Invista Foundation Property Trust has announced that the value of its assets dropped to £673.2 million – a fall of six per cent.
The company’s portfolio consists mainly of central London office space and commercial property to let in London – and its latest figures show that its stock has fallen by around six per cent in value.
The firm said that the yield-led correction in the commercial property market had been sharper than anticipated and that it would consider selling some its offices in London if it got appropriate offers. It will follow this course of action in order to protect its portfolio from further declines, the company said.
"Whilst the company has an overweight exposure to growth markets, specifically central London, there is a risk to future performance if financial market problems contaminate the wider UK economy," chief executive Duncan Owen commented.
"We have prudently begun to position the portfolio defensively and have started to crystallise strong performance in central London," he said.
The fund has been affected by negative sentiment and is currently trading at a 45 per cent discount on September net asset value.