Property firm's value rises 7% but losses grow

Deputy Business Editor

Monday 20 August 2012

A PROPERTY investment firm with links to Sir Tom Hunter has posted a 7% increase in adjusted net asset value from £89.6 million to £95.9m.

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GREIG CAMERON DEPUTY BUSINESS EDITOR

However, Prestbury Investment Holdings (PIH), which has stakes in funds owning tourist attractions such as Alton Towers and Madame Tussauds, saw its pre-tax losses widen from £815,000 to £7.5m.

Major shareholder Nick Leslau, who gave away £400,000 to residents in Glasgow after appearing on the Secret Millionaire television show in 2008, warned the UK is facing "serious challenges" before the economy gets back on track.

According to the most recently available annual returns Sir Tom Hunter's West Coast Capital and PIH have interests in more than 200 pubs through Prestbury Wentworth Holdings, 21 care homes via PSX Holdings and 152 Travelodge hotels through Prestbury Hotel Holdings. Accounts filed at Companies House for PIH in 2011 show it wrote down £2.6m on the value of a care home portfolio although group turnover increased slightly from £5.5m to £5.6m.Even after adding in operating profit of £15.1m from joint ventures PIH's profits on ordinary activities before interest or tax almost halved from £21.3m to £11.7m.But with its bill for interest and other charges at almost £20m it slid further into the red.In the accounts Mr Leslau said: "The UK economy continues to face very serious challenges through a number of factors, including highly constrained credit availability and consistently weak consumer sentiment. The threat of the disintegration of the eurozone has had a further destabilising effect on investment decision-making. "We have a very diverse group of asset exposures and have suffered as have many during these extraordinary times. "However we have fought hard and we have maintained a credible performance without, as virtually every major property investment has been forced into doing, going cap in hand to its shareholders with deeply discounted rights issues."Net debt rose in the year from £15.34m to £17.25m.Mr Leslau, who is also a director and part owner of Saracens rugby club, saw his basic salary increase from £400,000 to £411,000, although he did not get any bonus. Chief operating officer Sandy Gumm received an increase in base salary from £190,000 to £214,000 and she also got a £25,000 bonus.PIH did not recommend paying a dividend.

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Property firm's value rises 7% but losses grow

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