41061 Unite AR22 HI-RES WEB-READY - Flipbook - Page 37
STRATEGIC REPORT
GOVERNANCE
FINANCIAL STATEMENTS
OTHER INFORMATION
PROPERTY REVIEW
Our property portfolio saw a 4.4% increase in valuations on a like-for-like basis during the year (Unite share: 4.0%), driven
principally by rental growth. The see-through net initial yield of the portfolio was 4.7% at 31 December 2022 (December
2021: 4.9%). After disposals and new openings, this reflects like-for-like yield compression of 2 basis points in the year.
LSAV reported the largest valuation growth (+5.6%) within the Group, reflecting the strength of rental growth from its
predominantly London-based portfolio.
Breakdown of like-for-like capital growth1
Valuation
31 Dec 2022
Rental
growth
3,623
111
LSAV
1,921
101
USAF
2,888
117
Total (Gross)
8,432
329
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Total (Unite share)
5,397
£m
Wholly-owned
Yield
movement
Other2
Total
1
106
(4)
5
102
29
(19)
127
(13)
335
(6)
185
% capital growth
Wholly-owned
3.6%
(0.2)%
0.0%
3.4%
LSAV
5.6%
(0.2)%
0.2%
5.6%
USAF
4.2%
1.1%
(0.7)%
4.6%
Total (Gross)
4.3%
0.3%
(0.2)%
Total (Unite share)
4.4%
4.0%
1. Excludes leased properties and losses on disposals.
2. Other includes changes to operating cost assumptions and income adjustments on reversionary assets.
The proportion of the property portfolio that is income generating is 96% by value, up from 94% at 31 December 2021.
Properties under development have decreased to 4% of our property portfolio by value (31 December 2021: 6%), following
the completion of our developments at Hayloft Point in London and Campbell House in Bristol during the year.
The PBSA investment portfolio is 40% weighted to London by value on a Unite share basis, which is expected to rise to 45%
on a built-out basis following completion of our secured development pipeline.
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