Shaftesbury announced that the portfolio valuation of the Real Estate Investment Trust was £3.26bn in its latest portfolio update on Wednesday compared to the £3.01bn in September 2021.
Shaftesbury is a Real Estate Investment Trust that owns a 16-acre portfolio in London’s West End.
The wholly-owned portfolio’s indicated external valuation was £3.26bn on March 31, 2022, compared to £3.01bn in September 2021.
On a like-for-like basis, this reflects a 7.5% growth in the six months since 1 October 2021, compared to a 5.2% gain in the six months prior to 30 September 2021.
The increase in valuation was primarily driven by 6.4% like-for-like ERV growth, with increases across all uses, demonstrating ongoing occupier demand and low vacancy levels as footfall and trading in its locations continue to rebound to pre-pandemic levels.
The strength of our occupational market, together with increased investor optimism, has resulted in a 5 basis point tightening of the portfolio’s equivalent yield, which was 3.92% in September 2021.
Brian Bickell, Chief Executive Officer, Shaftesbury commented, “I am pleased to report that confidence, footfall and sales across our villages continue to recover well.”
“Demand/supply tension in our locations, reflecting strong interest from potential occupiers across all uses and low vacancy, is driving a recovery in rental levels which has been the main component of the valuation increase over the six months to 31 March 2022.”
“We are now looking forward to an extended period of uninterrupted trading as we enter the important summer season.”
Shaftesbury shares gained 1.1% to 602p after the company updated investors on its portfolio valuation ahead of its half-yearly results.