F&C UK Real Estate Investments Limited’s net asset value total return per share for the last six months of 2015 was 5.6 per cent.
Chairman of the trust Vikram Lall said the trust’s NAV per share at the period end was 99.9p.
Mr Lall said the share price performance was also positive, with a total return of 4.8 per cent over the period and the shares were trading at a slight premium to the NAV of 1.9 per cent at the period end, compared to a premium of 2.6 per cent as at 30 June 2015.
He added: “The UK commercial property market continued to deliver a strong performance in the six months to 31 December 2015, although there was a slight loss of momentum in the final quarter.
“With the economy continuing to grow, the yield gap between property and the risk-free rate remaining favourable and interest rates staying at low levels, investors have continued to be attracted to property as an asset class.
“Overseas buyers have been the main drivers here as net investment by the institutions moderated over the six-month period.
“The occupational market has seen greater tenant interest, but rental growth remains heavily weighted towards London. Net income growth was 2 per cent over the period.
In the same time, the trust’s portfolio returned a further 4.7 per cent, with performance over the calendar year totalling 12.2 per cent.
The two largest contributors to returns were Hemel Gateway, Hemel Hempstead, where the valuation improved significantly following recent letting activity, and Colnbrook Industrial Estate, London.
