Investment Column: Update shows why Savills is hot property - Sharewatch, Business - The Independent

Investment Column: Update shows why Savills is hot property - Sharewatch, Business - The Independent

Investing in property-related stocks is tricky – at least in the short to medium term. Large chunks of the London-listed sector are hostage to the domestic housing market, which looks sluggish, to put it mildly.

But there are exceptions, and Savills is one of their number. The last time we looked at the company, we opted to buy, reasoning that its international reach, coupled with exposure to the resilient upper end of the UK market, gave it an edge.

Yesterday's half-yearly results confirmed our confidence. The group said revenues in the six months to the end of June had climbed by 10 per cent, with pre-tax profits surging by nearly 40 per cent, as it drew strength from activity in the prime central London property segment and from the Asia-Pacific region, which remains buoyant. Greater China was particularly strong, according to the company.