Chelsfield's latest pre-tax profits, up from pounds 6m to pounds 10m in the six months to June, owned much to a good performance from the recent Westbury Hotels acquisition from Granada. The shares rose 8.5p to 334p, well clear of Merrill Lynch's year-end net asset value forecast of 262p. However the White City development alone could add up to 100p to that figure.
Property stocks have enjoyed a good run on the back of a long-awaited upturn in the property cycle. There is more to come, but investors are best advised to stick with quality stocks in the event that the market begins to falter. Mr Bernerd's abilities means Chelsfield looks a better bet than most. With the shares well off their high, they look attractive.