31 August 2016
PICTON PROPERTY INCOME
LIMITED
(“Picton”, the “Company” or the
“Group”)
COMPLETION OF
ASSET DISPOSAL
Further to its announcement on 12 July
2016, Picton (LSE: PCTN) confirms that the disposal of one
of its City of London office
assets, Boundary House, Jewry Street, EC3 completed on 30 August 2016.
The disposal proceeds of £27.8 million were in line with the
June 2016 valuation and will be used
to reduce debt, recognising the Company’s zero dividend preference
share maturity in October 2016.
In addition and in a separate transaction, the Company has
secured a payment of £0.67 million from a nearby owner, in respect
of a Rights of Light claim.
As a result of this disposal, Picton’s central London office exposure will reduce from 19% on
30 June 2016 to 15.5% on a pro forma
basis. Similarly, the Group’s LTV will reduce from 34.4% on
30 June 2016 to 31.5% on a pro forma
basis.
The property was acquired in 2006 for £16.1 million.
Michael
Morris, CEO of Picton Capital commented:
“This disposal forms part of a plan to reduce both the quantum
and overall cost of debt within the Group, as we repay our ZDP’s
this October. By completing these two transactions we will be
able to achieve this, reshaping the portfolio whilst enhancing both
dividend cover and NAV.”
ENDS
For further information:
Tavistock
Jeremy Carey/James Verstringhe, 020 7920 3150,
jverstringhe@tavistock.co.uk
Picton Capital Limited
Michael Morris, 020 7011 9980,
michael.morris@picton.co.uk
Note to Editors
Picton is an income focused property investment company listed
on the London Stock Exchange. Picton can invest both directly and
indirectly in commercial property across the United Kingdom.
With Net Assets of £418.0 million at 30
June 2016, the Company´s objective is to provide
shareholders with an attractive level of income, together with the
potential for capital growth by investing in the principal
commercial property sectors. www.picton.co.uk