19 November 2025
If you are covering British Land's latest results, please see the following comment from Oli Creasey, head of property research at Quilter Cheviot:
British Land's half-year results, released today, show a company in good health. The company released a trading statement in October with many of the core metrics, but today's results give more detail and reiterate future targets - notably earnings per share (EPS) for the current year of at least 28.5p, which reflects a positive but slow growth rate in the very near term, followed by an acceleration in the following year, with EPS growth of "at least 6%". This acceleration feels achievable given the visibility on development projects finishing in the near term.
Real Estate Investment Trust (REIT) investors may have been alarmed by LandSec's results last week, which included a small fall in the Company's net asset value (NAV). Encouragingly, British Land has reported 2% growth in NAV over the past six months, driven by increased property valuations spread across most of the portfolio. The trajectory may not be rapid, but for some investors, seeing positive progress is enough in the current climate. Notably, West End campuses (primarily offices) was the only underperforming sub-sector for British Land, an area which property benchmarks indicate to be comparatively strong over the prior six months. In British Land's case, this appears to be largely related to revaluing ongoing developments - the region saw good rental growth, with market rents up 2.3% in the period, and very modest yield shift (+2bps) on standing assets.
With a dividend yield above 6%, and NAV growing at 4% on an annualised basis, British Land are already at the very top of their medium-term target of 8-10% returns over the medium term.
