In the six months ended 31 December 2018, TOWN’s net assets decreased 6% and net assets per share decreased to 361p, due to unrealised valuation movements and a loss on the sale of an investment property of £8.7m. The portfolio decreased 2.2%, on an like-for-like basis, while EPRA earnings per share were at 6.9p vs. 7.6p in 2017. Gearing fell to 88% and the loan to value ratio was 46.8% vs. 47.0% in 2017.
Retail and Leisure exposure was reduced to 52%, from 70% in 2016, due to the latest sales and purchases.
That said, TOWN’s underlying operational performance was robust, with overall occupancy levels increasing to 96% and like-for-like passing rent rising 0.9% year-on-year. The interim dividend was maintained at 3.25p.
Edward Ziff, TOWN’s Chairman and CEO, said: “Whilst it is disappointing to report half year valuation reductions and profits slightly down due to short term market fluctuations and some one-off costs, I remain confident in the quality and potential of our portfolio and the changes we are making to it. Our substantial development pipeline also underlines the opportunity for meaningful long-term growth”