Town Centre Securities

LN: TOWN

Market Cap£71m

Last Close 133.5p

Town Centre Securities is a UK REIT focused primarily on Leeds, Manchester, Scotland and (mainly suburban) London. It also has a car parking operation (CitiPark). The investment portfolio is intensively managed for income and capital growth.

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Investment summary

Town Centre Securities (TCS) has been hard hit by the pandemic, particularly in its car parking business, but the effects have been mitigated by the strategic repositioning of the property portfolio in recent years, reflected in relatively robust rent collection and capital values. Management expects a strong recovery in car parking as the lockdown eases. In property, retail asset sales reduce near-term income but further de-risk the business, creating a stronger footing on which to build, focused on well-performing regional cities and substantial strategic development opportunities.

Y/E Jun
Revenue (£m)
EBITDA (£m)
PBT (£m)
EPS (p)
P/E (x)
P/CF (x)
2019A 19.6 14.4 6.4 12.0 11.1 20.9
2020A 16.1 10.8 2.1 3.9 34.2 10.4
2021E 11.9 9.1 (0.4) (0.8) N/A N/A
2022E 14.9 10.3 2.3 4.4 30.3 8.8
Industry outlook

The commercial property market is cyclical, historically exhibiting substantial swings in valuation through cycles while income returns have been more stable. The pandemic and Brexit contribute to a highly uncertain UK economic outlook and while the supply demand balance for regional office and industrial property has hitherto remained generally firm with the exception of the industrial sector the weakness that was previously confined to the retail sector has broadened.

Last updated on 26/05/2021
Content on Town Centre Securities
Town Centre Securities – Reinvigorating strategy
Real Estate | Outlook | 26 May 2021
architecture-1048092 (1)
Town Centre Securities – Positive trading update
Real Estate | Update | 27 January 2020
architecture-1048092 (1)
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Share price graph
Balance sheet
Forecast net debt (£m) 150.2
Forecast gearing ratio (%) 102
Price performance
%
1m
3m
12m
Actual (0.2) 11.7 25.9
Relative* (1.0) 3.0 5.2
52-week high/low 144.0p/81.5p
*% relative to local index
Key management
Edward Ziff Chairman & Chief Executive