• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer
TR Property

TR Property

A UK based investment company, listed on the FTSE 250 index investing in Pan European property equities & UK direct property

Search for:
  • About
    • About us
    • Investment portfolio
    • Meet the team
    • Awards
  • Why invest?
    • Why invest?
    • Investment trusts explained
  • Investor centre
    • Overview
    • Results & presentations
    • RNS News
    • Governance
  • News
  • Contact
  • How to invest

October 2017

About TR Property

22nd November 2017

Pan European property equities in GBP rose just 0.6% in October with Continental Europe in EUR rising 1.4% whilst the UK languished with a small negative total return of -0.2%. The Catalonian situation dominated the news headlines and led to a rollercoaster ride for Spanish equities and property stocks (as a pure domestic play) were certainly not immune.

They were all down in the month as expected with a range of -1.6% (Merlin) to -6.9% (Axiare). The Trust’s largest Spanish holding is Hispania (-2.9%) which focuses on owning tourist hotels and should, in theory, withstand any domestic economic weakness as the majority of customers are non-domestic. However the company announced the deferral of the sale of its office portfolio citing investor concerns ahead of the election on 21st December.

The strongest performance came from the Italian companies, all of whom benefited from the press speculation that listed real estate is likely to qualify for inclusion in the Italian equivalent of ISAs. Beni Stabili was +3.5% in the month bringing its performance YTD to a staggering 46% as investors have continued to focus on recovery in the Milan office market.

The Trust’s NAV rose 1.24% in October, exceeding the benchmark by 65bps and performance was aided by our ongoing underweight position towards UK retail with Intu (-4.3%) and Hammerson (-2.4%) amongst the worst performers. The other side of the UK retail coin – logistics and distribution – did well with London Metric (+6.1%) and Tritax Bigbox (+4.6%), the former is a 2% holding in the fund. Our European logistics exposure was also boosted in October as we participated in the overnight placing of new shares in Argan, the French logistics developer and investor. They have acquired 2 more distribution buildings for €40m, financed through the issuance of new shares to the vendor who immediately placed them in the market at €36 per share, a 4% discount to the undisturbed price. The Trust was allocated 14% of the 1.2m shares on offer and the stock ended the month at €39 per share and the holding is nearly 2% of NAV.

The ECB announced, the well flagged, reduction in bond buying with purchases dropping from €60bn to €30bn from January 2018. Draghi’s comments were perceived as remaining dovish and bond yields fell which helped rate sensitive stocks such as the German residential sector outperform with a collective increase of 2.8%.

Irish stocks were weak (-1.2%) as the authorities announced a 4% increase in stamp duty (from 2% to 6%).

The Interim results for the half to 30th September, including the interim dividend announcement, will be made on 23rd November.

Download factsheet

Previous post
Next post

Primary Sidebar

Kepler report on TR Property

22nd August 2023

TRY: a unique way to capture a recovery in property valuations…

Is commercial property now a great value opportunity? 

21st February 2023

In this episode from the This is Money Investing Show, Simon Lambert is joined by the manager of TR Property…

Citywire’s Fund Fanatic podcast

2nd February 2023

“Having had a very difficult 2022, we’ve started to see a real resurgence in [property] share prices… and there are…

Footer

Sign up to our newsletter for the latest updates

enquiries@trproperty.co.uk

For questions regarding TR Property Investment Trust, you can email us directly.

LEGAL

Disclaimer and legal statement

Cookie policy

GENERAL FUND INFORMATION

Investors should be aware that past performance should not be considered a guide to future performance.

Copyright © TR Property
All rights reserved