London Property Malaise Spreads to Homebuilders as Shares Tumble
- Taxes, the Brexit vote and high values are deterring buyers
- Berkeley falls after warning that profits may take a 30% hit
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London homebuilders, which until now have been cushioned from price falls by the government’s Help to Buy program, are starting to feel the pinch.
Berkeley Group Holdings Plc signaled that profits may take a 30 percent hit from the 2018-2019 fiscal year, sending its shares down the most in almost two years. The warning comes after Crest Nicholson Plc decided earlier this month to exit the central London market and drop a sales target.