(Reuters) - Warehousing specialist Segro on Thursday reported a rise in half-year profit on the strength of its e-commerce-focused urban logistics business even as elevated interest rate hit the value of commercial properties.
Warehousing specialists have outperformed the broader UK commercial property market at a time when landlords remained wary of falling property values and tighter credit conditions.
"The structural drivers of occupier demand remain evident across the UK and Europe, whilst supply remains constrained in our chosen markets, helping to drive rental growth in line with our expectations," CEO David Sleath said in a statement.
Over-a-century-old Segro, which manages big box and urban warehouses among other assets, said adjusted net asset value - a key metric which gauges the value of its properties - fell 3% to 937 pence as of June 30, compared with 966 pence at December end.
The FTSE 100 firm, which operates in Britain and seven other European countries, said adjusted pre-tax profit for the six months through June 30 rose 2.6% to 198 million pounds ($256.3 million).
Separately, mall operator Hammerson Plc (LON:HMSO) reported a 15% rise in adjusted earnings to 56 million pounds for the half year through June, helped by strong leasing and operational momentum.
($1 = 0.7724 pounds)