REG - Great Portland Ests. - Great Portland Estates Full Year Results 2017 <Origin Href="QuoteRef">GPOR.L</Origin> - Part 4

Great Portland EstatesAnnouncement

24/05/2017 07:06

- Part 4: For the preceding part double click  ID:nRSX0379Gc 

with a
description of the principal risks and uncertainties that they face; and 
 
· the annual report and financial statements, taken as a whole, are fair,
balanced and understandable and provide the information necessary for
shareholders to assess the Company's performance, business model and
strategy. 
 
Approved by the Board on 24 May 2017 and signed on its behalf by 
 
Toby Courtauld           Nick Sanderson 
 
Chief Executive             Finance Director 
 
Glossary 
 
Building Research Establishment Environmental Assessment Methodology (BREEAM) 
 
Building Research Establishment method of assessing, rating and certifying the
sustainability of buildings. 
 
Core West End 
 
Areas of London with W1 and SW1 postcodes. 
 
Earnings Per Share (EPS) 
 
Profit after tax divided by the weighted average number of ordinary shares in
issue. 
 
EPRA metrics 
 
Standard calculation methods for adjusted EPS and NAV and other operating
metrics as set out by the European Public Real Estate Association (EPRA) in
their Best Practice and Policy Recommendations. 
 
Estimated Rental Value (ERV) 
 
The market rental value of lettable space as estimated by the Group's valuers
at each balance sheet date. 
 
Fair value - Investment property 
 
The amount as estimated by the Group's valuers for which a property should
exchange on the date of valuation between a willing buyer and a willing seller
in an arm's-length transaction after proper marketing wherein the parties had
each acted knowledgeably, prudently and without compulsion. In line with
market practice, values are stated net of purchasers' costs. 
 
IPD 
 
The Investment Property Databank Limited (IPD) is a company that produces an
independent benchmark of property returns. 
 
IPD central London 
 
An index, compiled by IPD, of the central and inner London properties in their
March annual valued universes. 
 
Like-for-like (Lfl) 
 
The element of the portfolio that has been held for the whole of the period of
account. 
 
Loan To Value (LTV) 
 
Total bank loans, private placement notes, convertible bonds at nominal value
and debenture stock, net of cash (including our share of joint ventures
balances), expressed as a percentage of the market value of the property
portfolio (including our share of joint ventures). 
 
Net assets per share or Net Asset Value (NAV) 
 
Equity shareholders' funds divided by the number of ordinary shares at the
balance sheet date. 
 
Net gearing 
 
Total Group borrowings (including the convertible bonds at nominal value) less
short-term deposits and cash as a percentage of equity shareholders' funds,
calculated in accordance with our bank covenants. 
 
Net initial yield 
 
Annual net rents on investment properties as a percentage of the investment
property valuation having added notional purchaser's costs. 
 
Non-PIDs 
 
Dividends from profits of the Group's taxable residual business. 
 
PMI 
 
Purchasing Managers Index. 
 
Portfolio Internal Rate of Return (IRR) 
 
The rate of return that if used as a discount rate and applied to the
projected cash flows from the portfolio would result in a net present value of
zero. 
 
Property Income Distributions (PIDs) 
 
Dividends from profits of the Group's tax-exempt property rental business. 
 
REIT 
 
UK Real Estate Investment Trust. 
 
Rent roll 
 
The annual contracted rental income. 
 
Reversionary or under-rented 
 
The percentage by which ERV exceeds rents passing, together with the estimated
rental value of vacant space. 
 
Reversionary yield 
 
The anticipated yield, which the initial yield will rise to once the rent
reaches the ERV. 
 
Total Accounting Return (TAR) 
 
Growth of EPRA NAV plus dividends paid. 
 
Total Property Return (TPR) 
 
Capital growth in the portfolio plus net rental income derived from holding
these properties plus profit on sale of disposals expressed as a percentage
return on the period's opening value. 
 
Total Shareholder Return (TSR) 
 
The growth in the ordinary share price as quoted on the London Stock Exchange
plus dividends per share received for the period expressed as a percentage of
the share price at the beginning of the period. 
 
Triple net asset value (NNNAV) 
 
NAV adjusted to include the fair value of the Group's financial liabilities on
a diluted basis. 
 
True equivalent yield 
 
The constant capitalisation rate which, if applied to all cash flows from an
investment property, including current rent, reversions to current market rent
and such items as voids and expenditures, equates to the market value having
taken into account notional purchaser's costs. Assumes rent is received
quarterly in advance. 
 
Vacancy rate 
 
The element of a property which is unoccupied but available for letting,
expressed as the ERV of the vacant space divided by the ERV of the total
portfolio. 
 
Weighted Average Unexpired Lease Term (WAULT) 
 
The Weighted Average Unexpired Lease Term expressed in years. 
 
This information is provided by RNS
The company news service from the London Stock Exchange