Landmark on top

Press, 22 July 1986, Page 37

Landmark on top

Landmark Properties, Ltd, had the ability to expand dramatically because of falling interest rates, said the chairman, Sir George Chapman, in the annual report. The company was now in a strong financial position, and intended to seek further investments in property and other ventures, both locally and overseas.

The directors proposed to change the name of the company to Landmark Corporation because of the expansion of its activities, he said. The managing director, Mr Ollie Newland, said that the Auckland property market remained buoyant and good rental space was not hard to fill.

The company still had a long, unsatisfied waiting list of people looking for space. “Lower inflation and lower interest rates will combine to make investment into property more attractive than ever.

“We expect property values to increase strongly in the near future as demand grows for prime property investment,” he said.

As reported, the group net trading profit more than doubled from $1,428,993 to $4,308,656 in the year to March 31 compared with the previous corresponding period. Not included in the result were property revaluations of $5.9 million ($4.6M previously). There was also

an extraordinary loss of $216,795 in the previous year.

Gross rental income rose 94 per cent to $4,236,000. No tax was payable ($291,645).

A recommended final dividend of 1.875 c a share increases the annual rate from 1.625 c to 3.75 c a share (15 per cent) on capital increased by two bonus issues and a cash issue. The dividend requirement is $1,717,487 and it is covered 2.3 times after allowing for the preference dividends.

Shareholders’ funds rose $12,895,072 to $32,631,832, including ordinary capital up S3.IM to $11.7M after the three issues and the conversion of share options.