Trading conditions remain tough for Artisan

7th Dec 2010 12:42

At the company's AGM, Artisan (UK)'s chairman Michael Stevens said trading conditions are the toughest the residential and commercial property developer has ever faced.This has led to a drop in the Artisan share price of more than 10%.This is making it more difficult to complete sales of new homes. Stevens believes that there is underlying demand in the housing market but buyers need to be more confident about the economy and be able to obtain loans more easily for things to turn up. Four bedroom homes are generating the most interest at the moment. Artisan's NAV was £13.5m at the end of June 2010 but net debt was £18.5m. That debt needs to be renewed by 1 July 2011 and Artisan is negotiating with its bank.