We have just received very positive valuations for our UK syndicates, the First UK Commercial Property Fund and the Second UK Commercial Property fund for the year end of 2010.    Valuers are more optimistic this year in general about UK commercial property which delivered a 14.5% total return last year, the strongest return for four years.

Both of these funds had suffered from big write-downs in 2008 due to the economic crisis.  The last two years have witnessed a slow recovery which, given that sterling has plenty of room to strengthen over the coming months,  is an encouraging sign for both of these syndicates in the years ahead of exit. 

The First fund in particular has received a great boost to share value with the Car Park in Hockley up 24% on last year.   The Valuers were more optimistic this year about this property taking into account the 20 years remaining on the 25 year lease of Signet jewelers a FTSE 250 company. The Retail warehouse in Sudbury is also up by 15.5%

The Second UK Commercial Fund also received a boost to share value, albeit more modest in nature, with the Car showroom in Romford up by 12.2 % and the retail warehouse in Bolton up by 15.8%.