Land securities increases its 2014 final dividend by 3.7%

DividendMax Ltd.

Land securities increases its 2014 final dividend by 3.7%

Operational excellence

·      £42.6m of development lettings

·      £36.8m of investment lettings

·      Acquisitions of £951.4m including the managing stake in Bluewater

·      Development and refurbishment expenditure(1) of £441.9m

·      Disposals of £1,081.2m

·      Further developments committed with total development costs of £220m (our share)

Outstanding results

·      Ungeared total property return 23.0%, outperforming the IPD Quarterly Universe at 17.1%

·      Total business return (dividends and adjusted diluted NAV growth) of 30.7%

·      Combined Portfolio valued at £14.0bn, with a valuation surplus of 17.3%

·      Valuation surplus on properties in the development programme of 38.7%

·      Revenue profit £329.1m, up 3.0%

·      Profit before tax £2,416.5m, up from £1,108.9m

·      Voids in the like-for-like portfolio up from 1.8% to 3.6%

Robust financials

·      Group LTV ratio at 28.5%, based on adjusted net debt of £4.2bn

·      Weighted average maturity of debt at 8.3 years

·      Weighted average cost of debt at 4.5%

·      Cash and available facilities of £1.4bn

·      Recommended increase in final dividend to 8.15p (from 7.9p)

Looking ahead

·      1.5m sq ft being delivered in London over the next 18 months

·      1.8m sq ft of retail development opportunities including Westgate, Oxford; Buchanan Galleries, Glasgow; and Ealing Filmworks

·      Plan to build 0.7m sq ft to grade at 21 Moorfields, EC2 and Nova, Victoria, SW1 - Phase II by 2017

 

Companies mentioned