In June 2021, the Company acquired 15-33 Union Street for a purchase price of GBP10.19 million. 15-33 Union Street occupies a prominent location in Bristol city centre, opposite The Galleries Shopping Centre and near Cabot Circus, Bristol's premier retail destination. Located on a busy thoroughfare for pedestrians, the 65,238 sq ft site experiences high footfall and is ideally suited for retail or leisure units. Constructed in 2001, the property currently comprises five purpose built split-level retail or leisure units over four floors and road access to both Union Street and Fairfax Street. Four of the five units are let to three household names and a successful local retailer. The remaining unit is currently vacant, with the vendor providing a 12 month guarantee. We are currently in discussions with a number of parties who are keen to occupy this space. The location of the site has been identified as a major regeneration area and it offers the ability for further growth through development.

Court ruling

Post year-end, the Company announced the successful outcome of the legal action against two well-funded national tenants to recover unpaid rent. GBP0.52 million has been provided for as expected credit loss relating to these tenants in these financial statements and subsequent to the court ruling all rent arrears of these tenants have been received.

EPRA Unaudited Performance Measures

EPRA disclosures are widely used across the listed property sector and, as such, have been presented below to aid comparison with other companies in this sector.

Detailed below is a summary table showing the EPRA performance measures of the Company

All EPRA performance measures have been calculated in line with EPRA Best Practices Recommendations Guidelines which can be found at www.epra.com.


MEASURE AND DEFINITION                         PURPOSE                                            PERFORMANCE 
 
                                                                                                  GBP9.82 million/6.19 
                                                                                                  pps 
1. EPRA Earnings                               A key measure of a company's underlying operating 
                                               results and an indication of the extent to which 
Earnings for operational activities.           current dividend payments are supported by 
                                               earnings.                                          EPRA earnings for 
                                                                                                  year to  31 March 
                                                                                                  2021 (31 March 2020: 
                                                                                                  GBP13.20 million/8.67 
                                                                                                  pps) 
 
2. EPRA Net Tangible Assets ('NTA')                                                               GBP157.02 million/99.11 
                                                                                                  pps 
Assumes that entities buy and sell assets, 
thereby crystallising certain levels of 
unavoidable deferred tax. 
                                                                                                  EPRA NTA itas at 31 
                                                                                                  March 2021 (31 March 
                                                                                                  2020: GBP147.85 million 
                                                                                                  /93.12 pps) 
 
3. EPRA Net Reinstatement Value ('NRV')                                                           GBP168.83 million/ 
                                                                                                  106.57 pps 
Assumes that entities never sell assets and 
aims to represent the value required to 
rebuild the entity. 
                                                                                                  EPRA NRV as at 31 
                                               The EPRA NAV set of metrics make adjustments to    March 2021 (31 March 
                                               the NAV per the IFRS financial statements to       2020 GBP160.34 million/ 
                                               provide stakeholders with the most relevant        100.99 pps) 
                                               information on the fair value of the assets and 
4. EPRA Net Disposal Value                     liabilities of a real estate investment company, 
                                               under different scenarios. 
('NDV') 
                                                                                                  GBP157.08 million/ 
Represents the shareholders' value under a                                                        99.15pps 
disposal scenario, where deferred tax, 
financial instruments and certain other 
adjustments are 
                                                                                                  EPRA NDV as at 31 
calculated to the full extent of their                                                            March 2021 (31 March 
liability, net of any resulting tax.                                                              2020 GBP147.86 million/ 
                                                                                                  93.13pps) 
 
 
5. EPRA Net Initial Yield ('NIY') 
                                               A comparable measure for portfolio valuations. 
Annualised rental income based on the cash                                                        7.37% 
rents passing at the balance sheet date, less 
non-recoverable property operating expenses, 
divided by the market value of the property,   This measure should make it easier for investors 
increased with (estimated) purchasers' costs.  to judge themselves, how the valuation of          EPRA NIY as at 31 
                                               portfolio X compares with portfolio Y.             March 2021 (31 March 
                                                                                                  2020: 8.26%) 
 
 
6. EPRA 'Topped-Up' NIY                        A comparable measure for portfolio valuations. 
This measure incorporates an                                                                      8.12% 
adjustment to the EPRA NIY in                  This measure should make it easier for investors 
                                               to judge themselves, how the valuation of 
respect of the expiration of rent-free periods portfolio X compares with portfolio Y.             EPRA 'Topped-Up' NIY 
(or other unexpired lease incentives such as                                                      as at 31 March 2021 
discounted rent periods and step rents).                                                          (31 March 2020: 
                                                                                                  8.66%) 
 
 
 
 
                                               A 'pure' (%) measure of investment property space 
7. EPRA Vacancy Rate                           that is vacant, based on ERV.                      8.96% 
Estimated Market Rental Value ('ERV') of 
vacant space divided by ERV of the whole 
portfolio.                                                                                        EPRA Vacancy Rate as 
                                                                                                  at 31 March 2021 (31 
                                                                                                  March 2020: 3.68%) 
 
 
                                                                                                  32.94% 
 
                                                                                                  EPRA Cost Ratio 
                                                                                                  (including direct 
                                                                                                  vacancy costs) as at 
                                                                                                  31 March 2021 (31 
8. EPRA Cost Ratio                                                                                March 2020: 18.75%) 
                                               A key measure to enable meaningful measurement of 
Administrative and operating costs (including  the changes in a company's operating costs. 
and excluding costs of direct vacancy) divided 
by gross rental income.                                                                           22.58% 
 
                                                                                                  EPRA Cost Ratio 
                                                                                                  (excluding direct 
                                                                                                  vacancy costs) as at 
                                                                                                  31 March 2021 (31 
                                                                                                  March 2020: 13.76%) 
 
9. EPRA Capital Expenditure 
 
Property which has been held at both the                                                          GBP5.98 million for the 
current and comparative balance sheet dates    A measure used to illustrate change in comparable  year ended 
for which there has been no significant        capital values. 
development.                                                                                      31 March 2021 (31 
                                                                                                  March 2020: 
 

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