19 Nov 2010 07:00
Highcroft Investments PLC
Interim Management Statement in respect of the period 1 July 2010 to
18 November 2010
The board of Highcroft Investments PLC today approved the following statement in respect of the current trading period which will end on 31 December 2010.
Financial performance
We continue to manage our property portfolio actively and our voids and bad debt rates remain well below the industry average. Since 1 July we have reached the final legal stages of an agreement for lease on one of our properties under which a new tenant will take a 10 year lease during Q1 next year after our completion of an agreed schedule of works. One tenant of our multi-let Victoria property has notified that he is exercising a break clause and we are actively marketing the unit to minimise any void that may arise in 2011.
One additional residential property has become vacant in the period and, in line with our policy of selling such properties, we now have three of our residential properties currently being marketed and we are hopeful that we will achieve prices in excess of our June 2010 valuations.
Financial position
Cash flow remains strong as we continue to be net sellers of equities. As at 18 November 2010, our cash balances amounted to £3.0 million, after the payment of our interim dividend, while the equity portfolio valuation was £5.8 million and we currently have no debt. Our 30 June 2010 property valuation was £28.3m and we remain cautiously optimistic that this valuation continues to be realistic in the current market.
We continue to be well placed in a still distressed property market. That having been said, and despite reviewing a number of properties, we have been unable so far to purchase units of the quality we require at appropriate valuations. We continue to search actively and are currently looking at a range of opportunities.
For further information, contact:
Highcroft Investments PLC
John Hewitt / Roberta Miles 01865 840023
Charles Stanley Securities
Dugald Carlean / Karri Vuori 0207 149 6000
18 November 2010