BMO Commercial Property Trust Limited (the ‘Company’ or ‘Trust’) has released its half year results to 30 June 2021:
Financial Highlights
- Share price total return of 16.3 per cent for the period
- Net asset value total return of 8.0 per cent for the period
- Dividend yield of 4.6 per cent based on 30 June 2021 share price
- 91.6 per cent rent collection currently received since the onset of the pandemic in April 2020 to June 2021.
- As at 30 June 2021, the void rate was 1.9 per cent, excluding property being developed or refurbished, which compares to a rate of 2.9 per cent at the start of the calendar year
Portfolio Highlights
- The Company completed a £19 million property disposal, with further sales of £180.5 million in September 2021 as part of the strategy to adjust sector weightings
- The Company’s portfolio produced a total return of 6.9 per cent versus the MSCI UK Quarterly Property Index (‘MSCI’) return of 5.3 per cent
- Asset management initiatives across the portfolio driving strong occupancy and value
- Continued progress on ESG initiatives and establishing a net zero carbon pathway
Chairman Paul Marcuse commented: “The Company has made good progress in implementing its investment strategy for shareholders in the last six months, including the completion of three important disposals worth £199.5 million. As the economy continues to re-open and recover, the Board believes the Company should benefit from the underlying quality of the existing assets in the portfolio”
Fund manager Richard Kirby commented: “It has been a strong six-months for the portfolio following a difficult period, particularly with regards to our retail properties. There has been positive momentum which should serve us well in the future, as our asset management activity at the retail parks is breathing new life into these investments, whilst St. Christopher’s Place is starting to show signs of recovery. The outlook for the next six months is more positive, but there are challenges to be carefully navigated.”
