Capital & Counties has posted a sharper loss for the first half of the year, after the Covid-19 crisis dented its portfolio value.
The Covent Garden owner’s losses deepened to £440.7m in the six months ending June, from £253.6m in December last year.
Group portfolio value fell 16.3% on a like-for-like basis, to £2.3bn. The value of its Covent Garden estate fell 17% on a like-for-like basis, to £2.2bn.
Net rental income dropped by 41% to £18m, compared with the same period in 2019. The landlord collected 71% of rent owed in the first six months of the year, compared with 99% in H1 2019.
EPRA net tangible assets per share fell 18% to 241p. Group loan-to-value stood at 32%, doubling on its equivalent of 16% in December.
Net debt totalled £721m, up 63.1% on December, when it reported £442m.
Capco said this was driven by an £89.7m deferred consideration on its Earls Court sale and £40m sales proceeds from the handover of 66 flats at Lillie Square, offset by a £450m drawdown on the Covent Garden revolving credit facility to enable its investment in Shaftesbury.
The decision on paying out a dividend has been deferred until the end of the year.
Ian Hawksworth, chief executive of Capco, said that the majority of its retail and hospitality customers “have reopened with encouraging early indicators”.
He added: “There remain many challenges and an unpredictable economic environment. However, Capco is confident in the long-term prospects of the West End and the value of its unique investments.”
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