Urban&Civic (UANC) is the product of a reverse takeover last May, when the privately owned property developer merged with Terrace Hill. These results comprise a nine-month contribution from Urban&Civic and results for Terrace Hill since 22 May.
Comparatives are not meaningful, but what is clear is the significant progress the merged entity has already made. The company’s largest projects - Alconbury near Huntingdon, with outline planning consent for around 11m sq ft of mixed development, Waterbeach near Cambridge, and a 1,674-acre site in Rugby - are between them expected to accommodate 20,000 new homes over the next 15 years.
The carrying value for Alconbury jumped 58 per cent after planning consent was granted, and the company expects to start generating a revenue stream in the next 12 months by selling off plots of 50-100 units to house builders. Overall costs work out at just £15,400 per unserviced plot, and in Rugby this is even lower, at £11,500.
With an eye for a bargain, Urban&Civic recently paid £22m for a three-acre site in the middle of Manchester that was previously part of a distressed debt fund. Preliminary plans include 600 new apartments, a new hotel, car parking and retail outlets, with a total development value of around £225m at current prices.
| URBAN&CIVIC (UANC) | ||||
|---|---|---|---|---|
| ORD PRICE: | 235p | MARKET VALUE: | £330m | |
| TOUCH: | 232-238p | 12-MONTH HIGH: | 368p | LOW: 211p |
| DIVIDEND YIELD: | 0.6% | TRADING PROPERTIES: | £78m | |
| DISCOUNT TO NAV: | 2% | |||
| INVESTMENT PROP: | £83m | NET CASH: | £163m | |
| Year to 30 Sep | Net asset value (p) | Pre-tax profit (£m) | Earnings per share (p) | Dividend per share (p) |
|---|---|---|---|---|
| 2013* | 228 | 28.7 | 31.5† | nil |
| 2014** | 239 | 19.2 | 20.8 | 1.5 |
| % change | +5 | -33 | +34 | - |
Ex-div: 5 Feb Payment: 20 Feb *12 months figures for Urban&Civic (excluding Terrace Hill) **Nine months figures to 30 Sep. †Adjusted for May 2014's one-for-ten share consolidation | ||||
