Last checked at 29 Jan 2009 07:00
To: Company Announcements
Date: 28 January 2009
Company: F&C Commercial Property Trust Limited
Subject: Net Asset Value
Net Asset Value
The unaudited net asset value ('NAV') per share of F&C Commercial Property Trust Limited as at 31 December 2008 was 85.8 pence. This represents a decrease of 17.0 per cent from the published NAV per share as at 30 September 2008 of 103.4 pence.
The NAV has been calculated under International Financial Reporting Standards ('IFRS'). It is based principally on the external valuation of the Company's direct property portfolio prepared by DTZ Debenham Tie Leung Limited.
As previously announced, the Board has appointed an independent valuer to value the Company's unitised investments in two indirectly held property funds, the Industrial Property Investment Fund and The Mall Fund (the 'Indirect Holdings'). The NAV per share as at 31 December 2008 incorporates the Indirect Holdings at the Directors' valuation which reflects these independently produced values. The Company's auditors are satisfied that this treatment meets the requirements of IFRS.
The basis of valuation of the Indirect Holdings will continue to be reviewed regularly by the Board, with independent advice as appropriate, and amended, as required, to reflect changes in market conditions and practice.
The NAV includes all income to 31 December 2008 and is calculated after deduction of all dividends paid prior to that date. As at 31 December 2008 no adjustments were required to the NAV in respect of dividends for which the share price had gone ex-dividend.
Analysis of Movement in NAV
The following table provides an analysis of the movement in the unaudited NAV per share for the period from 30 September 2008 to 31 December 2008 (including the effect of gearing):
| Pence per share | % of opening NAV | |
| Published NAV per share as at 30 September 2008 | 103.4 | |
| Unrealised decrease in valuation of direct property portfolio | (16.5) | (16.0)* |
| Decrease due to movement in Indirect Holdings (realised and unrealised) | (1.5) | (1.4) |
| Share buy backs | 0.9 | 0.9 |
| Movement in revenue reserve | (0.5) | (0.5) |
| Published NAV per share as at 31 December 2008 | 85.8 | (17.0) |
* the ungeared decrease in the valuation of the direct property portfolio over the quarter to 31 December 2008 was 15.6%.
Portfolio Analysis
| £m | % of portfolio as at 31 December 2008 | % unrealised movement in quarter | |
| Offices | 306.2 | 46.5 | (16.5) |
| West End | 143.4 | 21.8 | (18.8) |
| South East | 93.9 | 14.3 | (13.7) |
| Rest of UK | 62.1 | 9.4 | (14.2) |
| City | 6.8 | 1.0 | (22.3) |
| Retail | 179.5 | 27.2 | (12.6) |
| South East | 158.7 | 24.1 | (12.2) |
| Rest of UK | 20.8 | 3.1 | (15.4) |
| Industrial | 32.1 | 4.8 | (10.4) |
| South East | 14.7 | 2.2 | (10.0) |
| Rest of UK | 17.4 | 2.6 | (10.7) |
| Retail Warehouse | 136.4 | 20.7 | (18.3) |
| Total Direct Property | 654.2 | 99.2 | (15.6) |
| Indirect Holdings | 5.1 | 0.8 | |
| Total Property Portfolio | 659.3 | 100.0 |
The direct property portfolio will next be valued by an external valuer during March 2009 and the NAV per share as at 31 March 2009, which will also include the valuation of the Indirect Holdings on that date, will be announced in April 2009.
Enquiries:
Richard Kirby
F&C REIT Asset Management LLP
Tel: 0207 499 2244
Graham Reaves
G&N Collective Funds Services Limited
Tel: 0131 226 4411