With a property portfolio now valued at GBP8.1bn, the Crown Estate, which manages the Crown property portfolio in the UK and is governed by an Act of Parliament, announced today that its profit for the year has increased by 5.2% to a record GBP252.6m, which will be paid to the UK Treasury for the benefit of the nation.
The Crown Estate said the property it manages is owned by the Crown; however it is not the private property of HM the Queen. With a property portfolio that covers urban and rural areas, approximately half of the foreshore and most of the seabed around the UK; it works supportively with government in Westminster, Scotland, Wales and Northern Ireland, as well as at local level.
An increase in the Crown Estate’s capital value of more than 7% was recorded for the year, taking it to over GBP8.6bn. The portfolio achieved a total return of 11.3% against the IPD (Investment Property Databank) target of 9.9%, outperforming its bespoke industry benchmark. Also, third party funds under management totalled GBP610m at the end of the financial year.
Alison Nimmo CBE, chief executive of the Crown Estate, commented: “Today’s results are a ringing endorsement of the quality of our portfolio, our active asset management and our highly skilled team. Despite challenging market conditions, we are well placed as a business with a clear vision and investment strategy, great partners and a strong balance sheet.”