Unite Group shares fall as property valuations weaken in Q3

8th Oct 2026 11:29

(Sharecast News) - Shares in student accommodation group Unite slipped on Thursday after the company reiterated full-year earnings guidance but reported lower property valuations.

Unite said it continues to expect adjusted earnings per share to come in at 41.5p to 43.0p in 2026, compared with 47.5p in 2025.

By the end of the third quarter, some 95.6% of Unite beds were sold for the 2026/27 academic year, in line with last year and market expectations, while like-for-like income growth at 0.6%.

"We have delivered reservations in line with our expectations as student demand and university behaviour evolved through this sales cycle. This reflects the agility of our platform, our proactive approach to marketing and focus across the business to deliver income," said boss Joe Lister.

However, the USAF portfolio, which comprises 22,486 beds in 56 properties across 17 university towns and cities in the UK, was valued at £2.82bn as of 30 September, 4% lower than last year on a like-for-like basis.

The LSAV portfolio, which comprises 9,710 beds across 14 properties in London and Aston Student Village in Birmingham, reduced 3.4% in value on a LFL basis to £1.90bn.

"Our property valuations have reduced on a like-for-like basis over the quarter, reflecting increases in property yields as a result of investors' higher return requirements as well as reductions in rental values for those properties where income performance for 2026/27 is below previous valuer assumptions," the company explained.

Unite shares were down 5.6% at 417.6p by 1141 BST.

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