The shares of Land Securities Group (LSE: LAND) pretty much maintained today losing just 2p following early trading this morning.
Land Securities, the UK’s largest commercial property firm, reported strong occupancy numbers in a number of its properties with £5.4 million of investment lettings signed since October.
The FTSE 100 member saw fit to start development on two new central London properties. This decision was based on strong interest from potential occupiers and a lack of new space coming to market.
The group added that the overall occupancy rate from the retail portfolio was up to 98.3%, an increase of 0.6% on last year.
Commenting on the quarter, chief executive Robert Noel expressed:
“In retail, there is continued demand for good locations as evidenced by the increased occupancy levels in our properties and, in particular, there is strong demand in food and beverage. In central London, we have seen occupier demand increase further. This, combined with a constrained supply of high quality, technically resilient space, means our significant committed programme of speculative developments is well placed.”
With a market cap of 8.2bn, Land Securities shares trade at a P/E of 26, and yields a potential 3%.
