Maintaining a lower exposure to retail and leisure than peers helped CLS (CLI) collect virtually all rent due in respect of the second and third quarters, at rates of 99 per cent and 95 per cent, respectively.
The group agreed 52 new lettings and reviews at an average 4 per cent ahead of estimated rental values at the end of December, which was led by the German portfolio. However, chief executive Frederik Widlund does foresee a tougher market environment as the year progresses and unemployment figures rise. “There will be some pressure on vacancies, which will hold down rent increases going forward,” he said.
The UK’s more recent emergence from lockdown was reflected in a 2 per cent decline in the value of the assets located here and was in contrast to a 2.6 per cent rise in the German portfolio, which benefited from continued under-supply in the office market.
House broker Panmure Gordon forecasts net assets of 329p a share at the end of December, rising to 332p the same time next year.
| CLS (CLI) | ||||
| ORD PRICE: | 209p | MARKET VALUE: | £851m | |
| TOUCH: | 208.5-209.5p | 12-MONTH HIGH: | 333p | LOW: 153p |
| DIVIDEND YIELD: | 3.5% | TRADING PROP: | £39.9m | |
| DISCOUNT TO NAV: | 31% | |||
| INVESTMENT PROP: | £2.05bn | NET DEBT: | 58% | |
| Half-year to 30 Jun | Net asset value (p) | Pre-tax profit (£m) | Earnings per share (p) | Dividend per share (p) |
| 2019 | 288 | 84.6 | 16.8 | 2.35 |
| 2020 | 302 | 31.5 | 5.3 | 2.35 |
| % change | +5 | -63 | -68 | - |
| Ex-div: | 20 Aug | |||
| Payment: | 25 Sep |
