Land Securities posted NAV growth of 5.4% in the six months to the end of September – a 2.5% miss on analysts’ expectations as capital growth slowed more rapidly than expected.
The UK’s largest REIT posted a £519.3m valuation surplus – up by 3.8% – to £14.6bn with rising rents replacing yield compression as the main driver of growth.
The company this week confirmed a 92,000 sq ft letting to Deutsche Bank Asset and Wealth Management at its Zig Zag building (pictured), SW1, where rents are around £80 per sq ft. LandSec’s ungeared total property return for the period was 5.9%, underperforming the IPD Quarterly Universe at 6.8%.
