Strengthening results
Derwent London, a REIT focused on commercial properties in the West End, said in its annual results statement yesterday that it would be accelerating schemes where possible “as the recovery of the central London economy appears to be gathering momentum”.
The group reported a 4.7% drop in adjusted NAV for 2009, which follows a jump of 18% in the second half of the year. Derwent London plans capital expenditure of £63.5m in 2010, with a further £200m forecast to follow on already identified projects.
Meanwhile, property broker Savills today announced a return to profit after cutting costs, reporting 2009 pre-tax profit of £13.5m after the previous year’s loss of £7.7m. The group said its UK commercial property business had strengthened in the fourth quarter of 2009. Its residential business performed strongly. Overall the group remains cautious, expecting similar results in 2010 to those for 2009.
