29th Jul 2015 07:00
F&C UK REAL ESTATE INVESTMENTS LTD - Net Asset Value(s)F&C UK REAL ESTATE INVESTMENTS LTD - Net Asset Value(s)
PR Newswire
London, July 28
To: Company Announcements
Date: 29 July 2015
Company: F&C UK Real Estate Investments Limited
Subject: Net Asset Value
Net asset value
The unaudited net asset value per share of F&C UK Real Estate Investments Limited (“FCRE”) as at 30 June 2015 was 97.0 pence. This represents an increase of 4.0 per cent from the net asset value per share as at 31 March 2015 of 93.3 pence.
The net asset value is based on the external valuation of the Group's property portfolio prepared by DTZ Debenham Tie Leung Limited.
The net asset value is calculated under International Financial Reporting Standards ("IFRS").
The net asset value includes all income to 30 June 2015 and is calculated after deduction of all dividends paid prior to that date. It does not include a provision for the dividend for the quarter to 30 June 2015 which is expected to be paid in September 2015.
Share Price
The share price was 99.5 pence per share at 30 June 2015, which represented a premium of 2.6 per cent to the NAV per share announced above. The share price total return for the quarter was -1.7 per cent.
Breakdown of NAV movement
Set out below is a breakdown of the change to the unaudited net asset value per share calculated under IFRS over the period from 31 March 2015 to 30 June 2015.
| Pence per share | % of opening NAV | |
| Net asset value per share as at 31 March 2015 | 93.3 | |
| Unrealised movement in valuation of property portfolio (including the effect of gearing) | 3.5 | 3.8* |
| Movement in interest rate swap valuation | 0.5 | 0.5 |
| Movement in revenue reserves | (0.3) | (0.3) |
| Net asset value per share as at 30 June 2015 | 97.0 | 4.0 |
* The un-geared increase in the valuation of the property portfolio over the quarter to 30 June 2015 was 2.6%.
The net gearing as at 30 June 2015 was 29.7%#
# Bank debt (less net current assets, excluding swap liability) divided by fair value of investment properties
| Portfolio Analysis | £m | % of portfolio as at 30 June 2015 | % capital value movement in quarter |
| Offices | 97.1 | 28.8 | 2.0 |
| West End | 24.8 | 7.4 | 3.3 |
| South East | 36.8 | 10.9 | 2.6 |
| Rest of UK | 35.5 | 10.5 | 0.5 |
| Retail | 71.4 | 21.2 | 1.5 |
| West End | 6.1 | 1.8 | 3.9 |
| Rest of London | 6.9 | 2.0 | 2.6 |
| South East | 19.9 | 5.9 | 0.9 |
| Rest of UK | 38.5 | 11.5 | 1.3 |
| Industrial | 90.2 | 26.7 | 4.4 |
| South East | 89.1 | 26.4 | 4.4 |
| Rest of UK | 1.1 | 0.3 | - |
| Retail Warehouse | 78.8 | 23.3 | 2.4 |
| Rest of London | 8.5 | 2.5 | 6.9 |
| Rest of UK | 70.3 | 20.8 | 1.9 |
| Total Property | 337.5 | 100.0 | 2.6 |
Property Purchases and Sales
On 7 May 2015, IRP Holdings Limited, a subsidiary of FCRE, sold 40 Yorkshire Street, Rochdale for £350,000 which was consistent with its valuation as at 31 March 2015. There were no other purchases or sales in the quarter.
Summary Balance Sheet
| £m | Pence per share | % of Net Assets | |
| Property Portfolio per Valuation Report | 337.5 | 144.3 | 148.7 |
| Adjustment for lease incentives | (5.6) | (2.4) | (2.4) |
| Fair Value of Property Portfolio | 331.9 | 141.9 | 146.3 |
| Cash | 4.7 | 2.0 | 2.1 |
| Trade and other receivables | 6.9 | 2.9 | 3.0 |
| Trade and other payables | (7.0) | (3.0) | (3.1) |
| Interest-bearing loan | (103.0) | (44.0) | (45.4) |
| Interest rate swap | (6.6) | (2.8) | (2.9) |
| Net Assets at 30 June 2015 | 226.9 | 97.0 | 100.0 |
The property portfolio will next be valued by an external valuer during September 2015 and the net asset value per share as at 30 September 2015 will be announced in October 2015.
Enquiries:The Company SecretaryNorthern Trust International Fund Administration Services (Guernsey) LimitedTrafalgar CourtLes BanquesSt Peter PortGuernseyGY1 3QLTel: 01481 745001Fax: 01481 745051
Ian McBrydeScott MacraeF&C Investment Business LtdTel: 0207 628 8000Fax: 0131 225 2375
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