Financial Times: NR exploring options for property portfolio

Discussion in 'Infrastructure & Stations' started by LTJ87, 16 Aug 2015.

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  1. LTJ87

    LTJ87 Member

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    The Financial Times is reporting that Network Rail has appointed Rothschild to examine options for its property portfolio (excluding stations) to be sold or redeveloped:

    http://www.ft.com/cms/s/0/84288e2e-4268-11e5-b98b-87c7270955cf.html

     
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  3. WatcherZero

    WatcherZero Established Member

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    Old news, but the Government has been trying to get NR to privatise its (profitable) portfolio by selling shares in it or using it to underwrite bonds. This conflict between the bit of NR that is truly profitable and the Government looking short term at offsetting costs and making a quick buck (which would increase NR costs in the longer term as it reduces their income) has been going on for some time. It came to a head last year (possibly year before) when NR wanted to spend a Billion Pounds expanding its commercial property portfolio by acquiring another major landlord and the Government blocked the move.

    In theory the government is telling them to make the most of their portfolio by investing in office developments and expanding retail, in practise its also telling them to do the opposite and that these are non-core activities diverting money that should be used on the infrastructure of the railways.
     
    Last edited: 16 Aug 2015
  4. DarloRich

    DarloRich Veteran Member

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    yeah wonderful - buy your prime investment land here. Good rates for top tory boys :roll:
    --- old post above --- --- new post below ---
    No: it will be telling them to see lit off cheap and ensure they don't make the return on the land. The stupid thing is that those profits cross fertilise investment in the railway.

    As for selling off the telecoms network: :roll: A recipe for disaster
     
    Last edited: 16 Aug 2015
  5. Tio Terry

    Tio Terry Member

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    Darlorich

    Why do you think selling off spare capacity in the telecoms network would be a disaster? There are many thousand km of unused dark fibre just waiting to be used over the network. It's all there in the ground, just needs to be connected and can earn the company a small fortune, what's the problem?
     
  6. DarloRich

    DarloRich Veteran Member

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    Because it wont just be the spare capacity will it? That will be the beginning of the gradual creep to disposing of the whole network, cheaply, into private hands.

    Then any funds earned through using that network space wont go back into the railway network they will go to shareholders and the operational needs of the railways wont be met without a battle.
     
  7. adrock1976

    adrock1976 Established Member

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    Forgive me if my perceptions are incorrect here, but are Rothschild's the financial organisation that has been pushing the neo-con liberal agenda when Bush Junior was president of the USA, also aided and abetted by various governments across the globe?

    This may warrant a new thread in the General Discussion section if it is true.
     
  8. yorksrob

    yorksrob Veteran Member

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    Darlo Rich is correct.

    If there is spare capacity in the telephone lines, the sensible thing would be to rent it out. This is another case of the Tories trying to flog the family silver.
     
  9. WatcherZero

    WatcherZero Established Member

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    I think your thinking of Kellog/halliburton. The Rothchilds are the extremely rich jewish family who all have mansions in a small valley in Buckinghamshire.
     
  10. asylumxl

    asylumxl Established Member

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    They could do worse than the Rothschild Group. I'm quite surprised they didn't choose Goldman Sachs since it seems that this government is particularly fond of them, having been involved in the privatisation of Royal Mail among other things.

    They say you can tell a lot about people by the company they keep. Considering there are 17 subheadings under "Controversies" on the Wikipedia page for Goldman Sachs...
     
  11. LateThanNever

    LateThanNever Member

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    True. You can sell the family silver only once!
     
  12. LNW-GW Joint

    LNW-GW Joint Veteran Member

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    They have started selling off the government share (36.5%) in the King's Cross Railway Lands.
    Money going to pay down debt.
    https://www.gov.uk/government/news/...investment-in-kings-cross-central-development

    This is the remaining land after finishing the St Pancras International/HS1 development and the Thameslink connection to the ECML.
    I guess it is not strictly Network Rail land any more, but was at one time Midland/GNR property.

     
    Last edited: 17 Aug 2015
  13. DarloRich

    DarloRich Veteran Member

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    Not back into the railway industry nor will the future income from that land. I am sorry to labour this point but it is short sighted in the extreme to dispose of this and other property holdings.

    The ongoing profits/income from these schemes are extra monies to put into our network. Will the government make up that shourtfall in the future?
     
  14. Elecman

    Elecman Established Member

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    Not if they privatise Network Rail, they will then gave sold it twice!! :lol:
     
  15. LNW-GW Joint

    LNW-GW Joint Veteran Member

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    Somebody's got to pay for Network Rail's £34 billion debt, sometime.
    It doesn't grow on trees.
     
  16. Stats

    Stats Member

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    But it's not going to pay NR's debt. The proceeds are going straight into the Treasury's coffers.
     
  17. Poolie

    Poolie Member

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    Try telling the banks that !!!!!

    Who paid for the billions of (W)Bankers debts when they came begging because their dodgy deals went t!ts up ? And still get a massive bonus while we are told to buckle down and help the country out in a time of crisis !!! :-x
     
  18. NSEFAN

    NSEFAN Established Member

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    I've heard some say that "the government has no business doing business", but I would rather that NR cross-subsidises its infrastructure using profit from its retail side. I despair at how bad our government is at thinking beyond the next election. By all means rent out spare capacity to bring in money but don't flog the lot outright, as you then have no assets and no money coming in at all. :-x
     
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