Announcing interim results in line with expectations, Canary Wharf said this week that it would return only three-quarters of a promised £2bn to shareholders by 2005.
Chief executive George Iacobescu said that investors would have to wait until the completion of four sites for £500m of the £2bn promised, but confirmed that three tranches of £250m would be paid out to shareholders in the next three years.
Another £750m will be paid via share buybacks.
He also reassured investors that occupancy levels had not fallen since the events of 11 September, and more than 6.9m sq ft of a possible 8m sq ft of property under construction had been prelet or sold…
Iacobescu said the securitisation of £1.26bn created last month would allow the group to borrow £1bn to complete the construction of projects such as the Barclays Bank building.
In the six months to December 2001, pretax profits were up to £26.2m from £22.5m, while turnover from rents and service charges rose 27% to £94.2m. Net asset value rose 1.7%, from 697p to 709p .
Andrew Causer, analyst at JP Morgan, said: “Obviously, the £500m promised to shareholders against the buildings under construction is subject to finding a tenant. The all-up net asset value has also marginally declined as a result of market conditions.”
