Regional REIT reported a 10.2% fall in net tangible assets (NTA) in the six months to June 2020.
The company, which owns a portfolio of office and industrial properties in UK regional markets, saw the valuation of its portfolio fall 4.3% in the period due to Covid-19 uncertainty.
It has collected 94.1% of rents in the second quarter of the year (as at 11 September 2020), with 0.4% paying monthly and 3.1% agreed new collection plans. RGL is in discussions with occupiers on the outstanding 2.4% of rent.
Other financial highlights included:
- EPRA total return of 37.3% since listing on 6 November 2015 to 30 June 2020; representing 7% annualised returns for shareholders
- EPRA adjusted earnigs per share (EPS) of 2.6p per share (30 June 2019: 3.8p)
- H1 dividend for the period of 3.4p (30 June 2019: 3.8p) – targeting an expected full year dividend of 6.4p
- Cash and cash equivalent balances of £67.9m (30 June 2019: £53.8m)
- Net loan to value (LTV) maintained within 40% target, at 39.7% (30 June 2019: 39.9%)
Operational highlights included:
- Group portfolio totalled 151 properties (30 June 2019: 149); comprising 1,249 units (30 June 2019: 1,178) and servicing 876 tenants (30 June 2019: 828)
- 79.9% in office by value (30 June 2019: 78.2%) and 14.3% in industrial (30 June 2019: 14.3%)
- 21 new lettings totalling 155,636 sq ft and a gross rental income of £1.1m
- 30 lease renewals totalling 198,185 sq ft, producing a rental income of £992,000, an average uplift of 3.2% from the previous passing rent
- WAULT marginally decreased to 5.3 years (30 June 2019: 5.5 years)
- EPRA occupancy rate stable at 89.0% (30 June 2019: 87.5%).
RGL : Regional REIT takes hit on portfolio value