REG - UK Comm Prop Tst Ltd - Net Asset Value(s) & Interim Management Statement <Origin Href="QuoteRef">UKCM.L</Origin>

UK Commercial Property REITAnnouncement

29/10/2014 12:25

RNS Number : 4359U
UK Commercial Property Trust Ltd
16 October 2014
16 October 2014 
UK Commercial Property Trust Limited ("UKCPT" or "the Company")
Net Asset Value at 30 September 2014 
UK Commercial Property Trust Limited (LSE: UKCM), the largest Guernsey based, UK focused, commercial property trust, announces its unaudited quarterly Net Asset Value ("NAV") as at 30 September 2014.
Net Asset Value ("NAV")
The unaudited NAV per share as at 30 September 2014 was 80.7 pence*, representing an increase of 3.3% on the unaudited NAV per share of 78.1 pence as at 30 June 2014 and a total return of 4.5% in the quarter. The portfolio increased by 3.1% in the quarter on a like for like basis. This compares to an IPD balanced monthly index fundscapital movement of 3.2% over the same period. 
Analysis of Movement in NAV
The following tables provide an analysis of the movement in the unaudited NAV per share for the period from 1 July 2014 to 30 September 2014 and a sector analysis as at 30 September 2014:
UK Commercial Property Trust Limited
Per Share (p)
Attributable Assets (m)

Net assets as at 1 July 2014
78.1
967.4

Issue of new shares and re-issue of treasury shares
0.0
22.9
Issue of 28.7m shares
Unrealised increase in valuation of property portfolio
2.8
33.9
3.1% like for like increase in portfolio valuation
Capital expenditure during the period
(0.1)
(0.9)
Mainly relating to asset management initiatives at Dolphin Industrial Estate, Sunbury on Thames and Junction 27, Leeds as well as acquisition costs for Aberdeen and Dartford.
Income earned for the period
1.4
17.5
Equates to dividend cover of 101%
Expenses for the period
(0.5)
(6.0)
Dividend paid on 30 August 2014
(0.9)
(11.4)
Interest rate swaps mark to market revaluation
(0.1)
(0.6)
Marginal increase in swap liabilities in the period
Net assets as at 30 September 2014
80.7
1,022.8

Sector Analysis

Portfolio Value as at 30 Sep 2014 (m)
Exposure as at 30 Sep
Capital Value Shift 
Capital Value Shift (m) 
2014 (%)
(%)




1,122.4





Retail
554.9
47.2
2.1
11.3
High St - South East

9.9
3.2
3.5
High St - Rest of UK

2.3
0.0
0.0
Shopping Centres

11.5
3.1
4.1
Retail Warehouse

23.5
1.4
3.7





Offices
267.4
22.7
2.3
6.0
West End, London

11.2
2.8
3.6
South East

1.8
0.0
0.0
Rest of UK

9.7
2.1
2.4





Industrial
265.3
22.6
6.1
15.3
South East

15.5
6.1
10.4
Rest of UK

7.1
6.2
4.9





Leisure/Other
58.8
5.0
2.9
1.7





Aberdeen Gateway development
22.6
1.9

12.3^





Purchase of Crossways Cargo Centre, Dartford
6.5
0.6

6.5





External valuation at 30 Sep 2014
1,175.5
100.0
3.1
1,175.5
^This represents the payment of the forward commitment at site C2 plus capitalised costs paid out in relation to the forward funding commitment at site A 
*The NAV per share is calculated under International Financial Reporting Standards ("IFRS") and is unaudited.It is based on the external valuation of the Company's direct property portfolio prepared by CBRE Limited. It includes all current period income and is calculated after the deduction of all dividends paid prior to 30 September 2014. It does not include provision for any unpaid dividends relating to periods prior to 30 September 2014, i.e. the proposed dividend for the period to 30 September 2014.
The NAV per share at 30 September 2014 is based on 1,266,808,409shares of 25p each, being the total number of shares in issue at that time.
The EPRA NAV (excluding swap liabilities) is 81.2p (June 2014 - 78.6p).
Portfolio
On 25 September 2014, the Company purchased Crossways Cargo Centre, an industrial distribution unit in Dartford, for 6.5million at a net initial yield of 6.4%. The purchase of this asset should generate synergies with the Company's adjacent, existing multi-let industrial holding at Newton's Court, Dartford, acquired in June 2013.
On 1 October 2014, the Company also completed the acquisition of site D1 at Aberdeen Gateway for 10.9million (including costs). Following the completion of site C2 in July 2014 for 7.7million (including costs), the forward commitment element of this acquisition, is now complete and will result in 1.2million of income per annum after rent free periods. The forward funding element at site A remains on schedule to complete in December 2014 which, when completed, will result in a fully let asset generating income of 3.0million for the entire Aberdeen Gateway acquisition.
Regent Circus, Swindon
As announced in August, the Company has exchanged contracts for the purchase Regent Circus, Swindon, a mixed use leisure and supermarket investment, for 43.1million (including costs). Following practical completion of the development, that commitment will be met in full by mid-December.
Gearing & Cash
As at 30 September 2014, the Company's gearing, measured as gross borrowings of 230 million (excluding swap liabilities) as a percentage of total assets of 1.26 billion, was 18.3%, the lowest in the Company's peer group. This compares to a limit of 25%. Net gearing (borrowings (excluding swaps) less cash divided by total assets less current liabilities and cash) was 11.4%. 
As at 30 September 2014, the Company had cash of 98.1million of which 71million is allocated for the purchase of Regent Circus and the remaining commitments at Aberdeen.
Share Issues
The Company gained authority to issue 123,879,400 shares for cash non pre-emptively at its AGM on 17 June. The Company issued 28,704,529 ordinary shares in the quarter (including 690,120 that were previously held in treasury) raising net proceeds of 22.8million. 
The Board is not aware of any further significant events or transactions which have occurred between 30 September 2014 and the date of publication of this statement which would have a material impact on the financial position of the Company.
Enquiries
Robert Boag / Graeme McDonald, Ignis Investment Services Limited 
Tel: 0131 245 3272 /0131 245 3151
Edward Gibson-Watt / Oliver Kenyon, J.P. Morgan Cazenove
Tel: 020 7742 4000
Richard Sunderland /Claire Turvey/Clare Glynn, FTI Consulting
Tel: 020 3727 1000
The above information is unaudited and has been calculated by Ignis Investment Services Limited, a Standard Life Investments Company.

This information is provided by RNS
The company news service from the London Stock Exchange
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