Balmoral International Land has reported pre-tax losses of €29.4m for the year ending December 2010 as it was forced yet again to cut the valuations of its assets. However, today's figure was an improvement from the €105.4m losses reported in 2009.
Balmoral, which last year changed its name from Blackrock International, said the value of its group net assets fell by €30.3m last year due to further reductions in valuations, though the rate of decline reduced significantly. The group said its net assets by the end of December stood at €30m compared to €60.3m at the end of 2009.
However, it net rental income of the year was up 8% to €14.7m, while its finance costs fell by 8% to €6.7m. Administrative expenses were also down 14% to €3.8m.
Against the subdued economic activity, the company said that 2010 was another difficult year for the property market. However, it said that towards the end of the year agents began to report some signs of recovery in activity in some market sectors and areas.
'With a steadying economy and very little new construction taking place, it may not be unreasonable to anticipate that a turn in market conditions may be approaching,' the company said in its results statement.
'Balmoral continues to closely manage its portfolio of assets to maximise income, minimise costs and optimise values in anticipation of a recovery in the property market when general economic conditions improve,' commented company chairman Carl McCann.
