Great Portland Estates has reported a 16 new lettings and a 7.3% rise in its total rent roll.
In a trading update for the three months to the end of December 2016, the REIT also warned that London’s property markets would weaken in near term.
GPE signed 16 new lettings totalling 86,600 sq ft, which were 2% above March ERV. Another £4.5m were under offer, 7.8% ahead of March 2016 ERV.
31-Dec-16
30-Sep-16
31-Dec-15
New leases and renewals completed
Number
16
11
15
GPE share of rent pa
£6.4m
£6.2m
£7.7m
Area (sq ft)
86,600
81,000
122,600
Rent per sq ft
£83
£77
£69
Rent reviews settled
Number
11
6
4
GPE share of rent pa
£3.6m
£1.2m
£3.2m
Area (sq ft)
106,100
28,300
70,000
Rent per sq ft
£52
£60
£88
Great Portland Estates has reported a 16 new lettings and a 7.3% rise in its total rent roll.
In a trading update for the three months to the end of December 2016, the REIT also warned that London’s property markets would weaken in near term.
GPE signed 16 new lettings totalling 86,600 sq ft, which were 2% above March ERV. Another £4.5m were under offer, 7.8% ahead of March 2016 ERV.
However, the company’s vacancy rate went from 3.1% in September to 7.3% by year end. It attributed this to completions at 30 Broadwick Street, W1, and 90-92 Great Portland Street, W1, and recently completed refurbishments at Elm Yard, WC1, and 54-56 Jermyn Street, SW1.
Chief executive Toby Courtauld said: “Despite the continuing uncertain economic environment and our expectation that London’s commercial property markets will weaken in the near-term, tenant interest remains healthy for the limited available space across our West End-focused portfolio and our profitable forward sale of 73-89 Oxford Street demonstrates that investment pricing for prime assets remains relatively robust.”
Its total rent roll increased by 7.3% to £107.7m over the period.
It also sold 73-89 Oxford Street, W1, for £276.5m and reported cash and undrawn committed facilities of £445m, as well as a low marginal cost of debt of 1.4%
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