Developer plans development push, but pulls back from London high-end residential market
Grosvenor Group has almost doubled its development pipeline to 拢6bn, the developer said in its annual results announcement this morning.
The lion鈥檚 share of the firm鈥檚 拢6bn development pipeline 鈥� around 86% - is in the UK, although the firm also has schemes in Ireland, the Americas and in Asia Pacific. The pipeline has nearly doubled from the 拢3.4bn it reported in the year to 31 December 2012.
Reporting its results for the yea to 31 December 2013, the firm also announced it has reduced its exposure to the high-end residential market in London due to concerns the market is overheated.
Mark Preston, Grosvenor chief executive, said: 鈥淲e have been concerned about the level of property values in some markets, particularly in prime central London residential property鈥�.
He added the firm has 鈥渁ccordingly reduced its exposure to high-end residential development by some 拢240m and is exploring mid-market, where there is unsatisfied demand for good quality rental housing鈥�.
Grosvenor鈥檚 pre-tax profit over the year rose to 拢507m, up from 拢368m the previous year.
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