Land Securities (LON:LAND) today released a first-quarter trading update.
Highlights from the company's statement:
Portfolio changes during the quarter: Disposals of £59.3m at 11% ahead of 31 March valuation; Acquisitions of £25.1m; Development and refurbishment expenditure of £98.1m; Disposal of Times Square, EC4, an asset held for sale at its contracted sale price at 31 March, expected to complete this month
Progress on developments: £10.5m(1) of development lettings in London signed since 1 April with a further £7.0m(1) in solicitors' hands, representing a total of 322,000 sq ft; 62 Buckingham Gate, SW1: 87% let with a further 9% in solicitors' hands; 20 Fenchurch Street, EC3: 92% let with a further 6% in solicitors' hands; 1 & 2 New Ludgate, EC4: 87% let with a further 5% in solicitors' hands; The Zig Zag Building, SW1: 37% pre-let; Nova, SW1: 10% pre-let with a further 7% in solicitors' hands; Westgate, Oxford: 31.1% pre-let with a further 4.3% in solicitors' hands; Extension plans for Buchanan Galleries, Glasgow, delayed while the Edinburgh Glasgow Improvement Programme (EGIP) is delivered.
Operational metrics: £9.0m of investment lettings signed since 1 April, with a further £10.4m of lettings in solicitors' hands: Voids in the like-for-like portfolio 2.9% (31 March 3.3%); Retail Portfolio like-for-like voids 2.2% (31 March 2.4%); London Portfolio like-for-like voids 3.8% (31 March 4.3%); Units in administration 0.4% (Retail Portfolio 0.8%, London Portfolio 0%) down from 0.5% at 31 March; On a same store like-for-like basis, retailer sales were up 3.8% on the same quarter last year; On a same centre basis, retailer sales were up 5.4% over the same period; Footfall in our shopping centres was up 2.5% over the same period
Balance sheet and dividend: Broadly net debt neutral approach continues; Adjusted net debt as at 30 June of £4,192m (31 March £4,172m); Group LTV on a proportionate basis at 30 June, based on 31 March asset values, 28.5% (27.1% pro forma for sale of Times Square, EC4) compared with 28.5% at 31 March; Weighted average cost of debt 4.3%, average duration of 8.1 years; First interim dividend for the current financial year of 8.15 pence per share(2)