25th Feb 2014 10:04
LONDON (Alliance News) - Property investment and development company Capital & Counties Properties PLC Tuesday reported an increase in full-year profit, as it continued its strategy to grow the value of its Covent Garden and Earls Court estates.
The London-focused firm posted pretax profit of GBP347.2 million for the period ended December 31, 2013, up from GBP218.7 million a year earlier, as revenue rose to GBP118.8 million from GBP109.4 million in 2012.
Capco said it benefited from strong valuations across the business which is now valued at GBP2.25 billion in total, up from GBP1.72 billion in 2012. The Covent Garden estate - the company's biggest asset - is now worth GBP1.16 billion compared with GBP952 million a year earlier.
In August, Capco bought the 50% stake in the Empress State Building it did not already own for GBP117 million. The 460,000 square foot office tower is let to the Metropolitan Police Authority which provides a secure income stream until 2019.
Excluding the acquisition of the residual 50% interest in the Empress State Building, property acquisitions in the year totalled GBP65.3 million, mainly being small acquisitions around Earls Court in west London.
Property disposals were GBP64.7 million, primarily relating to the sale of Park Crescent West, the final asset within Great Capital Partnership, its 50-50 joint venture with Great Portland Estates PLC.
Capco said its Covent Garden estate continues to be attractive to tenants, with 12 new retailer and restaurants signed, including high-end fashion stores Dior Beauty and Burberry, and burger chain Shake Shack.
In addition, at Earls Court, which will undergo extensive redevelopment, a detailed planning application has been submitted for Earls Court Village which will consist of 1,350 new homes.
Capco declared a dividend of 1 pence per share, giving a full-year dividend of 1.5 pence per share unchanged from the year earlier.
The stock was trading at 393.30 pence Tuesday morning, up 12.10 pence or 3.2%.
By Anthony Tshibangu; [email protected]; @AnthonyAllNews
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