Business
Q1 19 Trading Update/Outlook/Dividend Declaration
Q1 19 Trading Update/Outlook/Dividend Declaration.
About this update from Regional Reit Ltd.
[{"type":"text","content":"\n \nRNS Number : 9097Z Regional REIT Limited 23 May 2019 \n\n23 May 2019\nRegional REIT Limited\n(\"Regional REIT\", the \"Group\" or the \"Company\")\n \n \nTrading Update, Dividend Announcement and Outlook Statement\n \nContinued robust demand and strong performance\nIncreased Q1 2019 dividend 1.90pps\n \nRegional REIT (LSE: RGL), the REIT focused on income producing regional UK core and core plus office and industrial property assets, in advance of its Annual General Meeting today, announces its trading update for the year to date, its dividend declaration for the first quarter of 2019, and provides a statement on the Group's Outlook for the full year 2019.\n \nTrading Update\n \nThe Group has continued to trade well in a market where demand for its assets remains strong and the potential deal pipeline is very healthy and diverse. Regional REIT is achieving its strategy of providing investors with an attractive return on a sustained and consistent basis from investing in and managing, predominantly, offices and light industrial property in the main regional centres of the UK outside of the M25 motorway. \n \nSince 1 January 2019 to date, the Group has exchanged on 19 new leases, totalling 116,443sq. ft.; when fully occupied these will provide approximately £0.8m pa of rental income. \n \nCapital expenditure year-to-date is £2.2m net. \n \nPortfolio as at 31 March 2019:\nStrong progress has been achieved and all key metrics were met:\n· 151 properties, 1,223 units and 884 tenants, amounting to £741.0m of gross property assets; a contracted rent roll run-rate of c. £60.5m pa. \n· Core and core plus offices (by value) were 76.7% of the portfolio (31 December 2018: 76.1%) and industrial sites 15.0% (31 December 2018: 15.5%); England & Wales represented 82.6% (31 December 2018: 82.0%) of the portfolio. \n· EPRA Occupancy 88.6%, versus 89.4% at 31 December 2018; 31 March 2019 like-for-like occupancy was 88.3% (versus 89.4% as at 31 December 2018). \n· Average lot size increased to c. £4.9m (31 December 2018: £4.8m). \nNet loan-to-value ratio c. 40% (31 December 2018: 38.3%). Gross borrowings £340.3m; cash and cash equivalent balances £42.6m. Cost of debt (including hedging) of 3.5% pa (31 December 2018: 3....