LONDON, UK, June 13, 2009
/24-7PressRelease/ -- Following last year's Rugg Report and the launch of the Homes and Communities Agency's (HCA) much anticipated initiative to drive institutional investment in the Private Rented Sector (PRS), the sector is coming under greater scrutiny than ever before.
As a residential property portfolio manager, Young Group has long championed residential property as an asset class and in its market report 'Built on Firm Foundations' presents a summary of the latest pertinent data.
Headline statistics demonstrate continued population growth, which shows no signs of abating, increasing the demand for homes throughout the UK - most notably in London and the South East. The impact of the current constrained mortgage market is creating pent up demand from would-be purchasers who are buoying the rental market.
Coupled with this increasing demand, supply of homes continues to fall far short of the Government's own housebuilding targets. New home starts and completions have dropped below the level of the early 1990s caused, in part, by developers' reticence to build for the traditionally highly speculative residential market and the lack of readily available development finance.
The UK is a late adopter of institutional residential investment and has one of Europe's smallest PRSs. Past performance of residential property assets has been extremely robust, outperforming equities, gilts and commercial property over the medium and long term. These gains have traditionally been shared by a large number of small scale private landlords in what, at least currently, is a highly fragmented sector.
However, Neil Young, CEO of Young Group point out that things are changing. "The HCA's PRSI is actively engaged in overcoming barriers to entry into the PRS, through facilitating seed funding and encouraging a professional residential asset management sector.
"With the sector's strong fundamentals, the PRSI has the ability to build on already firm foundations and change the face of the private rented sector beyond all measure."
A copy of the report can be downloaded from http://www.younggroup.co.uk/research.
-ends-
Young Group Asset Management - At a Glance:
• All assets successfully tenanted with no rent arrears disputes
• Currently managing 300-400 units across London
• Accredited by the National Approved Letting Scheme (NALS)
• Highly experienced in marketing the entirety of new apartment blocks, e.g. My Base1, Southwark (85 units - phased occupation); The Interchange, Dalston (30 units - fully tenanted in 8 weeks); The Retreat, Earlsfield (22 units - fully tenanted in 6 weeks)
• Average void across the portfolio: 8 days
• Performance Example: Young London managed assets in Southwark outperformed the market by 50% over the past 12 months. [Based on FindaProperty rental index for Southwark compared to Young London rental income performance]
• The lettings business was shortlisted for National Estate Agent of the Year Awards in its first year of operation
• 5,000 unique visits per week to website viewing 1.5m pages per year, 300%+ more than the Google benchmark for similar sized estate agents; an in-house increase of 60% since the beginning of 2009
• In 2008, Young Furnishing provided furnishing on behalf of our landlords to accommodate 272 Young London tenants
Neil Young, CEO - Young Group
A qualified accountant, Neil has more than 10 years experience in global corporate finance having worked with companies such as Thomson Holidays and British Airways. In 2000 he was appointed European Chief Financial Officer at Highland Partners, before leaving to found Young Group.
Neil works closely with his management team to ensure that Young Group operates effectively to manage clients' investment assets and to ensure that all Group companies remain focused on delivering excellent service in all areas, whether it is in the realm of financial advice (Young Finance), investment opportunities, property management (Young London) or furnishing (Young Furnishing).
Visit http://www.younggroup.co.uk to learn more.
About Young Group
Young Group specialises in providing Property Portfolio Management services to private investors, identifying the best off-plan opportunities in London on their behalf and managing the entire investment process - from sourcing the property through to financing, furnishing and letting.
Young Group is a wealth manager with a focus on property as an asset class. Young Group owns all the property it sells, and also retains a number of properties for its own portfolio. As the principal in every transaction, Young Group does not realise any profits until completion, giving investors 100% confidence that properties will 'value up' and that financing will be secured.
Young Group has transacted in excess of 1,500 apartments, with a retail value of GBP630m. The majority of our units are bought by clients for their private portfolios. The Group's lettings division, Young Lettings, has successfully let all investors' apartments within a week of completion.
For each property exchange, Young Group donates GBP50 to Children with Leukaemia, the UK's leading charity dedicated exclusively to fighting Britain's biggest childhood cancer through pioneering research, new treatment and support of children with Leukaemia and their families, and to Norwood, the Children and Families First charity which provides support to families facing social difficulties.
---
Press release service and press release distribution provided by http://www.24-7pressrelease.com# # #
Read more Press Releases from Michael Oakes:
