Regeneration specialist St Modwen Properties reported a solid increase in annual net asset value and profit and issued an upbeat outlook for future developments.
NAV increased 8% to 251p per share for the year ended November 30th 2012 while EPRA NAV gained 9% to 272p per share.
St Modwen said it was on track to deliver its target of shareholder equity NAV of 300p per share by November 2015.
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Pre-tax profit for the year increased to £52.8m from £51.7m the same time a year earlier. Realised property profits were up 22% to £29m.
Net rental income grew to £36.2m from £35.5m and it reported a 12% increase in net trading profit to £25.5m.
The group, which issued £80m in retail bonds, said gearing at the year end reduced to 71% from 73% in 2011.
Chief Executive Bill Oliver Modwen commented: "We have achieved some significant milestones across our portfolio and, in particular, on our major development projects. These achievements underline our growing presence in the London and the South East market while also proving that there are still opportunities in the regions for well-placed and well-priced product."
He added: "We cannot ignore the current upsurge in investor appetite for development activity in London and the South East and the prospects arising across the UK from our residential portfolio. We will therefore focus our attention throughout the coming year on these specific areas in order to drive optimal returns, as well as advancing our larger schemes, including of course the New Covent Garden Market and Swansea University developments."
The final dividend for the year has been increased by 10% to 2.42p per share, giving a total dividend of 3.63p for 2012.
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