Property values rose by a promising 12.8 per cent in the12 months to 31 March, compared to 5.9 per cent last time. Net assets per share grew from 478p to 592p, also an all-time high. Total properties, including British Land's joint ventures are now worth pounds 5.8bn with annualised gross rents of pounds 353m.
The key to British Land's operational success has been a series of well- timed joint ventures. The company started with Scottish & Newcastle and moved heavily into supermarkets with Tesco. British Land's chairman, John Ritblat, clearly has other joint ventures in mind. But in line with his tight-lipped policy, no-one will be given an inkling until a firm deal is done.
One of the most interesting could be a tie-up with Railtrack. The companies are looking at developing the last section of Broadgate together. Analysts have pencilled in a net asset value of 592p for this year which makes the company look cheap at its present price. Buy.