Landsec (LSE:LAND) reported full-year results for the period ended 31 March 2026 showing continued strength across its property portfolio, supported by resilient demand in both office and retail markets despite a higher inflation and interest rate environment.
Like-for-like net rental income increased 4.6% during the year, while EPRA earnings per share rose 2.2% to 51.4p, reaching the upper end of management guidance. EPRA net tangible assets per share also increased 0.9%, and the company raised its dividend by 2%.
Portfolio occupancy reached 98%, marking the highest level recorded by the group in two decades, while rental growth accelerated to its fastest pace in nearly 20 years.
Office-focused assets generated 6% like-for-like income growth, with occupancy climbing to 98.6%, the strongest level seen in around a decade. Retail-led assets also performed strongly, delivering 5.5% income growth alongside occupancy of 97.7%, another 20-year high. Robust leasing activity and rental uplifts contributed to estimated rental value growth reaching its highest level in roughly two decades.
Capital discipline remained a central focus for management throughout the year. Landsec completed £705 million of disposals, maintained an average debt maturity of 8.6 years and modestly reduced leverage levels. The company also reiterated its aim to lower net debt-to-EBITDA below seven times over the medium term.
Management said the strategy continues to prioritise income growth, carefully managed development exposure and selective investment into retail assets, while also progressing a residential pipeline expected to deliver approximately 9,000 homes over time.
The company’s broader outlook remains supported by strong operational performance, favourable leasing trends and positive market indicators. Attractive valuation metrics and management’s strategic emphasis on high-quality office and retail assets are viewed positively, although investors remain mindful of elevated debt levels within the current economic environment.
More about Land Securities Group plc
Land Securities Group plc, trading as Landsec, is one of the UK’s largest real estate investment trusts, focused primarily on premium office and retail-led property assets in major urban locations. The group concentrates on high-demand destinations while also developing a longer-term residential platform designed to diversify revenue streams and reduce exposure to property market cycles.
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