London Portfolio

During the last six months we have continued to implement the strategy we set several years ago. We have executed our programme of sales of mature, potentially ex-growth assets. We have also continued to deliver strong performance from our development properties with some market-leading leasing transactions.

Our London Portfolio represents 54.9% of our overall investment portfolio by value. This 1.1 million m² London portfolio represents a 5.1% share of London’s total office accommodation. We continue to invest in our mixed-use development clusters across the capital, creating innovative buildings in improving areas. We currently have over 600 occupiers in our London Portfolio accommodating more than 50,000 people.

The London Portfolio delivered a strong performance with a valuation surplus of 3.6%. This was driven by a 7.5% surplus on our developments. The valuation increase for the like-for-like assets was 2.7%. We also saw rental income decline on the like-for-like portfolio of 1.6% but growth in rental values of 9.5%. The portfolio is now 19.1% reversionary and void levels have declined but remain low at 4.4% on a like-for-like basis.