ING’s rationalisation paying off

ING Property Trust yesterday announced a net profit of $32.5 million for the year ended March, up 137 per cent on the previous year.

A final gross dividend of 2.686c a unit has been announced by the trust, with imputation credits of 0.749c a unit. The result includes revaluations that added $13.1 million to the value of the property portfolio.

The trust's assets grew 15 per cent to $356 million, while the level of borrowing rose to $88.9 million from $61.1 million.

ING sold nine properties during the financial year bringing the portfolio rationalisation programme, which started in December 2003, near to completion.

Total sales over the past two years came to $93 million, with just six buildings remaining on the "sell" list.

ING also made three acquisitions over the year, totalling $64.4 million.

The trust's portfolio occupancy level hit 99.4 per cent by the end of the year (previously 97 per cent). The average lease term from the 51 lease transactions completed over the year was 6.07 years.

ING is making a takeover offer for Urbus Properties which, if successful, would create the country's second biggest listed property trust, with assets of about $800 million.

By yesterday, ING had received acceptances for 45 per cent of Urbus' shares.

- NZPA