Newcastle property investment lender boosts portfolio despite industry challenges

The TOC Property Backed Lending Trust plc has added to its portfolio of property-backed loans part of its aim to support UK property investment and development projects.

TOC’s core focus remains in the North East. The company’s interim results for the six months ending May 31, 2019, have increased both in revenue-per-share and total assets over the equivalent six-month period in 2018.

The company has achieved a six-month income of £1.001m - an increase of £0.923m, with the loan book also growing by £0.989m over the equivalent 2018 period.

Ian McElroy, chief executive of Tier One Capital Ltd, the investment adviser to the TOC Property Backed Lending Trust PLC, said: “The company continues to provide high quality, experienced property developers in the regions with an alternative and robust source of funding, which is delivering positive returns to its investors.

“The strong focus on supporting developments in the North East demonstrates the confidence in the region, albeit we must remain vigilant to market difficulties as political uncertainty continues.”

The recent half-year also saw John Newlands - Newcastle-based former head of investment companies research at Brewin Dolphin - move into the role of chairman after the planned retirement of Steve Coe.

Brendan O’Grady, fund manager at Tier One Capital Ltd, added: “We are delighted to maintain our dividend for the quarter at 1.5p per share despite the challenges facing the sector.

“Significant pipeline progression within the period also saw two new deals close-out in Q3 that will support both the build-out of new housing stock and the creation of construction sector jobs, both of which remain important to the development of the North East economy.”