Interim Management Statement

RNS Number : 7476W

Assura Group Limited

31 January 2013

 



Assura Group Limited

Interim Management Statement

For the period to 30 January 2013

Continued progress in line with strategy

Board raises dividend to reflect core rental growth

Assura Group Limited ("Assura"), the UK's leading primary care property investor and developer, today publishes its interim management statement for the period from 1 October 2012 to 30 January 2013.

Rental growth

·   Weighted average annual rent increased by 2.13% in the financial year to date on 106 rent reviews settled as set out below:

Rental uplifts on review	Combined		Open market reviews		RPI and stepped rents
	No.	% increase	No.	% increase	No.	% increase
All reviews settled	106	+2.13	61	+1.55	45	+3.22
2012 review dates only	77	+1.97	32	+0.53	45	+3.22

·   The annualised rent roll is now £35.7m (September 2012: £36.2m), following the disposal of the former head office in Daresbury (reducing annual rents by £0.9m) offset by increased rents from reviews and completed developments.

Continued progress in non-core disposals

·   Following the sale of Daresbury and disposal of a number of low value properties, more than 2/3rds by value of the non-core assets held for sale at September 2012 either have now been sold or are agreed to be sold. 

·   The largest remaining non-core asset which has a conditional sale agreement in place is a parcel of land in Scarborough. Outstanding planning issues have now been resolved. The final stage is a statutory road closure notice and on completion the Group would receive £7m, which is some 27% above current book value.

Increased dividend

With continued increases in core rents and some increased financial flexibility, the Board has decided to raise the dividend by 6% in line with its sustainable and progressive dividend policy. This will take effect from the next quarterly payment in April 2013, which will be 0.3025 pence per share, equivalent to 1.21 pence per share on an annualised basis.

Conversion to REIT

We are well advanced in our preparations for conversion to a REIT on 1 April 2013. A circular was sent to shareholders on Monday 28 January seeking approval for changes to the Articles of Association related to this conversion, as well as approval for a new long term incentive scheme.

Graham Roberts, Chief Executive, commented:

"Assura's business continues to develop in line with our strategy, facilitating the NHS reforms through providing fit for purpose medical premises in the community. We have 11 high quality developments on site or about to commence. REIT conversion is the next stage, combined with delivering on our promise of a progressive dividend."

-ENDS-

Enquiries

Assura Group Limited	Tel: [phone]
Graham Roberts Carolyn Jones
Espirito Santo Investment Bank	Tel: [phone]
Peter Tracey
Jamie Richards
Oriel Securities Mark Young	Tel: [phone]
Roger Clarke
RLM Finsbury	Tel: [phone]
Gordon Simpson

Notes to Editors

Assura Group is a long-term investor in and developer of primary care property. The company, headquartered in Warrington and listed on the London Stock Exchange, works with GPs, health professionals and the NHS to create innovative property solutions in order to facilitate delivery of high quality patient care in the community. At 30 September 2012, Assura Group's property portfolio was valued at £563 million.

Further information is available at www.assuragroup.co.uk

 

END

 

 

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