Residential landlord Grainger plc has announced continuing revenue rises despite what it described as the “financial challenges facing many individuals”.
The Newcastle firm - which has a portfolio of around 10,000 homes, with a similar number in the development pipeline - has released a trading update ahead for the 11 months to the end of August. It said like-for-like rental income had grown 4.5% so far this year with a higher figure of 5.4% in its newest properties.
The company noted the cost-of-living pressures facing many, and said it was taking a “responsible approach to rental increases”, while also ensuring most of its properties had the highest levels of energy efficiency. It said occupancy levels were at a record level of 98.2%.
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Grainger also announced a £1,000 cost-of-living payment to its staff.
Chief executive Helen Gordon said: “Momentum in the business is continuing to accelerate and our mid-market strategy and in-house scalable operating platform has delivered a strong performance. Occupancy remains at record levels at over 98%. At the same time, like-for-like rental growth across our national portfolio is continuing to build over the second half of our financial year.
“Despite the buoyant rental market, we are very mindful of the financial challenges facing many individuals. We are therefore taking a responsible approach to rental increases, ensuring affordability for our customers remains a central consideration and balancing rent increases with retention.
“We are also supporting customers where we can with their other costs by continuing to invest in the energy efficiency of our portfolio, with nearly 90% of our PRS portfolio offering the highest energy ratings (A-C), providing substantial savings to our customers.
“In our newer properties, we are also providing free broadband and complimentary gyms, and we are providing practical advice and support to over 20,000 customers on how they can reduce their energy usage and costs, and other bills. In addition to supporting our customers, we have provided financial support to all of our colleagues, excluding our senior executive team, through an additional £1000 cost of living payment.”
Grainger’s financial year ends on September 30 and it said would announce detailed annual results on November 17.
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