Sidney Corob’s Mayfair & City Properties has turned in lower pre-tax profits for the six months to September 30, at £353,000 compared with £424,000 for the previous first half. The downturn is largely due to the additional finance costs relating to the enlarged investment portfolio, from which benefits will be seen in future years.
Gross rental income is sharply up at £830,000 against £617,000 and the attributable profit is up from £262,000 to £306,000, with earnings per share stated at 2.5p against 2.2p. An unchanged interim dividend of 1.1p a share is to be paid on March 24.
Income and profits will be strengthened by the letting of the Hanover Street, W1, office building at the quoted rental of £210,000 where income began to flow in October. Among the investment properties which will boost income in the future are a long-leasehold interest in a shopping centre at Cowley, Oxford, bought for £5.75m. Completion is due this month. The company has also bought a property in Lichfield, Staffordshire, for £385,000. These properties will add considerably to the rental income.
Two properties were sold during the six months for £900,000, realising a surplus of £105,000. In November, a further property was sold for £750,000 — also yielding a surplus. These were all part of a portfolio acquired last March which was considered unsuitable for retaining in the long term.
