St.modwen Properties Share Discussion Threads

[bluerunner] 14/4/2015 09:17

Updated on IC yesterday with further BUY recommendation

SMP has revealed that planning agreements and commercial contracts are now unconditional for the regeneration of its 57-acre joint venture development scheme at New Covent Garden Market.

This means that work on the site can start this summer. Not only will the existing market receive a 500,000 sq ft state-of-the art facility over 37 acres, but the remaining area will be developed into 3,000 new homes, 135,000 sq ft of office space and 100,000 sq ft of retail, leisure and new community facilities. The whole scheme is expected to have a gross development value of up to £3bn.

This means that St Modwen's half share will be recognised on the balance sheet, and analysts at Numis estimate that this will boost net asset value by around £100m this year, or 45p a share. The broker also reckons that profits will grow by around 80 per cent this year and net asset value by a quarter.

[redartbmud] 09/4/2015 08:19

Bill Oliver
'major transformational project'

Says it all.

[skinny] 09/4/2015 07:07

VINCI ST. MODWEN AND CGMA COMPLETE DEVELOPMENT AGREEMENT FOR THE REGENERATION OF NEW COVENT GARDEN MARKET, NINE ELMS, LONDON

VINCI St. Modwen (VSM), the 50/50 joint venture between St. Modwen Properties PLC (LSE: SMP) and VINCI PLC, and its partner the Covent Garden Market Authority (CGMA), today announces that the commercial contracts and planning agreements for the regeneration of the 57 acre New Covent Garden Market in Nine Elms, London, have gone unconditional.

This landmark 10 year project, the largest in the Nine Elms regeneration area, will see the delivery of over 500,000 sq ft of new state-of-the-art market facilities across a 37 acre site which will house the 200 market businesses currently employing around 2,500 people. The remaining 20 acres of land will be transformed by VSM into:

- three high quality residential neighbourhoods comprising 3,000 new homes;
- 135,000 sq ft of office space; and
- 100,000 sq ft of retail, leisure and new community facilities, including shops, cafés and restaurants.

The entire scheme, situated in Zone 1, will be set alongside a new linear park for the area, parallel with the river and stretching from Vauxhall to Battersea Power Station via the new American and Netherlands Embassies. This transformational project will also benefit from the extension of the Northern Line and the opening of two new tube stations, resulting in the majority of people who live and work in the area being within a five minute' walk of a tube station.

The main construction enabling works to the new market are scheduled to start in the Summer 2015.

Bill Oliver, Chief Executive, St. Modwen and director of VSM, said: "This latest milestone enables the start on site of this major transformational project which is central to the Nine Elms Regeneration area. It will deliver a substantial positive economic impact in terms of employment, housing, and investment for London."

Bruno Dupety, Chairman and Chief Executive of VINCI PLC and director of VSM, said: "We are looking forward to starting on site to get this exciting project underway. It will transform this area of central London for those who live and work there, in particular the market facilities."

-ENDS-

[bluerunner] 13/3/2015 17:29

Nice to see SMP back on the up after recent retreat.A very nice day.Was it tipped somewhere?

[solomon] 13/3/2015 09:09

Me too! I love these downgrades by penpushers.
(We don't seem to respect the analysts do we?)

[deadly] 13/3/2015 09:05

That downgrade gave me a nice chance to buy some more.
Should be back up to the highs soon.

[redartbmud] 09/3/2015 08:34

J P Morgan downgrades Overweight to Neutral.

[deadly] 09/3/2015 08:28

Down almost 5% this morning???
Any news?

[eggbaconandbubble] 26/2/2015 07:24

The Full Year Results Presentation is well worth listening to. 50 mins - Home Page on the website.

[solomon] 03/2/2015 11:43

Indubitably not wrong, deadly.
Ignored but who cares? The company is doing a fine job with our money.

[deadly] 03/2/2015 11:26

Would it be wrong to say stellar results today, even if ignored by many?

Financial highlights

-- 68% increase in profit before all tax to GBP138.1m (2013: GBP82.2m)

-- Shareholders' NAV per share up 17% to 324.9p (2013: 278.8p), and EPRA NAV per share up 16% to 344.2p (2013: 297.7p)

-- Earnings per share up 57% to 52.7p (2013: 33.5p)
-- Property profits up 45% to GBP57.7m (2013: GBP39.8m)

[bluerunner] 23/1/2015 12:04

Moving up nicely now with a nice outlook for growth.IC's growth tip of the year for 2015.

[peaeff] 15/1/2015 08:17

I sold at 394p hoping there would be one more dip before the actual figures are released on 3/2. Wrong again, but I'm now thinking 450p may arrive sooner than later. We seem to have cleared the 400p barrier so onward and upward. Must get back in on next dip if there is one.

[bluerunner] 12/1/2015 00:07

I think more will read this thread.This was 2015's growth share of the year in IC.

[peaeff] 24/12/2014 14:16

A very merry Christmas to all who bother to read this thread and I feel good things are about to happen here with the share price in the new year.

[skinny] 02/12/2014 07:56

YEAR OF OUTPERFORMANCE UNDERPINNED BY REGIONAL MARKET RECOVERY

St. Modwen Properties PLC (LSE: SMP), the UK's leading regeneration specialist, today provides a trading update for the financial year ended 30th November 2014.

Initial indications suggest that our full year results will reflect an uplift in property valuations, arising from both market driven movements in an improving regional market and our own value add development and asset management activities, which will exceed management expectations. Profit before all tax is therefore likely to be at the top end of market expectations.

We continue to be successful in securing planning permissions for our commercial and residential sites. This was most notably demonstrated by a resolution to grant planning from the London Borough of Wandsworth for the redevelopment of New Covent Garden Market in Nine Elms, London received in November 2014. We are now working towards concluding the Section 106 Agreement with the target of achieving unconditional planning status in the first half of 2015.

Activity across our commercial portfolio has accelerated this year as the regional market has continued to recover. We have a significant number of development projects now under construction across the UK, including over 1 million sq ft at Swansea University's Bay Campus and the 150,000 sq ft Marks & Spencer store at Longbridge, Birmingham.

Occupational demand continues to gather pace. This is clearly manifested by the performance of our well let income producing portfolio which is providing a strong revenue stream to underpin the running costs of the business.

The residential market has continued to perform well and overall profits from residential development remain in line with expectations set out at the half year. Demand for residential land is good and we continue to secure disposals above book value in London, across the South East and in the regions.

Having substantially restructured our debt portfolio at the half year and with positive net cash generation in the second half of the year, we remain in a strong position financially, approaching £200m of undrawn facilities in place.

Bill Oliver, Chief Executive of St. Modwen, commented:
"Our commitment to the UK regions is paying off, with good returns already being achieved as we continue to grow our active development portfolio with new commercial and residential opportunities, underpinned by the upturn in the regional property market.

"This, combined with our successes in the residential market and in London and the South East, leads us to anticipate record profits for St. Modwen for the 2014 financial year."

-ENDS-

[peaeff] 16/11/2014 17:56

broadwood

I'm not sure if you are still invested here, it doesn't appear to be a popular site, but if so would you agree that considerable upside could be due here before Christmas.

We have had an RNS stating that profits will be significantly ahead of market expectations and a further one confirming the go ahead on the Covent Garden site. A director has just bought 15000 shares and I believe a trading update is due in early December.

The building trade has been well supported recently by the government and indeed the media and I feel a large jump is imminent.

regards

[broadwood] 01/10/2014 09:44

After a strong third quarter in its regional, commercial and residential markets, property developer St Modwen said it now expected to beat profit consensus forecasts for the full year.
The FTSE 250 brownfield specialist said all areas of the business were making "excellent progress, supported by tangible growth in regional markets across the UK" meaning pre-tax profits would be "materially ahead of 2013".

Commercial property saw interest accelerating from potential tenants and investors, with an increase in construction activity and growing regional commercial pipeline.

Since the half year, St Modwen has sold £38m of assets in investors, with all transactions being above their book value in May and the funds reinvested in asset management, new property or land.

In residential, two joint ventures with Persimmon enjoyed "good sales rates", with 617 units completed in the financial year to date, while St Modwen's has agreed terms for circa £80m of land sales to housebuilders. Exchange or completion of these sales is expected by the year end, all at above book value.

Chief executive Bill Oliver said: "We continue to add to our UK development pipeline as we start on site with a variety of projects, including the 150,000 sq ft Marks & Spencer store at Longbridge, Birmingham and the next phase at Swansea University's £450m Bay Campus development.

"This increase in construction activity illustrates the improvement in the commercial property market, both in general and specifically in the regions, which are now starting to experience good tenant and investor demand.

"Similarly, the residential market continues to gather momentum with strong sales rates being achieved across all of our housing sites.

Analysts were impressed, with Oriel saying it will review its NAV forecast of 335p for the full year, which reflects growth of 12%.

"The shares have been trading sideways for much of this year and at 367p are, we estimate, trading at only a small premium to NAV, which given the upside from New Covent Garden due potentially in full year 2015, looks good

[peaeff] 01/10/2014 08:47

What a cracking update, maybe the brokers will have a good rethink on this one and upgrade us a lot.

[broadwood] 01/10/2014 08:13

Seconded.

Cushty.

[redartbmud] 01/10/2014 08:09

Luuvvlly jjuubbllyy.

This time next year Rodney, we'll all be miwwionnairs.

Sorry bw, I could't resist.

red

[broadwood] 01/10/2014 07:21

Superb.

As a result, management expectations for the full year's profit before all tax have increased beyond existing market consensus and this is now expected to be materially ahead of 2013.

[broadwood] 01/7/2014 13:15

Better-than-expected first-half numbers from property and land regeneration firm St. Modwen Properties on Tuesday prompted Numis Securities to upgrade its recommendation from 'add' to 'buy', saying that the stock's valuation "feels too low".

"Momentum across all aspects of the business is improving, with the demand for residential land growing and corporates now starting to spend on capex after significant balance sheet de-leveraging over the past five or so years," Numis said

[skinny] 01/7/2014 09:52

Numis Buy 373.05 358.60 441.00 441.00 Upgrades

[broadwood] 01/7/2014 09:16

St. Modwen profits soar as confidence returns to regional property

Half-year profit jumps 32%
- Increased dividend payment
- Residential and commercial valuations improving

UK regeneration specialist St. Modwen Properties posted a 32% increase in half year pre-tax profit, increased its dividend and said improving valuations particularly in the residential sector underpin its confidence for its full-year performance.

Pre-tax profit rose 32% to £51.3m for the six months to May 31st 2014 from £38.8m a year earlier. Net asset value (NAV) per share rose 5.5% to 294.2p from 278.8p per share a year earlier.

The developer posted realised property profits of £19.1m, up from £16.1m a year earlier.

Chief Executive Bill Oliver commented: "Against a backdrop of improving optimism across the country, we are prudently increasing our pipeline of development activities and actively pursuing new opportunities to meet growing investor interest and occupier demand.

"Whilst we are still some way from a wholesale UK recovery, confidence is starting to return to the regions. Here our traditional engine of growth, commercial development, is beginning to gain momentum with over 1m sq ft of regional commercial projects in progress. This combined with our improving valuations particularly in the residential sector, underpin our confidence for continued outperformance as we work towards the full-year."

The FTSE-250 group said it is making good progress across all major future projects including New Covent Garden Market with the submission of a planning application in May 2014 for the redevelopment of the site.

St. Modwen underlined its confidence in future trading with a 10% increase in its interim dividend to 1.463p per share.