Manchester-based commercial property investor and developer Bruntwood Group has published annual accounts for the period ending September 30, 2024 — its first set of results following a period of transformation that significantly changed the shape of the business.
Through its wholly owned portfolio Bruntwood SciTech and joint ventures with Trafford Council and Bury Council, the group said its total assets under management now stand at £1.8 billion.
“The business began the year with the transfer of 70% of its assets to Bruntwood SciTech, meaning the results look very different this year with a significant increase in Bruntwood’s share of joint venture results,” said the group.
“Reflecting these changes, Bruntwood reported an operating profit of £18.5 million (2023: £48.9 million), with the decline year-on-year reflecting the 29 city centre assets transferred to SciTech and excluded from operating profits.
“The fall in market valuations has contributed to a loss before taxation of £73.7 million (2023: £224.3 million), with valuation losses of nearly £25 million seen across Bruntwood’s wholly-owned portfolio and a further £169 million of losses seen in its joint ventures driving a £65 million share of joint venture losses.”
Bruntwood CEO Chris Oglesby said: “Over the last year, we have continued with our commitment to creating thriving places and driving forward truly transformative projects across the UK.
“However, it has not been a year without challenges and changes to market valuations have impacted us and our peers and we have once again seen a loss in our results.
“We do believe that there are many reasons for optimism. We have always been a long-term, patient investor, which positions us well to weather difficult cycles and allows us to continue with our ambitious plans even when the market is more challenging.
“Ultimately, our measure of success remains the impact that we are able to deliver across our UK-wide portfolio – this is an area where we have not slowed down having reached major milestones across all areas of our business in the last year. We have also deepened our relationships with our local authority partners and the communities we are operating within, setting the groundwork for future success.”