NAV, IMS & Director's Appointment
1 February 2013
UK Commercial Property Trust Limited
Net Asset Value and Interim Management Statement
for the three month period from 1 October 2012 to 31 December 2012 and appointment of additional non-executive director
Breakdown of NAV movement
UK Commercial Property Trust Limited ("UKCPT" or the "Company") (LSE: UKCM), the largest Guernsey based, UK focused, commercial property trust, announces its unaudited quarterly Net Asset Value ("NAV") as at 31 December 2012.
The unaudited NAV per share as at 31 December 2012 was 69.6 pence, representing a decrease of 1.8% from the unaudited NAV per share as at 30 September 2012 of 70.9 pence.
This decline is mainly attributable to a 1.2% decrease in the value of the Company's property portfolio, which is in turn largely caused by valuation reductions in the retail portfolio; the fall is virtually in line with a decline of 1.1% in the IPD Monthly Property Index over the same period.
As at 31 December 2012 the Company's gross gearing (borrowings (excl SWAPS) divided by total assets less current liabilities) was 21.3%. Net gearing (borrowings (excl SWAPS) less cash divided by total assets less current liabilities and cash) was 15.3%.
The NAV has been calculated under International Financial Reporting Standards ("IFRS"). It is based on the external valuation of the Company's direct property portfolio prepared by CBRE Limited.
The NAV includes all income to 31 December 2012 and is calculated after deduction of all dividends paid prior to that date.
|
UK Commercial Property Trust Limited |
Per Share (p) |
Attributable Assets (£m) |
|
Net assets as at 1 October 2012 |
70.9 |
848.7 |
|
Unrealised decrease in valuation of property portfolio |
(1.0) |
(12.4) |
|
Capital expenditure during the period |
(0.1) |
(1.4) |
|
Income earned for the period |
1.6 |
19.1
|
|
Expenses for the period |
(0.5) |
(5.7) |
|
Dividend paid on 30 November 2012 |
(1.3) |
(15.7) |
|
Interest rate swaps mark to market revaluation |
(0.0) |
0.2 |
|
Net assets as at 31 December 2012 |
69.6 |
832.8 |
Net Asset Analysis as at 31 December 2012
|
|
£m |
% |
|
Property Portfolio |
|
|
|
Retail |
533.7 |
64.1 |
|
Office |
242.2 |
29.1 |
|
Industrial |
194.7 |
23.4 |
|
Leisure |
50.6 |
6.0 |
|
Total Property Market Value |
1,021.2 |
122.6 |
|
Adjustment for lease incentives |
(5.6) |
(0.6) |
|
Fair Value of Property Portfolio |
1,015.6 |
122.0 |
|
Net Current Assets |
62.0 |
7.4 |
|
Net Long Term Liabilities |
(244.8) |
(29.4) |
|
Total Net Assets as at 31 December 2012 |
832.8 |
100.0 |
Sector Analysis
|
|
Portfolio Value as at 31 Dec 2012 (£m) |
Exposure as at 31 Dec 2012 (%) |
Capital Value Shift (%) |
Capital Value Shift (£m) |
|
|
External valuation at 30 September 2012 |
|
|
|
1,033.2 |
|
|
|
|
|
|
|
|
|
Retail |
533.7 |
52.3 |
-1.7 |
-9.0 |
|
|
High St - South East |
|
9.2 |
0.0 |
0.0 |
|
|
High St- Rest of UK |
|
3.8 |
-4.5 |
-1.8 |
|
|
Shopping Centres |
|
14.4 |
-1.6 |
-2.4 |
|
|
Retail Warehouse |
|
24.9 |
-1.8 |
-4.8 |
|
|
|
|
|
|
|
|
|
Offices |
242.2 |
23.7 |
-0.5 |
-1.3 |
|
|
West End |
|
9.1 |
1.0 |
1.0 |
|
|
South East |
|
4.5 |
-0.2 |
-0.1 |
|
|
Rest of UK |
|
10.1 |
-2.0 |
-2.2 |
|
|
|
|
|
|
|
|
|
Industrial |
194.7 |
19.1 |
-0.9 |
-1.7 |
|
|
South East |
|
12.3 |
-1.4 |
-1.7 |
|
|
Rest of UK |
|
6.8 |
0.0 |
0.0 |
|
|
|
|
|
|
|
|
|
Leisure/Other |
50.6 |
4.9 |
0.0 |
0.0 |
|
|
|
|
|
|
|
|
|
External valuation at 31 December 2012 |
1021.2 |
100.0 |
-1.2 |
1021.2 |
Debt
On 19 November 2012 the Company drew down the remaining £30 million of the £150m Barclays loan facility, and, as a result, this facility is now fully utilised. The Company also entered into a swap contract to hedge this £30 million for the duration of the term. The blended interest rate across both of the Company's debt facilities, based on current margins, is now 3.85%.
Dividend
A fourth interim dividend of 1.3125p is declared in respect of the period from 1 October 2012 to 31 December 2012. The dividend will be paid on 28 February 2013 to shareholders on the register on 15 February 2013. The ex-dividend date will be 13 February 2013.
New Director
The Board is pleased to announce the appointment of Mr Ken McCullagh as a non-executive Director of the Company. Mr McCullagh resides in Dublin and is a Chartered Accountant with over twenty years' experience in senior roles within the property industry, including his current position as Chief Executive Officer of LNC Property Group which he has held for 12 years. The Board believes Mr McCullagh brings skills that will complement and strengthen the skill-set of the Board as a whole.
There are no details to be disclosed under 9.6.13 (1) to (6) of the Listing Rules.
Additional Disclosures
Further information will be given in the annual results of the Company for the year to 31 December 2012 which will be announced in late March 2013.
The Board is not aware of any further significant events or transactions which have occurred between 31 December 2012 and the date of publication of this statement which would have a material impact on the financial position of the Company.
Christopher Hill, Chairman of UKCPT, commented:
"During the period we have faced challenges from conditions in the broader economy, which have affected valuations, particularly in our retail portfolio. However, the hard work undertaken by our specialist asset management team has mitigated this impact and we continue to focus on deriving maximum value and income from our existing property portfolio, while evaluating potential opportunities to acquire high quality assets where we believe we can generate increased value.
"I am also pleased to welcome Ken McCullagh a highly experienced property professional, to the Board of UKCPT. Ken's expertise in the real estate sector will be invaluable as we look to grow the portfolio, and I look forward to working alongside him."
Enquiries
Robert Boag / Graeme McDonald, Ignis Investment Services Limited
Tel: 0141 222 8000
Edward Gibson-Watt / Oliver Kenyon, J.P. Morgan Cazenove
Tel: 020 7742 4000
Stephanie Highett/Richard Sunderland/Will Henderson, FTI Consulting
Tel: 020 7831 3113
The above information is unaudited and has been calculated by Ignis Investment Services Limited. Further information can be found on the updated UKCPT website at www.ukcpt.co.uk.
This information is provided by RNS
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