The EPRA UK Return Index fell 2.4% over the period 18 July to 17 August, compared to a 1.7% fall by the EPRA Europe Index – the second fall for the UK Index, which dipped 2.7% over the June to July period. The UK market actually rose 1.2% over the period, but a 3.2% cut in the pound’s value against the euro hindered performance. The UK has shown returns of 3.6% so far this year, compared to 4.5% for the Europe Index. The EPRAEurozone Index fell 1.3% by close of business on 17 August. Of the eurozone countries, Belgium (+3.1%), Portugal (+2.8%), Germany (+1.4%), Italy (+0.7%) and Finland (+0.2%) gained. Ireland (-9%) posted the largest loss. On a stock level, the UK led the table of outperformers, notable risers being NHP (+22%), Asda Property (+16%) and Brixton (+9%). The only non-UK stock in the top five was Sweden’s Kungsleden, up 8%. Most of the largest underperformers over the period were eurozone stocks. Germany’s Bau-Vereinlost 7%, while France’s Unibail reversed gains made in the last period, falling 6%. Ireland’s Green Property and Spain’s Metrovacesa both fell 6%. Ireland’sGreen Property and Spain’s Metrovacesa both fell 6%. The only non-eurozone stock in the bottom five was Sweden’s JM falling 5%. From 1 October 2001, the EPRA Europe Index will be calculated on a free-float weighted basis, a change driven by user demand.
Fraser Hughes is research director for EPRA
