LAND Securities slashed losses in the six months to September 30, as it prepares for recovery in the property markets.
One of the UK’s biggest property companies, Land Securities owns a mix of retail assets throughout the UK, including the St John’s and Clayton Square shopping centres in Liverpool.
It announced losses of £4.6m today compared with a £1.6bn deficit the previous year.
Revenue profits were 15.4% down from £151.8m to £128.4m.
The number of units where tenants were in administration has fallen from 3.5% to 2.1%.
Throughout the six months the group has sold property worth £765.5m and repaid £1.8bn of debt.
And chief executive Francis Salway said the group has cash and undrawn credit facilities of £2.7bn.
He predicted: "Property values will rise over the next five years with the profile characterised by ripples rather than pure straight-line growth as residual risks and imbalances in financial markets play out."
He also reiterated that the group will not rush its investment programme, including its £100m planned revamp of St John’s which was due to start next year after planning permission was granted, but will now begin in 2012 with a 2014 completion target.
Liverpool stockbroker Panmure Gordon said today’s results "confirm a welcome element of recovery emerging in property valuations, while the occupational market continues to remain challenging."
