Value and Indexed Property Income Trust PLC · LSE:VIP
Value and Indexed Property Income Trust — Value and Income Trust — Shareholder Meeting (July 2019)
14 slides from Value and Indexed Property Income Trust's shareholder meeting presentation, Jul 5, 2019
Slide 1: Value and Income Trust AGM 5 July 2019
Value and Income Trust AGM 5 July 2019 Value and Income Trust Plc, Commercial Property Portfolio March 2019, Managed by OLIM Property Limited
Slide 2: Agenda
Agenda » OLIM Property Investment Team » Value & Income Trust – Property Portfolio as at 31 March 2019 » Performance Record » Market Outlook » Highlights Value and Income Trust Plc, Commercial Property Portfolio March 2019, Managed by OLIM Property Limited 2
Slide 3: OLIM Property Investment Team
OLIM Property Investment Team OLIM Property manage over £1 billion in UK discretionary commercial property portfolios with individual mandates for pension funds, investment trusts and Oxford colleges. » Matthew Oakeshott - Chairman Joint founder of OLIM where he managed UK commercial property and eq
Slide 4: Property Portfolio as at 31 March 2019
Property Portfolio as at 31 March 2019 » Portfolio Capital Value £68,800,000 » Net Rental Income £4,371,936 » 26 properties – All freehold except Horsham & Fareham (long leasehold) » 28 tenancies – All leases full repairing and insuring » Rent Reviews - Five yearly or annual upward only rent reviews
Slide 5: Property Portfolio as at 31 March 2019
Property Portfolio as at 31 March 2019 Pubs / Restaurants Industrials Leisure Roadside • 11 properties • 4 properties • 3 properties • 2 properties • £1,258,720 rent • £1,174,305 rent • £474,952 rent • £318,202 rent • WAULT 20.6 years • WAULT 12.5 years • WAULT 22.1 years • WAULT 8.4 years Other Sup
Slide 6: Property Portfolio Sector Weighting % Capital Value
Property Portfolio Sector Weighting % Capital Value Pubs / Restaurants - 34% 5% 6% Industrials - 25% 6% 34% Other - 15% 9% Leisure - 9% Shops - 6% 15% Roadside - 6% 25% Supermarkets - 5% Value and Income Trust Plc, Commercial Property Portfolio March 2019, Managed by OLIM Property Limited 6
Slide 7: Property Portfolio by Region % Capital Value
Property Portfolio by Region % Capital Value South East - 53% (10 properties) North - 12% (5 properties) 6% 3% 6% East Anglia - 11% (4 properties) 9% London - 9% (2 properties) 53% South West - 6% (2 properties) 11% Midlands - 6% (2 properties) 12% Wales - 3% (1 property) Value and Income Trust Plc,
Slide 8: Property Portfolio - Rental Income By Tenant %
Property Portfolio - Rental Income By Tenant % Stonegate 12% Park Resorts 10% Kier Group 9% Co-operative Food 9% Hampshire County Council 9% Adelie Foods 7% Shepherd Neame 7% Buzz Group 5% Tenpin 5% Iceland 4% Poundland 4% Greene King 3% Mitchells & Butlers 3% Toolspec 3% WH Smith 3% McDonald's 2% P
Slide 9: Property Portfolio - Fixed and RPI Index-Related Share of Rental Income %
Property Portfolio - Fixed and RPI Index-Related Share of Rental Income % 90% 79% 80% 74% 70% 60% 52% 50% 39% 40% 35% 30% 20% 10% 0% 2012 2013 2017 2018 2019 Value and Income Trust Plc, Commercial Property Portfolio March 2019, Managed by OLIM Property Limited 9
Slide 10: Total Annualised Returns
Performance Record as at 31 March 2019 VIT Total Returns (% p.a) – March 2019 14% 13% 12% 11% 11% 11% 11% 10% 10% 10% Total Annualised Returns 10% 9% 9% 9% 8% 8% 8% 8% 8% 7% 6% 6% 6% 4% 4% 3% 3% 3% 2% 2% 2% 0% 1 year 3 years 5 years 10 years 20 years 32 years VIT MSCI RPI Real Return Value and Incom
Slide 11: Comparative Yields % – End December
Comparative Yields % – End December (Except 2019 End June) 2019 * 2018 2017 2016 2014 2011 2008 2006 Property (Equivalent Yield) 5.5 5.4 5.5 5.7 5.9 6.8 8.1 5.4 Long Gilts Conventional 0.8 1.5 1.4 1.5 2.0 2.5 3.7 4.6 Index Linked -2.0 -1.8 -1.8 -1.8 -0.8 -0.2 0.8 1.1 UK Equities 4.1 4.5 3.6 3.5 3.4
Slide 12: Comparative Yields % – End December
Comparative Yields % – End December (Except 2019 End June) 8 6 4 2 0 -2 Property (Equivalent Yield) Long Conventional Gilts Long Index Linked Gilts Value and Income Trust Plc, Commercial Property Portfolio March 2019, Managed by OLIM Property Limited 12
Slide 13: Yield Gaps: Property Less Gilt Yields %
Yield Gaps: Property Less Gilt Yields % 8 7 6 5 4 3 2 1 0 Property Less Long Conventional Gilt Yields Property Less Index Linked Gilt Yields Value and Income Trust Plc, Commercial Property Portfolio March 2019, Managed by OLIM Property Limited 13
Slide 14: Highlights March 2018 to March 2019
Highlights March 2018 to March 2019 » Purchases – 3 new properties for £8,800,000, Net initial Yield 6.6%, WAULT 19 years, all Index- Related » Sold – 5 properties for £10,300,000, Net Initial Yield 7.3% falling to 6.0% on current rental values, WAULT 8 years, 86% of the rents with open market rent
Value and Income Trust — Shareholder Meeting (July 2019) on 6ix