Following last week’s strong results from British Land, the UK’s largest commercial property company Land Securities has reported a doubling of its pre-tax profits in 2014/15 to £2,416.5m.
The company also said its total business return to 31 March had risen to 30.7 per cent, on the back of reaching the peak of its London construction activity as office vacancy rates head to all-time lows.
Chief executive Robert Noel said: “Our programme has been sized and timed to deliver highly efficient and technically resilient office space into a supply-constrained market.
“The success of the programme is increasingly evident. At 20 Fenchurch Street, the amazing Sky Garden (pictured) opened to the public, and the development is now 92 per cent let.”
Land Securities has also pre-let 1 New Street Square in its entirety over a year ahead of its completion, while 84 per cent of 1 & 2 New Ludgate is already in the hands of solicitors.
With a further 1.1 million sq ft still to let in its development pipeline, Land Securities is well positioned to benefit from the current shortage of supply in the capital.
On the retail side, Land Securities has taken action to transform its shopping centre portfolio, which includes the award winning Trinity Leeds.
This involves focussing on the asset management of the centres that fit the company’s strategic aims, and disposing of those that don’t.
In line with this strategy, Land Securities has taken full ownership of Glasgow’s Buchanan Galleries and acquired a 30 per cent interest in the Bluewater shopping centre in Kent. The company is also committed to the redevelopment of Westgate Oxford.
Noble continued to say that Land Securities’ acquisitions and developments broadly match its disposals and that the company is investing in a programme of future opportunities.
“Our strategy is delivering for our customers, our communities and our shareholders,” he added.
“Crucially, it is a strategy which recognises the cyclicality of the market we operate in, ensuring we build a sustainable business for the long term.
“Looking ahead, we have a robust balance sheet and are confident our portfolios are well matched to customer demand.”
Previous Post
Ipswich Central reveals Vision for Town’s Future
