 59% at the beginning of March 2012, and 73% at the same point in 2011, when there was a rush in applications ahead of the introduction of increased tuition fees. Figures are ahead of 2010 levels (71%) and provide continued confidence in rental growth of 3-4% for the full year."



Large new iQ Shoreditch (previously Corsham St) showing a number of room types fully booked (no split of numbers of rooms of each type which might distort this impression given the high value rooms have sold out). Bodes well for a material write up to the asset value on the bargain price that it was purchased from ... QED! At least QED should be on course to get the £4.6m contingent sales proceeds (based on first 2 years rents) as well as benefiting from 50% of the write up.

[redartbmud] 14/5/2012 10:55

What management?

[valedo] 14/5/2012 10:01

yes, agreed. these have been a bit of a disappointment. Still, the potential is there if only management could realise it!

[targatarga] 10/5/2012 13:23

just thought i should say that i've held these in the past and also tried the odd t trade. Everytime i've lost money. Makes you sick when you look at the easyjet graph! imho

[corneliusvanderbilt1794] 09/5/2012 14:40

dont think results matter at the moment mate

[scburbs] 09/5/2012 08:57

Results date up on financial calendar as 2 weeks tomorrow (24th May)

[quepassa] 08/5/2012 12:44

It would be interesting to know how much Quintain received for the sale of the 90% stake in Velocity 1 to Magnet Networks.




All IMO. DYOR.

QP

[scburbs] 16/4/2012 21:27

Hopefully WELPUT will be generating good performance fees for Grafton to help justify the acquisition. A 15.7% p.a. annual return over 3 years has got to produce some juicy fees (albeit in a favourable market for central London) and potentially subject to the question of how it did in the year or two prior to that.

"The West End of London Property Unit Trust (WELPUT), managed by Schroders and advised by Grafton Advisors, has exchanged contracts to sell the freehold interest in Stratton House, 5 Stratton Street, London W1, to a private European investor for around GBP166 million.

The sale price reflects a net initial yield of 4.2%, a net equivalent yield of 4.6% and a sales price of GBP1,670 per sq ft excluding the pre-sold apartment.

...

Nigel Kempner of Grafton Advisors and Head of Fund Management at Quintain Group plc, says: "We have completed the repositioning of this property which, when acquired in 2005, was tired and in need of comprehensive refurbishment. Our team have created best in class accommodation enabling us to sell the new penthouse in early 2010 at a record Mayfair price and lease the offices at rents up to GB{106 per sq ft.

...

William Hill (pictured), Head of Property at Schroders, says: "Over the last three years Stratton House has been a significant driver of the performance of the Trust's property portfolio which, at 15.7% per annum, has comfortably beaten the 12.7% per annum of the IPD Quarterly West End and Mid Town Office Index."



"WELPUT bought the freehold interest in Stratton House in 2005 for £80m.

It carried out an extensive refurbishment which was completed in 2009. A specially created penthouse flat was sold at a record price in 2010."

[redartbmud] 16/4/2012 10:12

2 buys today - 100k and 197k.

Wonder who is averaging down?

[davidosh] 05/4/2012 08:50

owenski....You can contact me by sending an email with 'meeting' in the Subject Line to [e-mail] (a spam filter will discard emails without the word 'meeting'). Just state which event you are interested in as I arrange tens and tens of them through a year.

[owenski] 05/4/2012 08:37

David, what is your email please

[scburbs] 03/4/2012 14:50

Good to see that they did think the iQ refinancing was RNS worthy after all.

With current 5 year swap rates at 1.64%, then this finance looks like 4.5-5%. This compares to 7.8% which they were paying under the previous facility, so a substantial saving.

With NIY at 6.6% and good rental growth then the cheaper debt costs should help to drive very strong income growth from iQ.



"With M&G Investments, a 5 year, £115 million senior debt facility has been secured on nine of the fund's twelve completed buildings at 290bps margin. Deutsche Postbank has agreed a 5-year £42.75 million facility, secured by the fund's remaining three completed assets at a margin between 275bps and 300bps."