Land Securities, Britain’s largest listed property developer and owner of the Kingsway West Retail Park in Dundee, has prospered from a boom in demand for commercial property.
Shares in the developer of London’s famed “Walkie Talkie” skyscraper surged yesterday to close up 52 points at 1,363.00.
The company’s adjusted diluted net asset value a key measure for developers as it reflects the value of their buildings rose 27.6% to 1,293 pence per share in the year ended March 31.
It raised its dividend to 31.85 pence from 30.7 pence.
Chief executive Robert Noel said: “With record leasing levels across our London development programme, combined with a reshaped retail portfolio and continued financial discipline, we have delivered very strong results with a profit before tax of £2,416.5m and a total business return of 30.7%.”
Decisive action was taken in retail to transform the shopping centre portfolio, focusing capital and expertise on those assets that fit in with the strategic themes of dominance, experience and convenience.
Centres that did not match that criteria were sold.
“In line with our strategy, we acquired a 30% interest in the Bluewater shopping centre and took full ownership of Buchanan Galleries, Glasgow, where we are working up our extension plans,” he added.
“We are determined to maintain our financial strength during this programme of significant investment.”
Land Securities previously sold its stake in Aberdeen’s Bon Accord and St Nicholas shopping centres and sold for £125m the Overgate centre in Dundee to Legal & General.