(Alliance News) - NewRiver REIT PLC on Thursday reported a net asset value fall and a reduced dividend as focus now turns to its units returning to trading as lockdown in the UK eases.
EPRA net asset value per share was 23% lower at March 31 at 201 pence from 261p a year ago.
Shares in the company were 1.1% lower at 70.20p each in London on Thursday morning.
Net property income edged higher, however, up 2.7% to GBP92.9 million from GBP90.5 million.
The real estate investment trust reduced its dividend by 25% to 16.2p per share from 21.6p. NewRiver paid three 5.4p payouts over the course of the year, but decided against a fourth in light of Covid-19.
Chief Executive Allan Lockhart said: "We are reporting these results against an extraordinary market backdrop, as Covid-19 continues to cause significant disruption for occupiers in our key markets. As the government starts to ease the lockdown restrictions, we are preparing to return to trading in our retail portfolio in June and planning for a return to trading in our pubs from July.
"We have undertaken extensive planning and are well-prepared to adjust to the new normal. The safety and wellbeing of our employees, occupiers and other stakeholders remains our top priority, and will continue to guide our response."
The company said it took "decisive action" to shore up its finances. It partially drew down a revolving credit facility, cancelled non-essential capital expenditure and ensured it was eligilible for the UK's Covid corporate financing facility.
Lockhart added: "Our portfolio is focused on essential retail and convenience, and has proved resilient through the last three months as over one third of our tenants continued to trade. As a consequence of previous portfolio reshaping, we have limited exposure to department stores, mid-market fashion and casual dining.
"The structural changes in UK retail that were already underway have been accelerated by Covid-19. It is clear that much existing retail space in the UK needs to be repurposed and we have been at the forefront of creating this change through developing mixed-use schemes in town centres."
By Eric Cunha; ericcunha@alliancenews.com
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NewRiver (NRR)