23rd Feb 2016 09:37
LONDON (Alliance News) - Care homes investor Target Healthcare REIT Ltd on Tuesday said its net asset value rose in the first half of its financial year, as it bought three more facilities and said it expects the market fundamentals to remain robust.
The company said its net asset value per share rose to 100.8 pence in the half year to the end of December, up from 97.9p at the end of its previous financial year at the end of June. Year-on-year, Target Healthcare delivered a 6.3% total return in the half, up from 4.0%, while its like-for-like portfolio valuation gains hit 3.6%, up from 2.7%.
The group's rent roll increased 0.9% to GBP12.5 million in the first half, up from GBP11.0 million at the end of June last year, as it added two new tenants in the period and bought three new properties. Its total portfolio now stands at 31 properties valued at a total of GBP167.2 million.
Target Healthcare said it declared dividends totalling 3.09 pence per share for the half, up from 3.06p a yera earlier.
The group said the fundamental attractions of the UK care home sector remain "compelling", and it expects to capitalise on the growing imbalance between the increase in the UK's elderly population and the poor quality of many existing care homes by continuing to invest in new, purpose-built facilities.
Target Healthcare shares were up 1.6% to 112.6 pence.
By Sam Unsted; [email protected]; @SamUAtAlliance
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