Great Portland Estates reports string leasing success, rising rents

Great Portland Estates reported strong leasing success in the quarter to December 31 as rents were agreed 18.3% above previous passing rents with five tenants.

It added that 16 new leases were 5.4% ahead of estimated rental values (ERV), calculated in March 2018.

Another 22 new deals worth £10.4m of annual rent, were under offer at 7.6% above ERV.

Toby Courtauld, Chief Executive, said: "I am pleased to report another quarter of positive operational activity with healthy leasing ahead of ERV, the continued successful rollout of our flexible space offering and excellent progress at our three committed development schemes."

"Moreover, with £339m of net sales so far this financial year, we commenced our on-market share buyback programme, maintaining our capital discipline and returning surplus equity to shareholders."

"Whilst we are planning for ongoing political and economic uncertainty, GPE is in great shape: we continue to attract occupiers for our brand of high quality, sensibly priced space...our well-located properties, with 92% in close proximity to a Crossrail station, are let off low rents with further reversionary potential."