Prospectus

The investment objective of the Company is to provide Shareholders with regular, sustainable and growing long-term dividends (which it will seek to grow at least in line with the RPI inflation index) together with the potential for capital appreciation over the medium to long term.



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ESP(ESP) Fundamentals

Interesting one now as it seems that, with Brexit, the numbers of foreign students registering for courses in England (particularly science, medicine and associated subjects) is already down by 9%. It may be that there might be a bit of over supply in the UK in the following 12 months, though I think ESP also has properties in the US which should mitigate the problem.
Yield at around 5% is attractive, but sp taking a bit of a hit at mo.

Harry - posted elsewhere :-

"According to ESP's results RNS only 6% of full time students are from the EU, so a fall of 9% on that equates to a fall of 0.54% only on the overall figure. Also many (I think probably most) of ESP's properties are already fully let for this new academic year - see for example the most recent RNS for newly acquired properties (7th Oct) which states that all 5 are 100% let."

Empiric commits to three forward funded developments in Leicester

The Board of Empiric Student Property plc (ticker: ESP), the owner and operator of premium student accommodation across the UK, is pleased to announce that the Group has entered into three forward funding arrangements with a Leicester-based property company to develop a total of 170 beds in Leicester for an aggregate investment of £15.975 million.

134 New Walk and 140-142 New Walk are located immediately to the west and east, respectively, of the Group's recently acquired standing asset at 136-138 New Walk. These Victorian terrace properties are being converted and extended to the rear to the same specification as the standing asset, to form a contiguous run of high specification student accommodation from 134 to 142 New Walk. 134 New Walk will comprise a total of 16 studios, while 140-142 New Walk will comprise 42 studios and three 2-bed apartments. In total, Empiric will own 94 beds at 134 to 142 New Walk.

Princess Road East is a new build, high specification student accommodation scheme comprising 106 studios with generous communal facilities including a gym, cinema, common room and work rooms.

All three properties are adjacent to Victoria Park and close to the University of Leicester and De Montfort University. New Walk is a pedestrianised road linking Victoria Park and the nearby city centre.

The acquisition of the 140-142 New Walk and Princess Road East properties are conditional on the developer satisfying various conditions precedent in the Development Agreement. All three properties will be marketed and managed through the Hello Student® operating platform. 134 New Walk is expected to be delivered by May 2017, in time for the 2017/18 academic year and the other two properties by May 2018, in time for the 2018/19 academic year.

Paul Hadaway, Chief Executive of Empiric Student Property plc, commented:

"Following this acquisition, the Group will own 730 beds in Leicester, targeting both the University of Leicester and De Montfort University, with some 30,600 full-time students. The Group's existing operating properties have a strong lettings history and are all fully let for the 2016/17 academic year. This acquisition is in line with Empiric's investment criteria."

StockMarketWire.com
Empiric Student Property has agreed a new £40 million extension facility to its existing £80 million fixed rate term loan facility arranged by Barings Real Estate Advisers, a member of the MassMutual Financial Group.

The amended and restated facility is now secured against a portfolio of 25 operating assets, held as a lending group through a wholly owned subsidiary, Empiric Investments (Four) Limited. The new £40 million facility is expected to be drawn down in full on 16 December. The amended and restated facility is repayable in April 2028. The new £40 million extension facility has a fixed all in rate of 3.64%, interest only, throughout the term.

This rate is fixed up to a loan to value ratio of 55%. This provides a fixed all in blended rate of 3.37% for the amended and restated facility.

RESULT OF GENERAL MEETING

Quite a strong vote against the Director's remuneration package!

I shall have to do some research into the Value Delivery Plan. Good for the people who voted. Nice to see them being proactive, rather than the usual 'can't be bothered to vote but am happy to moan' brigade!

Yes it is Harry.

JP Morgan - Chase Nominees Limited CREST: BO01 - Account 11429 < 3%

http://www.iii.co.uk/investment/detail?code=cotn:LSE:ESP&display=discussion

The post at 15.21 by HardBoy is worth a quick read, though he doesn't address the Directors remuneration package question.

Thanks Harry - I hold more WJG value wise - I think some holiday research generally is in order!

Numis Add 107.50 120.00 123.00 Upgrades

Empiric acquires student accommodation scheme in York: Foss Studios

The Board of Empiric Student Property plc (ticker: ESP), the owner and operator of premium student accommodation across the UK, is pleased to announce that the Group has acquired the freehold of a 220 bed student accommodation scheme in York for £23.3 million (excluding costs).

Foss Studios was completed for the 2015/16 academic year and comprises 220 large, well specified, studio rooms across three purpose built buildings. The scheme is located directly opposite the Group's forward funded development on Lawrence Street, between York city centre and the University of York, and approximately 1.5 miles from York St John University.

The scheme has been acquired from Curlew Student Trust, the student property investment vehicle of CBRE Global Investment Partners. It is currently managed by Fresh Student Living but will be integrated onto the Group's Hello Student® operating platform at the end of March 2017. Foss Studios is fully let for the 2016/17 academic year to students from both the University of York and York St John University, and is already letting well for the 2017/18 academic year.

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Empiric to acquire student accommodation property in York: Percy's Lane

The Board of Empiric Student Property plc (ticker: ESP), the owner and operator of premium student accommodation across the UK, is pleased to announce that the Group has acquired the land and entered into a forward funded development agreement for a 106 bed, premium student accommodation development in York for a total funding commitment of £9.245 million.

The Percy's Lane development comprises the redevelopment of a site involving the demolition of the existing buildings and the construction of new purpose-built student accommodation with a mix of studios and one, three and five bedroom apartments, as well as six bedroom townhouses and communal facilities.

The scheme is being developed by S. Harrison Developments, one of the leading property and development businesses in the north of England, and also the developer of Empiric's Lawrence Street forward funded development in York. Construction on the Percy's Lane property is due to commence in May 2017 with practical completion scheduled in time for the 2018/19 academic year.

The property is located close to the Lawrence Road development and the newly acquired Foss Studios scheme, between York city centre and the University of York, and is approximately 1.5 miles from York St John University. The scheme is immediately adjacent to an existing student accommodation property which is currently leased to York St John University.

Empiric will be responsible for marketing and letting the scheme through the Hello Student® operating platform, with a show flat being made available from January 2018.

Paul Hadaway, Chief Executive of Empiric Student Property plc, commented:

"This investment follows the acquisition of Foss Studios, York, announced earlier this week. As a result of these transactions, the Group will own a total of 441 beds in York, some 2% of the local full-time student population. The design of the self-contained apartments is in line with our "townhouse" concept, providing students with a group living environment with all the benefits of purpose-built student accommodation. This acquisition is in line with Empiric's investment criteria and returns profile."

New Unsecured Term Loan Facility of £10 million

The Board of Empiric Student Property plc (ticker: ESP), the owner and operator of modern, premium student accommodation across the UK, is pleased to announce that the Company has agreed a new unsecured term loan facility (the "Facility") of £10 million with First Commercial Bank Limited (acting through its London branch).

The Facility is available to draw down in full over the next 12 months. It is repayable three years from the date of agreement with an all-in cost of 2.15% per annum.

The Facility can be used for general corporate purposes including the financing of the purchase of properties by any Group company to be operated as student accommodation or in refinancing the costs of acquisition of such properties.

Strategic advice on the structure and assistance in arranging the debt was provided by JCRA.

Commenting on the Facility, First Commercial Bank said:
"Empiric has established itself as a leading investor in the highly attractive UK student accommodation market. First Commercial Bank is pleased to provide support for their future growth plans."

Paul Hadaway, Chief Executive of Empiric Student Property plc, commented:
"This is the first unsecured loan we have secured at the PLC level which reflects the maturity of the business. The new facility provides the Company with additional flexibility in financing future acquisitions, within our target loan-to-value parameters. This is a new debt funding relationship and we look forward to working with First Commercial Bank in the future."

RESULTS FOR THE SIX MONTHS ENDED 31 DECEMBER 2016

· Operating profit of £20.2 million
o £14.5 million revaluation gain
o £19.2 million rental income from standing assets
· £143.4 million of new debt raised through two new facilities
· As at 31 December 2016, the Loan to Value ratio ("LTV") was 31.1% (compared to a target of 35% and maximum of 40%), with a weighted average term to maturity for the debt of 7.5 years and a weighted average interest payable of 3.46%

Operational Highlights
· 14 new assets (1,142 beds) contracted in the six months to 31 December 2016
· 2,515 new beds generating revenue for 2016/17 academic year, including 1,728 beds from 13 newly completed developments
· Portfolio now consists of 89 assets (8,504 beds) in 30 prime UK cities and towns as at 31 December 2016, continued progress to the IPO target of 10,000 beds within five years
· Average valuation yield on the portfolio of operating assets at 31 December 2016 was 5.9% compared with average yield on acquisition or cost of 6.5%
· Average rental uplift of 2.5% targeted for the 2017/18 academic year
· Hello Student® managed 3,075 beds as at 31 December 2016 (30 June 2016: 1,868) and was ANUK accredited

Post balance sheet highlights
· Acquired one new standing asset (Foss Studios, 220 beds) and one forward funded asset (Percy's Lane, 106 beds)
· Acquired the remaining 50 per cent. share in joint venture asset (Glasgow, Willowbank) previously owned by an investment fund affiliated with Revcap Advisors Limited
· Agreed £10m, three year unsecured loan with First Commercial Bank which has been drawn down.

more.....

Trading Statement

Highlights

· Unaudited basic eNAV per ordinary share as at 30 April 2017 is 107.75 pence compared to basic NAV per ordinary share of 105.9 pence as at 31 December 2016 (prior to adjusting for the dividends of 1.525 pence and 1.55 pence per share, respectively)
· The Board is targeting a dividend of 6.1 pence per ordinary share for the year to 31 December 2017. It is anticipated the dividend will be substantially covered by adjusted EPRA earnings per share for 2017 and going forward1
· The Company's property portfolio has been independently valued by CBRE Ltd as at 30 April 2017 at £786.7 million (including forward funded commitments) (31 December 2016: £721.3 million), as confirmed in their valuation report dated 5 June 2017 for the purposes of this announcement
· 81 assets (7,579 beds) expected to be operational for the 2017/18 academic year
· The Group is targeting an annual rental uplift for the 2017/18 academic year of approximately 2.8%, with a gross annualised rent roll (including commercial) of approximately £63.6 million (31 December 2016: £52.1 million)
· Excluding the benefit of developer rental guarantees, letting for the operating property portfolio is progressing ahead of this time last year
· Significant progress with the transfer of assets onto the Hello Student® operating platform
· Net operating margin has returned to historical levels of c. 70%
· The Company is in advanced discussions in respect of a substantial new revolving credit facility
· Strong near-term pipeline of attractive investment assets comprising a mix of operating and development properties representing, in aggregate, over 2,900 beds, including a significant London based portfolio of operating assets.

more.....

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PROPOSED ISSUE OF EQUITY
On 27 June 2017, the Board of Directors ("Board") of Empiric Student Property Plc (ticker: ESP) published a circular to shareholders seeking shareholder authority for, inter alia, the issue for cash of up to 140 million new ordinary shares ("Shares") in anticipation of a further issue of Shares.

The Board today confirms its intention to proceed with an issue of Shares to raise up to £150 million (before expenses) through a Placing, Open Offer and Offer for Subscription of, in aggregate, up to 137,614,678 Shares at an Issue Price of 109 pence per Share (the "Issue").

The Company expects to use the proceeds of the Issue to acquire further investments in line with its "2025 Plan" investment strategy, to fund specified capital investments in its existing assets and for general corporate purposes.

Hmmm - Result of Equity Issue

Empiric to acquire student accommodation scheme in Canterbury

The Board of Empiric Student Property plc (ticker: ESP), the owner and operator of premium student accommodation across the UK, is pleased to announce that the Group has exchanged contracts to acquire the freehold of the Franciscan International Study Centre (the "Property") in Canterbury for £5.8 million (excluding costs). The acquisition is expected to complete on or around 9 August 2017.

The Property includes five standing townhouses for student accommodation with 50 beds (of which 27 are en-suite rooms) and a separate 16,200 sq. ft. building, all set in three acres of land with development potential. The Property is located at the edge of the main campus of the University of Kent which benefits from a 24-hour shuttle bus service between the university and the city centre. Hello Student® will manage the townhouse accommodation and will be marketing it for the 2017/18 academic year.

The Group is currently in pre-application discussions with Canterbury County Council regarding planning permission for a student accommodation scheme in excess of 325 beds to be developed on the Property. The scheme will consist of a mix of studios, two and three bed apartments and six bed townhouses, with a generous amount of student amenity space including a central reception area, large common and games rooms, work and reading rooms, a gym and offices. The Company is currently targeting the commencement of development works in Q3 2018.

Paul Hadaway, Chief Executive of Empiric Student Property plc, commented:

"Canterbury represents a prime opportunity for the Group with a low level of private accommodation serving the student market. The Property is ideally located to target students from the University of Kent, which is well regarded and has demonstrated strong growth over the past five years, including a 58 per cent. rise in postgraduate students and a 41 per cent. rise in international students. As well as generating revenue for the forthcoming academic year, the acquisition of the Property should enable the Group to develop a significant student accommodation scheme adjacent to this vibrant university and close to Pavilion Court, the Group's first Canterbury acquisition. This acquisition is in line with Empiric's investment criteria and returns profile."