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Warner Estate report narrower FY loss
Warner Estate Holdings Plc today reported a year of progress back from the brink after it's £297 million pre-tax loss last year it has recovered to a £9.7 million pre-tax loss this year, ended 31st. March 2010.
Warner Estate has a mixed portfolio of 444 multi sector properties and 4,149 tenants located throughout the UK, of which 47 properties are wholly owned, whilst the balance are joint ventures and an interest in funds. Their value is £1.639 billion, producing a rental value of £173.1 million for an initial yield of 7.1%. Since the year-end the sale of the Radial Distribution joint venture has reduced the assets under management to £1.4 billion.
Warner Estate has been at the mercy of it's banks for the past year or more as it had substantially breached its LTV covenants. Even now it's bankers are under water, despite valuation improvements, but by March 26th it had agreed new facilities with it's three lenders, albeit on punitive terms, with substantial exit fees attached to the loans and an accelerated amortisation profile.
Although net asset value has fallen over the year from 8p per share at 31 March 2009 to negative 7p, this masks the considerable improvement from the negative 43p reported at the half year.
Philip Warner, Chairman of Warner Estate said;
"With our refinancing negotiations concluded, we are able to focus on rebuilding value and growing our £1.4billion asset management business. Maintaining income will be paramount and fortunately that plays to the Group's asset management expertise".
Warner Estate has a mixed portfolio of 444 multi sector properties and 4,149 tenants located throughout the UK, of which 47 properties are wholly owned, whilst the balance are joint ventures and an interest in funds. Their value is £1.639 billion, producing a rental value of £173.1 million for an initial yield of 7.1%. Since the year-end the sale of the Radial Distribution joint venture has reduced the assets under management to £1.4 billion.
Warner Estate has been at the mercy of it's banks for the past year or more as it had substantially breached its LTV covenants. Even now it's bankers are under water, despite valuation improvements, but by March 26th it had agreed new facilities with it's three lenders, albeit on punitive terms, with substantial exit fees attached to the loans and an accelerated amortisation profile.
Although net asset value has fallen over the year from 8p per share at 31 March 2009 to negative 7p, this masks the considerable improvement from the negative 43p reported at the half year.
Philip Warner, Chairman of Warner Estate said;
"With our refinancing negotiations concluded, we are able to focus on rebuilding value and growing our £1.4billion asset management business. Maintaining income will be paramount and fortunately that plays to the Group's asset management expertise".
Fri, 18th Jun 2010