21st Apr 2015 06:33
LONDON (Alliance News) - UK Commercial Property Trust Ltd Tuesday said its net asset value per share rose strongly in 2014, driven by portfolio capital growth and asset management moves, and its returns beat a key benchmark, while it has also successfully completed its refinancing.
The commercial property investor said its net asset value per share stood at 83.0 pence at the end of 2014, up 13.5% from 73.1p a year earlier. Its net asset value total return was 19.7% over the year, and its share price total return was 20.4%, both outperforming the IPD Balanced Monthly & Quarterly Funds benchmark of 17.4%.
It also said it has now completed the refinancing of its debt facility with Lloyds Banking Group PLC with a 12 year, GBP100million debt facility secured from Cornerstone Real Estate Advisors Europe LLP, part of the MassMutual Financial Group, at an "attractive" fixed rate of 3.03%. It has also agreed a GBP50million revolving credit facility with Barclays PLC as well as lowering the current margin on its existing Barclays loan and extending the term out to April 2020, giving it extra flexibility.
It said the debt refinancing has resulted in a blended cost of debt of 2.89% and an average debt maturity of 7.8 years, assuming the revolving credit facility remains undrawn, while providing additional resources for investment. It has cash resources of over GBP100 million available for investment following the refinancing, it said.
It said it will pay a dividend of 3.68 pence for 2014, resulting in a yield of 4.2%.
The company's property portfolio was valued at GBP1.27 billion at the end of 2014, up 21.3% on the year. The portfolio total return for the year was 18.4%, driven by value improvements in South East Industrial assets, Central London holdings, Distribution Warehouses and selective Regional Offices.
By Steve McGrath; [email protected]; @stevemcgrath1
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