Yew Grove REIT plc (LON:YEW) has today reported its audited condensed consolidated results for the year ended 31 December 2020.
Strategic Highlights
• Portfolio investment properties independently valued on 31 December 2020 at €141.9 million, reflecting an annualised rent roll of €10.9 million at Period end.
• 100% rent collections for both Q4 2020 and Q1 2021.
• Quarterly dividend payments continued with total dividends per ordinary share of 5.15 cents declared from 2020 earnings.
• Purchased six further buildings during the Period for €25.3 million.
• Asset management has enhanced the Company’s property portfolio and revenue, 40,000 square feet of office vacancy being let in early July 2020 and 20,000 square feet the day after the Period end.
• Significant pipeline of potential acquisitions in excess of €100 million identified.
Financial Highlights
• Net Asset Value (“NAV”) per ordinary share was 100.03 cents as at 31 December 2020 (31 December 2019: 98.52 cents).
• Portfolio valuation on 31 December 2020 of €141.9 million (31 December 2019: €115.8 million).
• Period end valuation shows an increase of €3.3 million or 2.5% in like for like value (value of properties owned at year end compared to the aggregate of their 2019 year end valuation and the price of 2020 property purchases).
• Annualised rent roll of €10.9 million at Period end (31 December 2019: €8.9 million), increasing to €11.3 million from 1 January 2021.
• Period net revenues were €10.6 million, including €0.15 million of lease surrender premium payments. Excluding lease surrender premium payments, this shows an increase of 41% on 2019.
• Expenses were stable at €3.1 million (2019 €3.0 million) while the portfolio grew 22.6%.
• EPRA earnings per share (“EPS”) of 5.49 cents, 94% declared as dividends.
• Dividends of 5.15 cents per share declared from Period earnings.
• Target LTV increased from 25% to 40% following the EGM in Q3 2020. Credit facility drawings increased from €20.8 million to €38.6 million over the Period, leaving additional undrawn headroom of €15.0 million as at 31 December 2020.
Portfolio Highlights
The Group’s properties as at the Period end benefit from attractive leases:
• Strong tenant covenants: 66% FDI, 26% Government and other state bodies, 4% large enterprises and 4% SME by rent roll.
• Gross yield at fair value of 7.7%, with a gross reversionary yield of 8.7% (7.7% and 8.7% respectively as at 31 December 2019).
• Reversionary rent roll of €12.4 million.
• Weighted average unexpired lease term of 4.1 years to break and 7.2 years to expiry.
Jonathan Laredo, Yew Grove REIT Chief Executive Officer, commented:
“For more than a year we have all had to come to terms with the effect of the pandemic on everyday life. Normal social interactions have been curtailed, working, shopping, travel, visiting friends and family have all been affected in a way that is unprecedented in most of our lifetimes. Despite this, and despite the challenges this presented to our business, we have managed to grow our portfolio, reduce vacancy, increase the rent roll and improve our profitability and begin the process of greening our portfolio. I am proud of the efforts put in by everyone who works for Yew Grove and I am pleased that the results presented today are a validation of our strategy and the investments made so far.
“The Company has continued to perform well and the management team is ambitious and focused on growth. We continue to evaluate a pipeline of accretive investment opportunities and are exploring a range of funding options in that regard, including potentially raising equity.”
