(Alliance News) - McKay Securities PLC on Thursday said its contracted rental income has increased following a series of new lettings and rent reviews during the first five months of its second half of trading.
In the period to February 27, the London-focused real estate investment trust had a 5.5% rise in total contracted rent to GBP28.3 million per year, or 1.2% to GBP27.1 million on a like-for-like basis.
Seven new lettings were completed, a combine annual rent of GBP263,000 per year, in line with estimated rental value.
Five reviews were completed, lifting rent at the assets by 29%.
McKay added that it is close to complete a 134,430 square feet distribution warehouse in Theale Logistics Park, Reading. McKay added that a marketing campaign is "generating encouraging interest among potential occupiers".
Chief Executive Officer Simon Perkins said: "There has been an improvement in market sentiment since the clear result of the election, but the supply of modern business space across the core South East markets remains at historically low levels, and under further pressure from building obsolescence and conversion to residential."
Shares were 0.4% higher at 271.06 pence each in London on Thursday afternoon.
By Eric Cunha; ericcunha@alliancenews.com
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