assess the suitability of the chosen company, both as a building contractor and a potential investment, by preparing a report on the financial “health” of this company.

Purpose

The coursework is intended to provide you with the opportunity to demonstrate understanding and integration of the various aspects of the programme and this module. The aim should be to obtain, analyse and interpret financial information; assess the financial viability of a project and integrate them into a balanced decision-making framework. Project Brief: MF4BE, a leading local housing developer of the South West is considering a new housing development to be built under a quasisocial housing agreement with a national house-building firm. Several sites were identified in the initial feasibility studies, however, many of these required substantial demolitions of existing dwelling houses and relocation during construction and have thus been rejected. Source: http://www.eastofharrystoke.com/proposals/ Managerial Finance for the Built Environment 2021-22 Page | 2 of 6 The proposed development will take place on a site in a new neighbourhood called East of Harry Stoke (EoHS) situated on the urban edge of north Bristol near the University of the West of England and close to the M32 and M4 motorways. This site is mostly owned by Crest Nicholson and South Gloucestershire Council who intend to deliver about 2000 houses; while some parts are owned by other private landowners. MF4BE has purchased 4.5 hectares of the EoHS land from the private landowners for £3.5 million per hectare to enable it to carry out this development. MF4BE plans to develop the site to provide a mix of housing (including family housing, flats and sheltered accommodation), together with commercial uses in future and also provide some open spaces. In keeping with this, the average dwelling per hectare (density) for this development should NOT exceed 30. To achieve this undertaking, MF4BE is considering engaging a reputable construction company or housebuilder from a list of firms that have expressed interest. MF4BE is also considering taking a stake in a construction company or housebuilder as part of its long-term expansion goals of accessing other income. You are required to provide a report that will contain the following:

Part 1: 60 Marks Assessment of suitability of the construction or housebuilder firm (1800 words) You are required to select one (1) company from the table below which is a UK PLC that is quoted on the UK Stock Exchange. You must then obtain the most recently published “FULL ANNUAL REPORT” for the selected company. The annual report must be in the English language. You are required to assess the suitability of the chosen company, both as a building contractor and a potential investment, by preparing a report on the financial “health” of this company. This should be done by making use of financial ratios as revealed or implied by the most recent FULL annual report and its financial statements. Your report should be clear and succinct as if prepared for your boss (with no accounting knowledge) who is a very busy person with limited time to read it before an important meeting. All relevant information in the annual report should be used as necessary. Select one (1) company from this table Crest Nicholson Plc Managerial Finance for the Built Environment 2021-22 Page | 3 of 6 The detailed calculations of all ratios must be shown in FULL and must be attached separately as part of the Appendices either in Microsoft Word or Microsoft Excel (Note: Please only restrict yourself to the ratios covered in class). A complete copy of the FULL ANNUAL REPORT must be attached as a separate file in the submission. Please DO NOT use the interim (half-year) annual report. The full annual report can be obtained online from the respective company’s website or by carrying out a search using your preferred internet “search engine”. You can use FAME (a database accessible through the UWE Library webpage) to check that the company is a PLC. Note that FAME should only be used to compare the ratios but all the ratios should be calculated manually.