NewRiver REIT has reported a 3.3% decline in valuation to £1.26bn in the six months ended 30 September.
The portfolio is 70% weighted to shopping centres and retail parks, but declines were markedly less than others in the industry.
NewRiver REIT’s shopping centres, which make up 55% of the portfolio fell by 5% to £692m.
The drops were focused on its regional shopping centres, which fell 5.9% to £538m. In London, the portfolio was more resilient, down by just 1.7% to £154m.
Retail parks fell 4.4% to £188m. Valuation was boosted by growth in pubs, up 0.3% to £282m and development up 1.8% to £77m.
Last week, British Land reported a 10.7% fall in its retail portfolio value and Landsec reported a 11% drop in its retail parks.
The performance is also an uptick from earlier in the year. In May, the REIT reported a like-for-like portfolio valuation decline of 6.4% in the year and said it had been deliberately holding back investment into retail for around 18 months.
Chief executive Allan Lockhart said: “Our diversified and differentiated portfolio continued to outperform the market, delivering sustainable cash flows, robust operational metrics and resilient valuations.”
Earnings at the REIT fell, with EPRA NAV per share down -7.0% to 244p due to the portfolio valuation decline and a 2.7% reduction in ERV. Like-for-like rental income fell 3.5% impacted by CVAs and administrations. Its LTV stood at 38%.
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