Business
Great Portland Estates Full Year Results 2017
Great Portland Estates Full Year Results 2017.
About this update from Great Portland Estates Plc
[{"type":"text","content":"\n \nRNS Number : 0379G Great Portland Estates PLC 24 May 2017 \n\n \nPress Release\n \n24 May 2017\n \nAnnual Results - strong operational performance and well positioned\n \nThe Directors of Great Portland Estates plc announce the results for the Group for the year to 31 March 2017.\nHighlights for the year:\nValuation lower - driven by yield expansion in H1\n· Portfolio valuation down 4.9%1 in year (developments: down 1.2%1) and down 0.4%1 in H2\n· Yield expansion of 15 bp (H1: +16 bp; H2: -1 bp)\n· Rental value decline of 1.3%1 (H1: -0.5%; H2: -0.8%); -1.8% offices, +0.5% retail\n· 12 month capital return of -5.1% v 0.4% for IPD Central London Index (10 year capital return: 75.4% v 45.6%)\n \nResilient financial performance - strong uplift in EPRA earnings and dividend\n· EPRA2 NAV per share of 799 pence, down 5.7% in year and 1.7% in H2\n· Net assets of £2,738.4 million (March 2016: £2,912.2 million)\n· EPRA2 earnings of £59.3 million, up 24.1% on 2016. EPRA2 EPS of 17.3 pence, up 28.1%\n· After revaluation deficit, reported loss before tax of £140.2 million (March 2016: profit of £555.1 million)\n· Total dividends per share of 10.1 pence (2016: 9.2 pence), up 9.8%\n \nRecord year of capital recycling, crystallising development profits - net sales of £656 million\n· Disposals of £727 million at a 3.1% discount to March 2016 book value, including forward sales of two long-let commercial development schemes (73/89 Oxford Street and Rathbone Square, W1) for £651 million crystallising a combined whole life profit of in excess of £227 million\n· £71 million of bolt-on acquisitions, all in West End\n \nContinued successful leasing activity ahead of ERV and capturing reversion - rent roll growth potential\n· 52 new lettings (282,700 sq ft) securing annual income of £20.5 million, including nine development lettings (£8.3 million, all on at least 10 year terms); market lettings 0.6% ahead of March 2016 ERV\n· 32 rent reviews settled securing £12.9 million; 45.3% above previous passing rent, 2.6% ahead of ERV\n· Vacancy rate at 6.8%, average office rent only £50.10 sq ft, reversionary potential of 21.2% (£23.3 million)\n· Since year end, lettings of £5.1 million at 2.1% premium to March 2017 ERV; further £6.9 million under offer, 2.4% above March 2017 ERV\n· Rent roll growth of 13.2% to £109....