The Berkeley Group plans to raise over £123m through a rights issue to fund its urban development programme.
Explaining the need for the rights issue, Berkeley’s Chairman Graham Roper said the group is developing larger sites which have “urban development characteristics, are in locations of proven market demand and involve longer development timescales.”
Berkeley is currently developing 248 residential units in the Harrods Village scheme at Barnes; 959 units in the Effra development on a river site to the south of Vauxhall Bridge; and 326 units in a mixed use scheme at Gunwharf in Portsmouth.
Chief Executive Tony Pidgley is confident that the housing market continues to be healthy: “The Group is achieving record sales in terms of reservations and sales in four out of the past five months.”
Berkeley is already forecasting pre-tax profits of at least £90m for the year to 30 April 1998.
EGi News 14/10/97
