PCTN : Good first half for Picton
Picton Property Income’s net asset value rose from 56p to 62p over the six months that finished on 30 September 2014, aided by an uplift in the value of the property portfolio of 6.8%. They are maintaining the interim dividend at 1.5p. This translate into a return on net assets of 13.3%. The return to shareholders over the period was 15.5%.
Most of the £35m they raised in May has been deployed but the loan to value ratio has fallen a little from 47.7% to 43.2%.
Picton says that over the period they improved the occupancy rate in the portfolio from 91% to 94% and concluded 36 lettings, adding £1.9m per annum following incentives, on average 4.7% above estimated rental value. The total return on the property portfolio was 8.9%, well ahead of the 2.6% return on the IPD Index and driven, they say, by the strength of the London office market.