Shares in Watkin Jones (WJG) enjoyed a boost after the property developer confirmed that all student developments for the 2018-19 academic year and a majority for the following year have already been forward sold.
The company now has a secured development pipeline of more than 9,800 beds, of which around 8,300 have received planning consent. Further schemes are being marketed for both 2019-20 and 2020-21, in the hope of securing forward sales agreements for part of these developments during the second half.
There has also been solid progress expanding its presence into the build-to-rent sector, with three sites securing planning consent in the six months to March 2018 at Bournemouth, Sheffield and Sutton, and increasing the pipeline of owned sites with planning permission to around 700 units. About 1,500 units are expected to be delivered over the next five years.
As previously announced, the Fresh Property Group division - which manages student accommodation on behalf of the owners - will cease to manage a portfolio of 14 schemes comprising 5,124 beds. Excluding these, the business still has over 14,000 beds to manage over the next academic year.
