Shares digital

Real estate giant British Land (BLND) has seen the value of its property portfolio slashed by almost 9% in the three months to December. Net asset value per share fell even heavier, by 16.7% to £14.01, thanks to a widening of the market value discount to assets. This slump means the group’s property has fallen by 8.4% so far this financial year (nine months to December). ‘Macro-economic uncertainty and the global credit crunch have depressed property values,’ explains chairman Chris Gibson-Smith. ‘However, the worst should now be behind us, though uncertainties remain on timing and the extent of the correction.’ On a more upbeat note, the group said that occupancy was exceptionally strong, with 99% of its portfolio let and an average lease length of 14 years. It is also making good progress with its development plan and has £2 billion of committed undrawn bank lines available ‘as opportunity arises’. The shares have started to tick up again this year, but slipped back to 949.5p following the news.

Shares says: Worth sitting tight for now.

by: Rachel Robson