Almacantar

(36.29% of share capital through EXOR S.A.)

 

 

The main consolidated income figures for the Almacantar Group in the first quarter of 2013 are as follows:

£ million QI 2013 QI 2012Change
Net property income 4,7
3,1
1,6
Operating profit 3,6
2,1
1,5
Profit after tax1,80,61,2
Profit attributable to owners of the parent1,60,51,1

Almacantar reported a profit of £1.8 million for the period ended March 31, 2013. This includes net property income of approximately £4.7 million, one-off receipt from a tenant on a lease surrender of about £0.4 million, an unrealized gain on valuation of interest-rate hedging swaps of about £0.3 million and finance expenses of some £2.0 million.

A significant proportion of income arises under leases with fixed rental levels. Most leases have a remaining period of several years. It is expected that rebuilding of the Centre Point and Marble Arch Tower properties will begin in 2014 and 2015 respectively. At that time, annual income from those properties is likely to decline, before the increase in the value of the properties is realized after completion of the building work.

The group’s finance expenses for the period ended March 31, 2013 of approximately £2.0 million largely comprise interest expenses on bank borrowings that are secured on the properties. A substantial level (87%) of bank interest expenses on the loans is fixed under interest-rate swap agreements for the entire loan period.

Key consolidated statement of financial position data of the Almacantar Group at March 31, 2013 are as follows:

£ million 3/31/2013 12/31/2012Change
Investment properties397,9396,21,7
Net assets 323,1 321,21,9
Bank debt(147,3)(147,4)0,1
Cash36,731,55,2
Net financial position (110,6) (115,9)5,3

At March 31, 2013, the share capital of Almacantar amounted to £276 million, of which £86 million was not yet called for payment by the shareholders. Of this, £22 million was paid in April 2013 and £11 million in May 2013.

At the same date, Almacantar held the following properties:

Centre Point

Centre Point is a well-known building of 34 stories in central London, close to the districts of Soho, Bloomsbury and Covent Garden. It was built in the 1960s and has legal protection as a building of special architectural interest.

A revised application for a building permit to convert Centre Point into exclusive apartments was submitted in April 2013. It is anticipated that the building work will commence in 2014. At that time, the building will temporarily cease to generate income, and additional bank borrowings will be obtained to finance the development work, for a period of between two and three years.

Marble Arch Tower

Marble Arch Tower is situated on a prominent site in central London overlooking Hyde Park.

The building currently comprises offices, other commercial occupiers, and a cinema. Almacantar is working with an architect to design a mixed-use building, including high quality residential apartments. Construction work is expected to commence in 2015.

An application for a building permit for this development work, including the associated requirement for construction of low-cost housing on a nearby site, is scheduled to be submitted before the end of 2013.

CAA House

This property is also in the center of London, and is leased by a British government agency until 2019.

In 2013 Almacantar will continue its strategy of increasing the value of existing investments, in particular by applying for permission to undertake construction work to improve Marble Arch Tower and Centre Point, while generating net income from CAA House. In addition, Almacantar is active in the market for the acquisition of additional investment properties in central London, which have the potential for Almacantar to use its real estate skills to transform and add long-term value.

Commercial Register No.64236277 Legal notes | Credits