Schroder REIT’s net asset value has fallen by 9.3%, after a refinancing incurred £27.2m in costs.
NAV fell to £321m in December 2019, from £354m in September.
NAV per share has declined by 1.7% on a like-for-like basis to 62p in December, compared with the previous quarter when adjusted for the refinancing costs.
The REIT said the refinancing has generated an immediate interest saving of £2.5m per annum, which will be paid to shareholders as an annualised 19% dividend increase. It will be paid on 13 March this year.
Following the refinancing, the company has around £90m of cash and undrawn debt facilities to invest in asset management and new acquisitions.
Duncan Owen, global head of Schroder Real Estate, said: “The underlying portfolio has continued to outperform over the 12 months to 31 December 2019 against the benchmark by 2.3%.
“We are continuing our active asset management programme and have a robust pipeline of reinvestment opportunities to drive returns and grow net income in a sustainable way.”
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