F&C UK Real Est. Inv. Net Asset Value(s)

 
TIDMFCRE 
 
To:                   Company Announcements 
Date:                27 October 2016 
Company:        F&C UK Real Estate Investments Limited 
 
Subject:           Net Asset Value 
 
Net Asset Value 
 
The unaudited net asset value per share of F&C UK Real Estate Investments 
Limited ("FCRE") as at 30 September 2016 was 95.8 pence. This represents a 
decrease of 3.4 per cent from the net asset value per share as at 30 June 2016 
of 99.2 pence. 
 
The net asset value is based on the external valuation of the Group's property 
portfolio prepared by Cushman & Wakefield. 
 
The net asset value is calculated under International Financial Reporting 
Standards ("IFRS"). 
 
The net asset value includes all income to 30 September 2016 and is calculated 
after deduction of all dividends paid prior to that date.  It does not include 
a provision for the dividend for the quarter to 30 September 2016, which is 
expected to be paid in December 2016. 
 
Share Price 
 
The share price was 95.3 pence per share at 30 September 2016, which 
represented a discount of 0.5 per cent to the NAV per share announced above. 
The share price total return for the quarter was 9.1 per cent. 
 
Breakdown of NAV movement 
 
Set out below is a breakdown of the change to the unaudited net asset value per 
share calculated under IFRS over the period from 30 June 2016 to 30 September 
2016. 
 
                                                      Pence    % of 
                                                        per opening 
                                                      share     NAV 
 
Net asset value per share as at 30 June 2016           99.2 
 
Unrealised movement in valuation of property          (3.1)  (3.1)* 
portfolio (including the effect of gearing) 
 
Realised loss on sale of property                     (0.1)   (0.1) 
 
Movement in revenue reserves                          (0.2)   (0.2) 
 
Net asset value per share as at 30 September 2016      95.8   (3.4) 
 
* The un-geared decrease in the valuation of the property portfolio over the 
quarter to 30 September 2016 was 2.3%. 
 
The net gearing as at 30 September 2016 was 29.4%# 
 
# Bank debt (less net current assets) divided by fair value of investment 
properties 
 
 
 
 
Portfolio Analysis                             GBPm        % of  % capital 
                                                    portfolio      value 
                                                     as at 30  movement 
                                                    September in quarter 
                                                         2016 
 
Offices                                      90.4        27.5      (3.1) 
 
West End                                     25.9         7.9          - 
 
South East                                   33.5        10.2      (5.4) 
 
Rest of UK                                   31.0         9.4      (3.1) 
 
Retail                                       68.2        20.7      (1.4) 
 
West End                                      7.5         2.3          - 
 
Rest of London                                6.9         2.1          - 
 
South East                                   17.6         5.3      (0.1) 
 
Rest of UK                                   36.2        11.0      (2.2) 
 
Industrial                                   96.0        29.2        0.4 
 
South East                                   96.0        29.2        0.4 
 
Retail Warehouse                             74.3        22.6      (5.2) 
 
Rest of London                                8.5         2.6          - 
 
Rest of UK                                   65.8        20.0      (5.9) 
 
Total Property                              328.9       100.0      (2.3) 
 
 
 
Property Purchases and Sales 
 
On 6 September 2016, IRP Holdings Limited, a subsidiary of FCRE, sold King 
William House, Hull for GBP2,585,000 which compared with its valuation of GBP 
2,750,000 as at 30 June 2016. There were no other purchases or sales in the 
quarter. 
 
 
Summary Balance Sheet 
 
                                                  GBPm   Pence    % of 
                                                         per     Net 
                                                       share  Assets 
 
Property Portfolio per Valuation Report        328.9   137.8   143.9 
 
Adjustment for lease incentives                (5.2) 
                                                       (2.2)   (2.3) 
 
Fair Value of Property Portfolio               323.7   135.6   141.6 
 
Cash                                            15.0     6.3     6.5 
 
Trade and other receivables                      6.6     2.8     2.9 
 
Trade and other payables                       (7.8)   (3.3)   (3.4) 
 
Interest-bearing loans                       (108.9)  (45.6)  (47.6) 
 
Net Assets at 30 September 2016                228.6    95.8   100.0 
 
The property portfolio will next be valued by an external valuer during 
December 2016 and the net asset value per share as at 31 December 2016 will be 
announced in January 2017. 
 
This announcement contains inside information. 
 
Enquiries: 
The Company Secretary 
Northern Trust International Fund Administration Services (Guernsey) Limited 
Trafalgar Court 
Les Banques 
St Peter Port 
Guernsey 
GY1 3QL 
Tel: [phone] 
Fax: [phone] 
 
Peter Lowe 
Scott Macrae 
F&C Investment Business Ltd 
Tel: [phone] 
Fax: [phone] 
 
 
 
 
END 
 

(END) Dow Jones Newswires

October 27, 2016 02:00 ET (06:00 GMT)