Land Securities has put plans on hold to divide its portfolio of commercial property into three.
It had announced the reorganisation of its assets in November 2007. However, the continued global economic crisis has forced a policy re-think at the real estate investment trust.
“We are going through an unprecedented period of financial instability, which has severely impacted investor confidence, the availability of credit and the pricing of property investments,” Francis Salway, chief executive observed.
Land Securities had hoped to sell its Trillium division and has said it had received an undisclosed number of offers.
Despite the change of tack, Mr Salway insisted the company will return to its plans to sub-divide: “At some stage in the future, we will revisit this,” he said.
The company’s first half results showed that despite a difficult period, the firm has reduced its net debt by £0.7 billion and planned to pay a first-half dividend of 33 pence per share.Share: