1st Jul 2020 10:15
(Alliance News) - Sirius Real Estate Ltd on Wednesday said only a small minority of its on-site business park employees are working from home following lockdown relaxation with June rent collection very near normal levels.
The branded business parks operator said less than 10% of its on-site business park employees are working remotely and that its head office staff were working on a rotation basis with up to 50% of staff present at any given time.
Rent and service charge collection for June was at 99.8% of normal levels, having been more than 98% in April and May.
Conferencing income was at normal monthly levels in June after an estimated EUR200,000 shortfall from March compared to the prior year.
Enquiry levels have also returned to normal levels, exceeding 1,200 per month in April, May and June and resulted in 165 new June lettings generating EUR877,000 of annualised rental roll compared to 130 new lettings in May and 115 in April.
Like-for-like annualised rental roll at June 30 versus March has fallen by around EUR478,000 from EUR89.6 million on March 31.
The company also said a drawdown of EUR20 million on its unsecured Schuldschein loan is due to take place on Friday, which will give it EUR123 million of unrestricted cash and undrawn facilities.
Chief Executive Andrew Coombs said: "Our business model is built on the breadth of our offering to occupiers and the adaptability of our mix of accommodation, ranging across many different workspace segments, including out of town conventional and flexible office, manufacturing, commercial storage and self-storage. In addition, the portfolio is well diversified in terms of both geography and tenant base."
"Looking ahead, we are well positioned with a strong balance sheet to take advantage of opportunities in the market. We remain focused on delivering attractive risk-adjusted returns by way of active asset management throughout the economic and property cycles and we have significant cash resources to make acquisitions as well as further vacancy to develop and reversion potential to capture."
In London, shares in Sirius were up 0.9% at 76.90 pence while in Johannesburg they were up 4.0% at ZAR16.50.
By Anna Farley; [email protected]
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