Published on : Wed, 25 May 2005 00:00GMT
by : Sadat Sayeed

The second largest property group in the country, British Land Co. Plc., declared an increase of 17 percent in its underlying profits of the year, stating that its pre-tax profits had touched £174.8 million as compared to £149.4 million in the previous year. The earnings per share, meanwhile, scaled 9.9% high to 34.3p.

The property group also announced that its net asset value per share grew by 15 per cent and had now reached an impressive £11.11. British Land said that the value of its assets had greater potential for growth and if the government had not withdrawn the ‘stamp duty exemption for disadvantaged areas’, it could have registered higher asset values.

The group had recently disclosed its £811 million acquisition of competitor, Pillar Property and Stephen Hester, the new chief executive of British Land, spoke about the successful agreement saying that it “provides British Land with an attractive opportunity to accelerate our stated strategy.” He added that the company was “reshaping its portfolio and intensifying property asset management activity” besides initiating a new way to augment revenues through the addition of above £3 billion fund assets in the property management.

He stated that British land would hereafter show quarterly results and various details to its investors clearly. Hester was quoted saying, “I believe in staying at the front on investor-friendly behaviour - in disclosure and transparency, in straight talking and open listening.”

In another ‘investor-friendly’ move, British Land changed its external property valuer to the Knight Frank group that will take over from September after substituting Atisreal, which was associated with the property group for the last 20 years.