Robust demand maintains momentum at property business

Property group Harworth says it continues to enjoy strong demand for its serviced residential plots and industrial & logistics products.

The Rotherham-headquartered business has released a performance update in advance of its Annual General Meeting, which will take place at 2pm today – 24 May.

Harworth says it has made great progress in replenishing its strategic land bank, with land acquisitions completed so far this year adding 3.9m sq ft of industrial & logistics space and 793 residential plots to its pipeline.

The company explains the sites represent significant opportunities that will ensure it maintains its target 12 to 15 year land supply as it delivers on its strategic plan.

Lynda Shillaw, chief executive, said: “We have demonstrated a step change in the scale of our direct development so far this year and recently launched our initial single-family Build to Rent portfolio of up to 1,200 homes.

“Despite macroeconomic headwinds, the fundamental supply and demand factors driving growth in the industrial & logistics and residential markets remain intact.

“These strong underlying market drivers, combined with our proven successful track record as a developer of large complex sites, our robust financial position, and our focus on creating high-quality, sustainable places, give us confidence in our ability to deliver on our medium-term ambition for Harworth to reach £1bn of EPRA NDV.”

Harworth adds that it remains well capitalised with a strong balance sheet and financial position.

As of 30 April 2022, the group’s net debt was £71.6m (31 December 2021: £25.7m). Available liquidity increased to £132.4m (31 December 2021: £128.0m), following the signing of a new £200m revolving credit facility and planned infrastructure spend to accelerate delivery on the business’s sites.