Property market out of flavour...but 4.25 to 1.25 that is an over reaction surely!

Lancaster Gate - dubbed the Lancasters is one of their projects in London. Are property prices falling in London...

From The Sunday Times
February 17, 2008
Super-rich snap up apartments in world's most expensive residential scheme

RECESSION, what recession? The super-rich are snapping up apartments at the world's most expensive residential scheme at Londons One Hyde Park as if they were going out of fashion.

According to data released exclusively to The Sunday Times, half of the 80 apartments at the luxury scheme designed by Richard Rogers have already been contracted to be sold even though the project will not be completed until 2010. Knight Frank, one of the estate agents handling the Knightsbridge development, said sales already totalled more than 500m and the average apartment price had reached 20m.

Wealthy oil barons, Russian oligarchs and hedge-fund managers are shelling out at prices that break down to almost 6,000 per square foot for the chance to own one of the apartments. That figure is up from 4,000 per square foot in late 2006.

The sales reflect Londons status as a global city, with 39% of the buyers hailing from Russia, 25% from the Middle East, 14% from Britain and 11% from continental Europe. The highest price paid for an apartment at the scheme is rumoured to be more than 100m. The interiors are the work of Candy & Candy, the interior design company run by Nick and Christian Candy, two brothers in their early thirties who have become multi-millionaires by creating fantasy homes for people with limitless budgets.

The site will have an underground passage to the nearby Mandarin Oriental hotel, where staff will be on hand to cater to residents needs.

CPC, the Guernsey-based investment company owned by Christian Candy, has an equity stake of more than a third in One Hyde Park. The scheme is also backed by Sheikh Hamad bin Jasim Jaber al-Thani, foreign minister of the Gulf state of Qatar.

Liam Bailey, head of residential research at Knight Frank, said sales of so-called super-prime homes in London worth 10m or above had more than doubled in the three months to the end of January compared with the same period last year.

He said: It is quite extraordinary the way the super-prime market has continued to surge ahead. Sales of homes worth 1m-5m have slowed, but once you get above 5m, and certainly above 10m, they are still powering ahead.

BXTN subject to possible offer, excellent news for MNR and the property sector

trend is your friend, someone post a chart please

creepinggggggg up nicely

but too slowly so closed out and topped up BXTN ciao

debbiestroud

The choice is yours whish one you want

Intraday Chart

3 month

5 days

3 month

saying goes 'buy on the rumour sell on the news'

well the rumour-mill is ramping high, coupled with the articles from the paper but what is the delay? Call MNR and ask, you may well be surprised, what would you do if there was no news?

ramped and still it falls, something seriously not right here!

tristan weren't u ramping this lol

Don't you just love those late friday afternoon RNS's looks like they have a major problem?

still no RNS about covenants, what cr@p is that! Guess they were tested on 30th June, down she goes..........

Toilet stock

OMG - look at this, it's not over after all


http://www.propertyweek.com/story.asp?sectioncode=36&storycode=3144462


Trying to buy some, proving difficult with these about to explode now they look they will survive after all!

b@stards can't buy a sizeable amount, now nobody wants to sell these

got myself a handful finally

Minerva lifeline
10.07.09
By Deirdre Hipwell

Vulnerable London developer secures two-year reprieve from banks with 600m debt deal

Minerva, the listed London developer, has reached an agreement in principle with its main lenders to restructure its 600m-plus debt pile.

Property Week has learnt that within the next two months the London developer is expected to announce it has extended the maturity date for its investment loans for up to two years.

It will also reveal amended terms on all its non-recourse development loans, extending repayment dates, waiving and changing some covenants and removing some operational guarantees altogether.

Minerva has five main lenders: Deutsche Postbank, Nationwide Commercial Bank, HSH Nordbank, Landesbank Berlin and Lloyds Banking Group.

As a developer with virtually no income-producing properties, it is regarded as more exposed to the banking credit crunch than others, and speculation about its survival has been rife.

In February, Minervas chief executive Salmaan Hasan, who was previously head of property finance at Deutsche Postbank before joining Minerva, warned there was significant doubt about its ability to continue as a going concern if existing market conditions and property valuations do not improve.

Its level of gearing jumped from 46% to 67% in the second half of 2008 and the average interest cost of its debt, excluding joint ventures, was 6.6%.

Around 11% of its borrowings are scheduled to mature next year.

Minervas two main development projects are City of London office schemes Walbrook on Cannon Street and St Botolphs near Aldgate Underground station.

Deutsche Postbank and Nationwide financed the 445,000 sq ft Walbrook scheme with a 275m facility that included 75m to refinance existing bank debt.

HSH Nordbank and LandesBank Berlin provided a 315m facility for the development of St Botolphs, which is around 20% prelet to Lockton Insurance Company.

Minervas development loans, which include other schemes such as the Lancaster Gate residential scheme overlooking Hyde Park, have no interest cover ratio covenants and are only repayable two years after practical completion.

However, the restructuring, if approved, will waive some loan-to-value covenant tests and remove some guarantees altogether, such as prelet targets that were set to be achieved two years after practical completion.

Deutsche Postbank and Lloyds Banking Group are also thought to have extended a repayment date on a loan drawn down to finance the purchase of most of the Park Place site in Croydon. Last month Croydon Council ended its development agreement with Minerva.

Minerva is still finalising the negotiations but it is thought to have achieved credit approval from its banks. Minerva is also still looking at other ways to raise funds, including selling its London West End headquarters at 42 Wigmore Street.

A Minerva spokesman said: We stated on 8 May that Minerva is engaged with its long-term relationship banks regarding the amendment of covenants and obligations to ensure the groups financing continues and is appropriate for the current economic environment.

imagine the takeover price now from Kirsh and or Shamoon, more than that 40p rumoured before, with these surviving after all!

Says it all really. Market cap 21M, net debt 600M. Only being kept alive as the lenders don't want to have to deal with the unlet properties.

on life support keep pumping.

still life in this one...could be an amazing recovery story unfolding

http://www.dailymail.co.uk/money/article-1198937/MARKET-REPORT-Ailing-property-developer-Minerva-thrown-lifeline.html

"Its shares firmed 1p to 14.25p yesterday on a report in Property Week, the trade magazine, that it has secured a two-year reprieve from its bankers thanks to a 600m debt deal.

There was also vague gossip doing the rounds that the 1m square foot Park Place retail scheme in Croydon is not dead and buried.

Minerva has apparently found a new partner who will front a re-submission of planning proposals for the site."