London office landlord and developer Helical has said it expects to collect between 90% and 95% of rent this quarter.
As at 22 July 2020, the group collected 77.3% of the June quarter rent, with agreements in place for a further 13.6% to be paid in installments in the period leading up to the September quarter day. It has granted rent free periods on 4.7%.
As a result, it said it anticipates that by the end of the June quarter it will have collected between 90.9% and 95.3% of all contracted rent.
The group also declared a final dividend for the year ended 31 March 2020 of 6p, taking the total dividend for the year to 8.7p (2019: 10.1p).
Portfolio update
Recent portfolio activity includes:
- the exercise of an option under the development agreement with the City of London to secure a new 150-year lease at 33 Charterhouse Street, London EC1. The 200,000 sq ft office development is targeted to complete in Summer 2022;
- the sale of 90 Bartholomew Close, EC1, for £48.5m, reflecting a net initial yield of 3.92% and a capital value of £1,594 per square foot;
- the sale of 140 apartments at phase one of Barts Square, EC1;
- the completion of the refurbishment of the Fourways reception and Atrium in Manchester.
Financing
The company has recently secured a £140m debt facility from Allianz to finance the development of 33 Charterhouse Street, EC1. The facility has a four-year term, with the option to extend to a fifth year.
At 22 July 2020, the group had £67m of available cash, £531m of investment facilities of which £360m was drawn down and £88m of development facilities of which £11m was drawn down.
HLCL : Helical announces strong rent collection