These indices represent all properties currently trading on our Exchange, except for 8 properties with fire safety issues and the properties that underwent an Equity Fundraise. For the performance achieved on sold properties (i.e. those no longer trading), view our Selling Record.
For discussion of what these indices reveal about our portfolio's performance, please refer to our Guide to the LHX Share Trading Index.
LHX Share trading index
The LHX index tracks the weighted average share price on the Exchange. It is the daily index of the change in share value of all property investments listed on the Exchange, based on 7-day weighted average trading prices. The index starting point of 100 represents original listing share prices, which reflect property and share purchase price.
Property Valuation Index
This represents the independent surveyor valuation of each of the properties on the exchange. It is not impacted by share pricing or costs of acquisition and related fees. Where individual units have been sold, these have been removed from the base value at their original purchase price.
Share Valuation Index
This shows the latest independent surveyor valuation of underlying property, adjusted for the mortgage, purchase costs (SDLT, surveyors, solicitors, etc.), net cash position, London House Exchange fees and corporation tax on capital gain.
Residential VPV (Vacant Possession Value)
For Residential properties, this is the independent surveyor valuation if each unit within a residential block were sold individually, with vacant possession (no tenant in place); this is typically 10-15% higher than Investment Value, because buyers include the large market of owner-occupiers, as well as buy-to-let investors.
Residential IV (Investment Value)
For Residential properties, this is the independent surveyor valuation assuming a block of residential units is sold in a single transaction, to a single investor; these transactions attract a discount to VPV, because owner-occupiers are excluded and investors seek discounts for buying in bulk.
Includes all Student properties in the portfolio. Student property does not have a VPV - units cannot be sold individually, and value is directly linked to occupancy and income generation.
Includes all properties trading in the portfolio: Residential, Student and Commercial. Residential property is valued at VPV in this index.
In 2016 there are only a small number of properties represented, as most of our initial, individual unit property acquisitions have now been voted for sale, so are no longer trading or included in the indices presented. This results in volatility in both the Independent Share and Property Valuation Indices that is not representative of underlying independent valuations, so we have smoothed the trend and denoted this with a dashed line.
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