(Alliance News) - Great Portland Estates PLC on Tuesday flagged its strongest quarterly rent collection since 2019 and unveiled the sale of a London property for GBP181.5 million.
The FTSE 250-listed property investor reported GBP14.3 million of new annual rent signed in the third quarter to September 30 and an improved period for rent collection, receiving 84% of all rent due - its strongest quarterly performance since December 2019.
It also reported the sale of 160 Old Street, on the northern edge of the City of London, for GBP181.5 million to a fund advised by JP Morgan Global Alternatives. The property was sold by the Great Ropemaker Partnership - a joint venture between Great Portland and Ropemaker Properties Ltd, the property nominee of the BP Pension Fund - at a 5% premium to its March valuation.
Chief Executive Toby Courtauld commented: "We have had a strong quarter, maintaining our leasing momentum as central London continues to reopen and people return to the office, whilst crystallising our returns through the sale of 160 Old Street, EC1."
Courtauld added that he believed "occupier demand is robust", with customer trends focusing on prime Grade A space playing to Great Portland's strengths.
Great Portland has a further GBP3.3 million of lettings under offer and GBP38 million of new annual rent in negotiation, including in the firm's near-term pipeline where construction is expected to start early next year.
"Looking ahead we expect healthy demand to persist," Courtauld said. "Continued demand for our spaces, combined with our sizeable development pipeline and plentiful liquidity, means we remain well placed to capitalise on the expected growth in the London and UK economy."
Shares in Great Portland were 0.1% higher at 750.50 pence each in London on Tuesday morning.
By Will Paige; willpaige@alliancenews.com
Copyright 2021 Alliance News Limited. All Rights Reserved.
