Last checked at 
19 Nov 2013 17:43
To: Company Announcements
Date: 19 November 2013
Company: AXA Property Trust Limited
Subject: Interim Management Statement
CORPORATE SUMMARY
The Board and Investment Manager continue to work towards a return of capital to Shareholders. The timing is principally dependent on progress on disposals. The Adviser is working to finalise the sales already agreed at Karben, Köthen and Montabaur (all in Germany).
The sales of the assets at Dresden and Braunschweiger Strasse in Berlin, were successfully completed on 28 June 2013 and 30 August 2013 for €2.1m and €1.63m respectively, as announced previously. The sale of the retail gallery Keyser Center in Antwerp, Belgium completed on 10 September 2013 for €9.03 million. The current portfolio allocation taking into account the completed disposals is provided below.
PORTFOLIO UPDATE
Country Allocation at 30 September 2013 (by value)
Country % of portfolio
Germany 70%
Italy 23%
Netherlands 7%
Belgium 0%
Sector Allocation at 30 September 2013 (by value)
Sector % of portfolio
Retail 63%
Industrial 23%
Leisure 14%
The Company's net property yield on current market valuation (after acquisition and operating costs) as at 30 September 2013 was 8.53% (7.73% as at 30 June 2013).
LOAN FACILITIES
Gross Loan to Value (LTV) Covenants | Audited | Unaudited | |
30 June 2013 | 30 September 2013 | Maximum | |
Main loan facility | 47.4% | 49.2% | 60.00% |
Joint venture Property Trust Agnadello S.r.l. | 40.8% | 0% | 65.00% |
The Group continues to comply with the 60% loan-to-value ("LTV") covenant of the main loan facility with Crédit Agricole and Credit Foncier. Further loan prepayments were made after the financial year end following the disposal of the assets at Dresden, Braunschweiger Strasse, Berlin and Keyser Center, Antwerp, resulting in a new loan balance of £43.22 million (€50.43 million) and an LTV of 46.6%. The loan is due to mature on 1 July 2016.
On 24 September 2013 the Company paid down the entirety of the outstanding debt in Agnadello, as did the joint venture partner.
Interest Cover Ratio at 30 September 2013 | Historic (Unaudited) | Minimum | Projected (Unaudited) | Minimum | Net rental income headroom |
Main loan facility covenant | 257.5% | 200.0% | 270.1% | 185.0% | 28.8% |
Joint venture Property Trust Agnadello S.r.l. | n/a | n/a | n/a | n/a | n/a |
Interest Cover Ratio (ICR) is calculated as net financing expense payable as a percentage of net rental income less movement in arrears. Net rental income headroom is based on projected interest cover.
CASH POSITION AND CAPITAL EXPENDITURE
The Company and its subsidiaries held total cash of £5.64 million (EUR6.75 million) at 30 September 2013. The anticipated capital expenditure over the next twelve months is £1.03 million (EUR1.24 million).
NET ASSET VALUE
The Net Asset Value as at 30 June 2013 was £59.22 million (59.22 pence per share).
Company website:
http://www.axapropertytrust.com
All Enquiries:
Investment Manager
AXA Investment Managers UK Limited
Broker Services
7 Newgate Street
London EC1A 7NX
Tel: +44 (0)20 7003 2345Email: broker.services@axa-im.com
Broker
Oriel Securities Limited
Neil Winward
Tel: +44 (0)20 7710 7600
Company Secretary
Northern Trust International Fund Administration Services (Guernsey) Limited
Trafalgar Court
Les Banques
St Peter Port
GY1 3QL
Tel: +44 (0)1481 745324
Fax: +44 (0)1481 745085