Unite Share Discussion Threads

[speedsgh] 13/5/2021 09:12

"Don't you love a down day..." or two! Most welcome when you're trying to build a position :o)

[maddox] 11/5/2021 22:26

Don't you love a down day - so apparently it's as a result of a fear of inflation leading to rising interest rates. With the amount of debt the Govt has accumulated it is difficult to contemplate anything more than a marginal rise. The firms that are subject to adverse inflationary effects are those with rising input prices but without the pricing power to pass on the increased costs in their own prices. So, nothing much to worry about IMHO.

[speedsgh] 11/5/2021 21:10

Well, I finally took the bull by the horns late this pm and added to my starter position at just under 1128p. No idea what the share price will do in the short term but content to keep my eyes fixed firmly on the horizon. Just hope I haven't broken the bull!

[maddox] 11/5/2021 20:43

So we have a buying-in opportunity

[bothdavis] 11/5/2021 17:48

Markets down ....inflation fears!!

[thufirhawat] 11/5/2021 13:38

1,146.50 -2.67% (-31.50) ??

[thufirhawat] 11/5/2021 11:11

Whats up with the price today? 1,149.50 -2.42% (-28.50)

[madengland_] 06/5/2021 22:07

Hi speedsgh, I am not a chartist but take a look at the Dow 3 year chart, then take a look at this. I appreciate there is no comparison but..... I still think there is a great deal of value to be had here. In many respects the business is even stronger than it was pre pandemics

[maddox] 06/5/2021 14:20

Hi speedsgh, Thank you for your kind remarks. There is really no easy answer to that feeling of 'missing the boat' it is a classic psychological challenge - buying in at higher prices. Pound Cost Averaging making a series of smaller investments is probably the best strategy as well as taking advantage of any dips. In the long run hopefully a few percent here or there won't be significant. Cheers Maddox

[speedsgh] 05/5/2021 16:49

Hi Maddox. UTG had been on my radar/watchlist for a long time but it's thanks to you and your excellent StockSlam presentation from Feb this year that pushed me into pulling my finger out and doing some hard research. So I owe you one but only a small one at this stage due to the limited size of my position :o) With hindsight, yes, I probably should have been bolder when I first attained a better understanding of the investment case here but the share price had already started running uphill and, being the ultra cautious type, I held off which, to date, has merely been to my cost. Que sera. As I say, if I have missed the boat, I will not lose sleep over it. There are always opportunities elsewhere and there will doubtless be further opportunities here as well at some point in the future [said in hope more than confidence!] ATB

[maddox] 05/5/2021 10:53

Hiya speedsgh, Yes, great announcement and good to see the performance fees quantified at 'approximately £20-30 million (5-8 pence per share), to be recognised in 2021' and paid in cash 4Q. The other welcome comment is the intention of CIG/UTG to look for further acquisitions. This is built upon their successful acquisition of Aston Uni's campus accommodation. This gives he green light and financial fire power for Unite to source similar deals. Unite is uniquely well placed through its capital structure in comparison with ESP and DIGS etc. Their exemplary management of the Covid-19 challenge has enhanced their already excellent reputation and makes them the default choice for University deals. Good luck speedsgh with your scaling-in - timing the market is always a challenge. Regards Maddox

[speedsgh] 04/5/2021 20:58

Absolutely cracking announcement this morning imo re 10yr extension to the JV with GIC. Well-deserved recognition of the impressive performance of Unite as property/asset manager since the JV's inception in 2012. Still looking to build on my starter position here so I am rather selfishly hoping for some general market volatility in the coming months as it feels like this is running away from me at the moment. Of course any talk of a new wave of Covid and/or reintroduction of local/regional/national lockdown measures is likely to impact the whole market but tbh I would rather I miss the boat here than wish that on all of us. I perhaps should have been a bit bolder when I first entered. GLTA

[madengland_] 04/5/2021 10:33

A usual trading pattern when we get good news. Start up, sell off, rise through to close. Should break 1200 soon but long term is a good deal higher I feel

[madengland_] 14/4/2021 12:29

Agreed Maddox, all looking positive. It's a lovely SIPP and ISA stock to sit on for a few years

[maddox] 12/4/2021 08:08

Positive update this morning, and optimistic outlook: '2021/22 reservations We have seen a strong sales performance since our preliminary results on 16 March, reflecting increased confidence from both UK and international students as lockdown restrictions begin to ease. Across the Group's total property portfolio, 73% of rooms are now reserved for the 2021/22 academic year with the deficit in sales to prior year continuing to narrow over recent weeks (2020/21: 80%).' This is then reflected in the portfolio valuations. As at 31 Mar 2021 the two funds are: USAF – Unite own 22% - like-for-like asset value increased 0.5% during the quarter; and LSAV – Unite own 50% - like-for-like asset value increased 1.3% during the quarter. Overall UTG are forecasting a "2-3% rental growth in 2021/22." So looks like we're going in the right direction and back to normality.

[madengland_] 08/4/2021 16:34

Looks like the CFO has filled his ISA

[madengland_] 29/3/2021 10:41

Thanks Maddox, looks like the crowd are waking up to the value.I'd appreciate another little drop so I can fill the isa after 6/4.

[maddox] 27/3/2021 12:43

Knight Frank says that rising demand for university places points to a positive outlook for UK PBSA. As reported by PropertyIndustryEye: 'Analysing UCAS’s latest data on student numbers, global property consultancy Knight Frank said that it “makes for positive reading, despite the pandemic”. More than 728,000 students applied to start a full-time undergraduate course at UK universities in the 2020/21 academic year – nearly 22,500 more applicants than the previous year and only the second year-on-year increase in applications in the last five years. There was also an increase in the number of applications from outside the UK, which climbed 7.5% compared to 2019 levels. Higher application volumes supported a rise in total acceptances, with the number of students enrolling on a university course up by 5.4%. Matthew Bowen, Head of Residential Investment Research at Knight Frank, said: “The data suggests that initial fears of a sharp decline in enrolment – particularly from overseas as a result of campus closures – have not transpired. It also supports the principle that student numbers typically increase in times of economic downturn as some applicants take the opportunity to retrain or upskill.”' 'Continuing a trend which has been evident since 2012, Knight Frank said that enrolment across higher tariff universities – which typically demand higher exam grades for entry – was up 13.2%. By comparison, medium and lower tariff universities saw acceptances increase by 3.7% and 1.1% respectively.' 'Looking beyond the UK, applications from outside the EU increased by 17.1%, driven by strong demand from the usual recruitment markets such as China (+21.5%) and India (+25.5%). Applications from within the EU were down by almost 40%, a factor that is likely a result of changes to fees in the wake of Brexit. Bowen concluded: “Overall, this has resulted in a slight downturn in international student applications at this stage, though overall growth in UK-domiciled applications and prospective students from outside the EU gives much reason to be optimistic in the medium term.”' HttpS://propertyindustryeye.com/positive-outlook-for-purpose-built-student-accommodation-knight-frank/ The full report can be downloaded here: HttpS://www.knightfrank.com/research/article/2021-03-26-what-do-rising-student-numbers-tell-us-about-the-uk-pbsa-market

[maddox] 27/3/2021 12:35

Bloomberg reports that 'Private equity firms are ramping up their investments in the U.K.’s student accommodation market, pumping hundreds of millions of pounds into a resilient sector with an eye on high rental returns in post-Brexit, post-Covid Britain.' 'More than one-third of deals for student property in 2021 so far have been financed by private equity, compared to about 15% in total between 2016 and 2019, according to data compiled by real estate advisers Jones Lang Lasalle Inc.' HttpS://www.bloomberg.com/news/articles/2021-03-26/private-equity-thinks-student-property-is-a-post-covid-winner

[madengland_] 25/3/2021 20:22

Thanks for posting

[speedsgh] 25/3/2021 12:20

www.sharecast.com/news/broker-recommendations-/broker-tips--7851254.html Analysts at Berenberg upgraded student accommodation provider Unite Group from 'hold' to 'buy' on Wednesday, stating increased visibility had provided the stock with re-rating potential. Berenberg said as the UK real estate sector normalises, Unite, the largest owner and operator of purpose-built student accommodation in the UK, remained "well-placed", with the analysts expecting to see a normalisation of operations, combined with long-duration demand tailwinds, development completions and operating margin improvements to justify a re-rating of the shares, which currently trade at roughly 25% below pre-Covid-19-pandemic levels. The German bank said Unite had outperformed expectations in 2020, despite significant rent concessions being made, and highlighted that following recent management commentary and comments from Boris Johnson, which suggested that any steps taken to ease lockdown measures were irreversible, operational visibility across the student accommodation subsector had improved "materially". "When this is taken alongside demographic, societal and supply tailwinds, we expect occupational demand to increase materially ahead of the next academic year and remain resilient over our forecast horizon," said the analysts, who rolled forward their model and increased their price target on the stock from 1,000.0p to 1,250p. "Combined with Unite’s best-in-class portfolio, we expect these tailwinds to result in resilient, secure, inflation-plus EPS growth and a re-rating of the shares, which remain circa 25% below February 2020 peaks."

[speedsgh] 22/3/2021 18:37

Planning approval received for Derby Road, Nottingham development which will provide 700 beds, an increase of 13% from the 620 beds originally planned... HTTPS://www.investegate.co.uk/unite-group-plc--utg-/rns/planning-approval-for-nottingham-development/202103220700340036T/

[maddox] 22/3/2021 15:06

Investors Chronicle 17 Mar 2021 has a positive write-up and buy recommendation on UTG but no share price target. They make a favourable comparison with Empiric (ESP) based on UTG 21/22 advance bookings at 66% to ESP's 20%. With this reflecting UTG's less reliance on overseas students.

[maddox] 22/3/2021 14:55

I can't remember the last Broker Research I've seen on UTG. The Brokers Analysts are apparently undecided on UTG: Strong Buy........1 Buy...............1 Neutral...........7 Sell..............0 Strong Sell.......1 .................10 Source: Share.com I've no idea as to the timeliness of the data here. Regards, Maddox

[madengland_] 21/3/2021 20:36

I've not seen anything as yet although must confess I don't pay too much attention to them. Long term this feels a great buy