Property investor back in the black after ‘respectable’ year
Midlands property landlord Real Estate Investors has returned to profit for the year to 31 December 2021.
The firm made a surplus before tax of £13.9m, which includes a £4.9m gain on property revaluations, a £1.2m profit on sale of investment property and £1.4m surplus on hedge valuations.
Chief executive Paul Bassi said: “Despite the restrictions imposed by the pandemic, REI has had a respectable year during which we have taken advantage of the private investor demand to sell some of our properties, using the disposal proceeds to repay £11.9 million of debt, retaining £9.8 million of cash.
“We believe we are set to see further valuation gains and occupancy improvement in the coming months and that this already active regional market is likely to be further boosted by the upcoming 2022 Commonwealth Games.”
Bassi added: “We continued to maintain high rent collection levels throughout 2021, with an overall collection level of 97.81%, against a backdrop of the unfavourable government moratorium restrictions which are soon to expire. For Q1 2022, rent collection levels are currently at 99.42%.
“These collection levels are a testament to the diversity of our portfolio and the asset management team who worked collaboratively with our portfolio tenants to navigate a uniquely challenging period.”
