The Group’s main objective is the long-term enhancement of shareholder value through dividend and capital appreciation, whilst adopting a conservative financial structure.
As a Real Estate Investment Trust, we are committed to distributing 90% of the profits of our tax exempt business. We therefore expect dividends to be an important part of the total shareholder return.
Our long-term objective remains focused on accumulating a portfolio of high quality, modern, income producing properties, with potential for long-term rental and capital growth. Our primary geographic focus is the Midlands region.
The three areas of our strategy are:
- Selectively acquiring and disposing of investment properties;
- Developing new properties for long-term investment; and
- Actively managing our assets to enhance value.
We continue to be a counter-cyclical investor in modern, well located, quality investment properties, where we expect to achieve attractive returns. Given the long-term and cyclical nature of the property market, we believe that the precise timing of acquisitions and disposals is crucial in boosting returns from our existing property portfolio.
The core of our business is the investment property portfolio, which represents 96% of the value of the investment and development properties held. The investment portfolio consists of 62 properties/estates, with 350 units, totalling 3.8m sq ft.
We are also a selective developer of well-located, high quality property, developing properties when the occupier market is strong.
In addition, the proactive approach to the management of our assets allows us additional opportunity to enhance overall value.
Our low cost base, including only twelve employees, as well as three non-executive directors, enables us to pay a high proportion of our profits as dividends. In addition, the small size of the team enables us to react quickly to changing market conditions, and the liquidity of our financing provides us with the ability to transact quickly on investment acquisitions.