StockMarketWire.com - Real estate investor Stenprop said it had collected 93% of rents for the June quarter and agreed to defer payment of a further 2% until later this year.

For the September quarter, the company had collected 84% of rents.

Stenprop said occupancy across its multi-let industrial portfolio had improved to 92% as at 30 June, up from 91.1% as at year end.

It added that £0.79m per annum of new rental income in the June quarter had been contracted through 25 new lettings and 17 lease renewals.

The company had achieved a 22% average uplift on the previous passing rent on new lettings and 20% on lease renewals.

Average rental incentives on all new lettings and renewals remained broadly unchanged at 3.1 months on an average lease term of 4.2 years.

'The high number of leasing enquiries we have experienced on the UK MLI portfolio over the last four months underpins our conviction as to the resilience of this asset class and the quality of the portfolio we have assembled,' chief executive Paul Arenson said.

'Whilst we have had a small number of units back as a result of tenant insolvencies due to Covid-19, at present the overall demand continues to outstrip supply, helping us to reduce our overall vacancy rate by 0.9% during the quarter, whilst continuing to achieve further growth in headline rents.'

'The strong pipeline of lettings which we hope to capture throughout the second quarter gives us further confidence.'

'While we expect rent collections to remain abnormal for the time being, we are encouraged that rent receipts are now flowing in faster this quarter and on a monthly basis than they were earlier in the pandemic.'

'This is largely as a result of the fact that most of our tenants are now open and trading.'

'We have also made good progress in collecting historic arrears from April and May and remain optimistic that in time we will collect the vast majority of all rent due.'


At 8:01am: [LON:STP] Stenprop Limited share price was 0p at 119p



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