An uplift in portfolio valuation has helped to boost Great Portland Estates’ net asset value per share by 3.5% to 417p since 30 March.
NAV per share was up by 11.2% over 12 months.
The value of the portfolio stood at £2106.8m at 30 June 2012, an increase of £61m on the previous quarter. Growth in GPE’s “rest of West End” properties, up 3.8% over the quarter, was one of the main drivers of the quarterly valuation uplift.
GPE has made purchases in the West End worth £159m since March 2012, including the Jermyn Street Estate, SW1, which was announced on 23 July.
The company secured a new £80m, 10-year fixed rate non-recourse debt facility in the Great Victoria Partnership on 17 July.
Chief executive Toby Courtauld said: “Against a backdrop of global economic turbulence and increased central bank monetary stimulus, a significant quantity of capital from around the world continues to flow into the central London property market, resulting in yields reducing in the quarter for prime West End assets.
“With resilient tenant demand, minimal vacancy of grade A space and constrained development supply, we expect further rental growth, particularly at our well located, high quality buildings. Following our recent off-market, accretive purchases, we will continue to capitalise on strong investor demand to crystallise surpluses on some of our mature assets, recycling the capital into our significant development pipeline.
“With numerous opportunities to exploit across our well-located portfolio and our strong financial position, we expect to deliver further attractive returns to our shareholders.”
sophia.furber@estatesgazette.com
