Watkin Jones Share Discussion Threads

[goodpick] 01/3/2023 18:48

Unite doing well suggests a strong student letting market and strong rents which will drive investor demamd.

“For goodness sake” Hybrasil does that make sense ? I thought you were some kind of expert in this sector ?

[christw1234] 01/3/2023 18:42

Bothdavis
Absolute,I’m afraid Hybrasil doesn’t understand the market

[bothdavis] 01/3/2023 16:02

Surely it is all about demand?

Sources say that BTL and PBSA still has strong demand!!

and dare I say it, that is driven, in part by occupancy or proposed occupancy.............students and others need places to stay.

[christw1234] 01/3/2023 14:32

Hybrasil
You are professionally wrong.
The CEO Richard Simpson has vast experience of the PBSA market and his well respected throughout the sector

[hybrasil] 28/2/2023 17:33

Oh for goodness sake. This is all about yield not occupancy
Chris as to your question about negativity I have worked for many people in this sector.

My harsh view is that retired army officers are generally excellent at managment but poor at entrepreneurship

This is a business that requires a flair.

I repeat I will be a buyer when as I argue it will , it falls below NAV

[bothdavis] 28/2/2023 16:51

Read across from Unite which had a great set of figures today. This should be much higher................

[hybrasil] 28/2/2023 15:11

Chris
Have a look at ssty today

[christw1234] 28/2/2023 09:20

Hybrasil
Thanks, May I ask why you are so negative about this well-managed company?

[hybrasil] 28/2/2023 08:29

Chris
I didn’t short. Opening the cfd account was a pain in the proverbial.

[christw1234] 28/2/2023 07:42

Hybrasil
Thanks for your reply, I would argue all-day long that WJ shares are of better stock than Staysafe
I also think you're shorting of the WJ shares is blown out of the water.
Stay safe yourself

[hybrasil] 27/2/2023 18:51

Chris

Chalk and cheese I agree.

However with the likely recovery in holiday making the prospects of a near term price gain are good I suggest

[christw1234] 27/2/2023 15:32

Hybrasil
Safestay are not in the same league as WJ, they have posted a loss for the last two years
PBSA rentals increased on average by 7% in this academic year, and by 15% in London and Manchester.
even you can't argue with them fundamentals

[hybrasil] 27/2/2023 13:10

Ok I think we all agree it’s a good area to be in.
The issue is timing.
I don’t think now is the time.
If you want a share that I think is primed to take off (and as always I could be wrong). Try safestay (ssty)

[christw1234] 27/2/2023 12:55

Hybrasil
I’m also involved in the PBSA/BTR
In answer to your statement on profitability, the rental market is increasing in the sector to mitigate any increase in costs.
I suggest you look at the institutional investments in PBSA 2022/2023
The proof is in the pudding

[goodpick] 26/2/2023 12:30

Hybrasil, higher funding costs are likely to have an impact on buyer appetite. Thats a fact and Watkin Jones have expressed that.

They have also acknowledged they are going to have a couple of years of flat growth.

This is nothing additional to what has already been said. No one is in denial about the short term prospects.

However personally i dont agree with your absolutist black and white view that nothing will sell by comments like “the market is gone for the moment” unless you have concrete evidence and examples you can produce here ?

I appreciate and believe that you work im the sector ( student sector ) and you are entitled to your opinion but its not all encompaasing and conclusive. Thank you

[hybrasil] 26/2/2023 09:33

Chris
As I have said before I am involved in student housing and I know how strong the occupier end of the market is. The shortage of accommodation generally (with ref to BTR)is well documented.

What I am saying is (and yes the poster who says it may be short term may be right) is that at the moment it is difficult to sell the completed product and make money.
IE The investment market for those asset classes is gone for the moment.

[2vdm] 24/2/2023 16:21

I think that when large institutional buyers look at these projects as investments, they are looking longer term and so short-term interest/inflation may have a lesser impact.

[riverman77] 24/2/2023 13:18

The BTR market is predicted to be the fastest growing property market in terms of rental growth - there is a lot of institutional demand for an asset class that can provide a growing and resilient rental yield. Short term disruption due to what happens in gilt markets last year but medium term the demand is very much still there.

[christw1234] 24/2/2023 13:05

Hybrazil
With respect I don’t think you understand the WJ target market.
The PBSA/BTR/ Co-living rental market is booming at the moment, and will be for the foreseeable future

[hybrasil] 24/2/2023 12:48

2vdm
Yes. But can they sell the completed product at a price the market has this company valued at. I don’t think so.

[hybrasil] 24/2/2023 10:48

RC

Start with the prospectus and see what they have sold since.The remaining shares are about 8% of what they had

[rcturner2] 23/2/2023 18:42

The family trust still has over 14m shares, hybrasil is talking bol.

[zangdook] 23/2/2023 16:06

Or maybe, if they're so good at predicting what is or is not a good investment, they used that enviable skill to diversify their holdings. When you're no longer involved in running a company you may not feel the need to be so focused on it.

[bothdavis] 23/2/2023 16:02

Unless they wanted to diversify investments, pay for retirement, holiday home somewhere warm, divorce or a nice wedding!

Families often sell out of their businesses, holding on makes it too painful.

[hybrasil] 23/2/2023 07:29

Christ
“If you buy the shares wisely”

That would mean buying them at a discount to NAV or roughly 50% below the current share price. Look what happened on Wall Street yesterday.

If I were a fund at the moment surely you would buy shares in a REIT such as SUPR yielding almost 7% without any of the headaches of actually owning the properties.
I believe WJG are going to find it very hard to sell their produce.

Still no news on the two deals they “expect to transact in 2023”

As I have said before if this was a good investment the watkin Jones family would still be here