In 2015 and 2016, when the market for development sites was a lot quieter than today, Cairn was one of the most active participants in the market. It spent €679 million on land in 2015/16. The plan was to buy land while the market was still cheap, build houses and apartments, and sell. Cairn was (and still is) focused on starter homes over apartments, at a ratio of about 3:1. Seven years later, the homes are slower in coming than had been expected. You can see this in Cairn’s balance sheet ratios. Return on equity shows profits over book value.…
Don’t miss out on what is going on with our daily unique stories from our team of skilled journalists and insightful commentators. Members of The Currency get full access to over 2,500 exclusive interviews, investigations, and analysis, plus over 180 podcasts. Annual membership is just €200 for the first year, a saving of €100. Or try The Currency for the first month for a special introductory rate of €5, a saving of €20. Cancel at any time. To become a member today click here.
Join The Currency
Sign up today: Full annual membership for just €200.