Hammerson’s EPRA NAV rose by 4.7% over the first half of 2015. Adjusted earnings rose by 13.3% as rents rose by a like for like 2.1% and the interim dividend was increased by 8% to 9.5p. The company’s loan to value ratio fell by 1% to 33% as they secured a new £415m five-year unsecured revolving credit facility at an initial margin of 80 basis points; WAIR reduced to 4.1%. They say they have cash and undrawn facilities of £450m.
Their 5.7% return on the portfolio was 1% ahead of the IPD index.
Within the portfolio, they opened Silverburn’s 10,900 sqm catering and leisure extension (including a new Cineworld 14 screen cinema); increasing dwell time by 14% and helping to lift like for like sales by 5%. They say they are on track to deliver three further schemes in 2015 at Beauvais, Merthyr Tydfil and Rugby and have total new space of 64,900 sqm to open this year. They sold £155m of property, taking advantage of strong markets. On the planning front, they say significant progress was made at their three major London schemes: CPO inquiry at Croydon completed (they are in discussions with a number of potential anchor tenants and enabling works could start in 2016 with potential completion in 2019/20); CPO process initiated at Brent Cross (they say, subject to confirmation of CPO powers by the Secretary of State, works could start on-site in 2017 with potential completion in 2020/21); planning amendments submitted at The Goodsyard – less housing, more office space.
HMSO : Hammerson ahead of benchmark, big projects progress