EPRA Reporting

The European Public Real Estate Association’s (EPRA) mission is to promote, develop and represent the European public real estate sector.

EPRA provides effective and continuous leadership in matters of common interest by publishing research and encouraging discussion of issues impacting the property industry, both within the membership and with a wide range of stakeholders, including the EU institutions, governmental and regulator bodies and business partners.

We support EPRA’s drive to bring parity to the comparability and quality of information provided to investors and other key stakeholders. With this in mind, we aim to allow our audience to navigate to key areas of narrative in our reporting and highlight these areas within our Reports to aid identification.

We also include all of our key EPRA performance metrics in one section within our reporting as well as highlighting other specific metrics throughout our Reports.

EPRA performance measures (EPM)

EPRA Best Practices Recommendations recognise the key performance measures detailed below, something we fully support. We aim to be as transparent with our EPRA Best Practices Recommendation reporting as possible, and we felt the inclusion of the purpose against each measure would be helpful for our audiences and help give context. We have also cross referenced these specific measures to more detailed information found in our Annual Reports.

EPRA performance measures

EPRA earnings£21.3£21.2m£20.1m
EPRA earnings per share3.9p3.9p3.7p
EPRA NTA100p120p97p
EPRA NDV105p119p93p
EPRA NRV110p131p105p
EPRA LTV27.0%21.3%20.9%
EPRA cost ratio (including direct vacancy costs)29.9%26.0%26.9%
EPRA cost ratio (excluding direct vacancy costs)21.3%19.9%20.8%
EPRA net initial yield5.0%4.1%4.8%
EPRA ‘topped-up’ net initial yield5.5%4.8%5.5%
EPRA vacancy rate9.5%7.2%8.8%

EPRA earnings:
A key measure of a company’s underlying operating results and an indication of the extent to which current dividend payments are supported by earnings.

EPRA NTA per share:
The EPRA net tangible assets calculation assumes entities buy and sell assets, thereby crystallising certain levels of deferred tax liability.

EPRA NDV per share:
The EPRA net disposal value shows the impact to shareholder value if company assets are sold and/or liabilities are not held until maturity.

EPRA NRV per share:
The EPRA net reinstatement value measure highlights the value of net assets on a long-term basis. Assets and liabilities that are not expected to crystallise in normal circumstances such as the fair value of financial derivatives and deferred taxes on property valuation surpluses are therefore excluded. Since the aim of the metric is to also reflect what would be needed to recreate the Company through the investment market based on its current capital and financing structure, related costs such as real estate transfer taxes should be included.

EPRA net initial yield and ‘topped up’ net initial yield:
A comparable measure for portfolio valuations. This measure should make it easier for investors to judge for themselves, how the valuation of a portfolio compares with others. The EPRA NIY is based on the passing rents at the balance sheet date, the EPRA ‘topped up’ NIY also includes rents where there are unexpired lease incentives at the balance sheet date.

EPRA vacancy rate:
A 'pure' (%) measure of investment property space that is vacant, based on ERV.

EPRA cost ratios:
A ratio to enable meaningful measurement of the changes in a company’s operating costs as a percentage of rental income.

Debt divided by market value of the property.