Landlord reports ‘momentum’ as private rents rise

Grainger has reported a 7.1% increase in rental growth for the first eight months of its financial year.

The UK’s largest listed residential landlord and build-to-rent developer, in a trading update for the eight months to 31 May, also said the occupancy levels of its properties now stand at 98.7% , its highest ever.

The update follows figures from the Office for National Statistics earlier this year showing private rental prices increased 4.9% in the year to March 2023, the largest rise since the ONS began recording the data in 2016.

Helen Gordon, chief executive of Grainger, said: “Momentum in the business is continuing as we move into the peak summer lettings season and the launch of seven new schemes in the remainder of 2023. “Occupancy remains at record levels at over 98% and like-for-like rental growth across our national portfolio is continuing to build whilst remaining mindful of overall customer affordability levels”.

Grainger had 9,737 operational rental homes and a further 5,406 build-to-rent homes in its £1.4bn secured pipeline as of March 31.

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Grainger last month said it is on course to double its earnings over the next four years by delivering its 5,400-home development pipeline.

The firm its predicted earnings growth was being supported by strong increases in rents and an expected 1,640 new homes that will be completed across seven schemes before the end of the current financial year.