We aim to deliver superior returns to our shareholders by unlocking the often hidden potential in retail and office property.

A consistent business model

One clear objective

The Group’s objective is to generate superior portfolio and shareholder returns from a combination of active asset management, development and investment management skills. We aim to maximise equity returns over the real estate cycle by efficient and flexible structuring and through the use of conservative financing.

The right fundamentals

The fundamental elements of our business model are:

• Ownership of real estate in prime locations in central London
• Upgrading the rental values of buildings through asset management, refurbishment or development
• Frequent acquisition, disposal and joint venturing of assets to enhance overall portfolio performance
• Intense focus on our local markets using a strong network of contacts

A well balanced business

Measuring our performance

We use numerous benchmarks to define our financial objectives and to measure the success of our strategy in creating long-term value for shareholders, including:

• Total Shareholder Return (TSR) – we aim to produce a TSR ahead of both the median of our comparator peer group and the FTSE 350 Real Estate Index (excluding agencies).
• NAV per Share Growth – we aim to produce growth in adjusted NAV per share of greater than RPI plus 4% over a three year period.
• Portfolio Total Property Return – we aim to generate capital growth, net of capital expenditure, in the portfolio greater than that of the IPD central London Capital Growth Index.
• Return on Capital Employed (ROCE) – we measure the Group’s ROCE against our weighted average cost of capital;
• Portfolio Internal Rate of Return (IRR) – each of our properties has a business plan with an IRR projection which, when amalgamated, produce the Portfolio IRR.We aim to beat this target.

The remuneration of the Executive Directors and every member of staff is linked to our performance against these measures.