Texton Property’s half-year net property income rises 2%
Texton has a portfolio worth R5.457bn, about 60% of which is located in SA and 40% in the UK
Texton Property Fund’s share price climbed as much as 4% on Monday morning, despite the real-estate investment trust (reit) keeping its dividend for the six months to end-December unchanged at 47.95c.
Net asset value declined 8% to 8.8% to 891.49c during the period and vacancies climbed to an average 7% from the prior period’s 4.8%, for among other reasons, pressure on the UK’s retail sector and challenging conditions in SA.
Texton, which listed on the JSE in 2011, had been hit by uncertainty over Brexit.
The company’s current focus is on cost rationalisation, and it made no acquisitions during the period.
Texton has a portfolio worth R5.457bn, about 60% of which is located in SA and 40% in the UK.
"While the rationalisation of our portfolio has yielded pleasing results, we continue to operate in a challenging economy with weak local property fundamentals," Texton said in a statement.
Net property income climbed 2% to R212.5m, with vacancies in SA increasing to 8.3% from the prior period’s 7.6%, and rising to 3.2% from 1.4%.
At 10.35am on Monday, Texton’s share price had gained 1.9% to R6.42, having earlier reached an intraday best of R6.56.