Investec Property declares dividend

Business

Johannesburg – Investec Property Fund will pay an interim dividend of 44.52cents a share for the six months to September 30, 2020, representing a payout ratio of 95% of distributable earnings, due to debt successfully refinanced and a modest improvement in the operating environment, said a trading update on Friday.

Distributable earnings a share for the year to March 31, 2021 was expected to be 30-35% lower than last year, primary due to the impact of Covid-19 and the concessions granted to tenants in the first half, joint chief executive Andrew Wooler said in a presentation on Friday.

While local performance recovered marginally in the second half, this was offset by lower accretion from reduced ownership in Pan European Logistics (PEL) and the Belgium assets, and no dividend from the UK investment, he said.

The balance sheet was in a strong position and loan to value was expected at 39% at year end, compared to 43.8% at end September 2020.

The operational performance was improving and evidenced by strong rental collection in South Africa of 94% and Europe of 99%, for the 11 months to February 2, 2021.

Investec Property Fund shares closed 3.61% lower at R9.35 on the JSE on Friday.

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