INTERIM REPORT FOR THE SIX MONTHS ENDED 30 June 2013
Ian Hawksworth, Chief Executive of Capco commented: "We have seen strong progress at Capco in the first half of 2013 which has delivered excellent total returns for our shareholders. Value has grown at Covent Garden through the creative asset management strategy, with a number of key lettings in the period including Dior and the opening of Shake Shack. The outline planning process for the Earls Court Masterplan is nearly complete following the Mayor of London's endorsement, and the land assembly is well advanced with the acquisition of Empress State and the recent progress with Transport for London."
Strong valuation performance providing superior shareholder returns
- 14 per cent increase in EPRA adjusted, diluted NAV to 232 pence per share (Dec 2012: 203 pence)
- 13 per cent (like-for-like) increase in total property value to £2.1 billion (Dec 2012: £1.7 billion)
- Proposed interim 2013 dividend of 0.5 pence per share
- 15 per cent total return in the period
Value growth through continued transformation at Covent Garden
- Total property value of £1.1 billion up 14.1 per cent (like-for-like) (Dec 2012: £952 million)
- New lettings at 9.1 per cent above ERV
- ERV £55.9 million up 6.9 per cent (on a like-for-like basis), on target for ERV of £60-65 million by end of 2015
- 12 new retailers and restaurants have taken space in the first 6 months, including Dior, Y-3 and Shake Shack
- Kings Court planning applications for a new mixed use development submitted in May
Value creation at Earls Court through planning and land assembly
- Earls Court interests valued at £417 million, up 18.5 per cent (like-for-like) (Dec 2012: £336 million)
- Mayor of London consent for the Earls Court Masterplan and the Section 106 agreement
- Agreement with TfL to pursue proposals to settle heads of terms for a joint venture regarding Earls Court 1 and 2
- Completion of land deal with Network Rail in regards to its air space over the West London Line
- Secretary of State consent for land deal with London Borough of Hammersmith & Fulham
- Contracts exchanged on the 50 per cent of the Empress State Building not already owned for £117 million
Momentum at Lillie Square
- Lillie Square valued at £125 million (our share), up 16.9 per cent (like-for-like) (Dec 2012: £104 million)
- Design amendments to enhance the Lillie Square scheme submitted to LBHF for approval
Strong financial position
- LTV 14% (Dec 2012: 10%)
- Cash and available facilities of £344 million (Dec 2012: £401 million)
- Further capital recycled with contracts exchanged for the sale of the final asset in The Great Capital Partnership
