UK Commercial Property outperforms benchmark in 2014, completes refinancing

21st Apr 2015 09:11

Investment group UK Commercial Property Trust said a growth in its portfolio capital and asset management moves drove net asset value per share sharply higher in 2014.The FTSE 250 group's net asset value per share rose 13.5% year-on-year to 83.0p by the end of 2014, while its net asset value total return was 19.7% over the year and its share price total return was 20.4%.Both metrics outperformed the IPD Balanced Monthly & Quarterly Funds benchmark, a key industry benchmark, which stands at 17.4%.In a statement released on Tuesday, the investment trust confirmed it had also completed the refinancing of its debt facility with Lloyds Banking Group with a 12-year, £100m debt facility secured from Cornerstone Real Estate Advisors Europe LLP, part of the MassMutual Financial Group, at a fixed rate of 3.03%.Meanwhile, UK Commercial Property has also agreed to lower the current margin on its existing Barclays loan and extending the term out for another five years, as well as agreeing a new £50m revolving credit facility with the lender.The group said that the refinancing has resulted in £100m being made available for investment, while the new cost of debt stands at 2.89% with an average debt maturity of 7.8 years.The London-listed company said its property portfolio was valued at £1.27bn at the end of 2014, a 21.3% increase year-on-year and confirmed it will pay a dividend of 3.68 pence for 2014, resulting in a yield of 4.2%.UK Commercial Property Trust shares were down 0.48% to 92.75p at 09:28 on Tuesday.