Warner warns of Europe effect

Warner Estate Holdings flagged up the turmoil in European financial markets at its interim results following the European Union’s €85bn (£71m) Irish bailout. Philip Warner, chairman, said the European situation was exacerbating the markets uncertainty.

He was speaking as the company reported interim pre-tax losses of £1m compared with a £27.6m loss last time on revenue down from £15.6m to £14.9m. The company slashed voids across the wholly-owned portfolio from 19.4 percent in March to 10.3 percent.

Warner said the improvement in sentiment within the property market in the early part of this year, brought about by increased demand and some capital growth had appeared to have waned as the UK economy waited to assess the impact of the proposed government austerity measures.

“With a mixed property portfolio, we can see both upsides and downsides and asset management experience will be more important than ever, an expertise which the group is well placed to provide,” he said.