Annual Report and
Accounts 2026
helical.co.uk
Helical is a central London development
focused real estate business listed on
the London Stock Exchange. We create
design-led, sustainable and inspiring spaces.
Our extensive track record in joint venture
structuring and working in partnership
underpins our reputation as one of London’s
leading development specialists.
Strategic Report
01 Highlights
04 We are Helical
06 Chief Executive’s statement
10 Our market
13 A sustainable approach
14 Our strategy
18 Our business model
20 Key performance indicators
23 Our portfolio
35 Financial review
41 Risk management
52 Sustainability at Helical
67 TCFD Report
78 Our stakeholders – Section 172(1) Statement
Governance
90 The Chair’s review of governance
92 Board of Directors
95 Corporate Governance Report
102 Nominations Committee Report
108 Audit and Risk Committee Report
113 Directors’ Remuneration Report
127 Report of the Directors
130 Directors’ responsibilities statement
Financial Statements
132 Independent Auditor’s Report
to the Members of Helical plc
137 Consolidated Income Statement
138 Consolidated Balance Sheet
139 Company Balance Sheet
140 Consolidated and Company Cash Flow
Statement
141 Consolidated and Company Statements
of Changes in Equity
143 Notes to the Financial Statements
Additional information
170 Appendix 1 – See-through analysis
172 Appendix 2 – Total Accounting Return
and Total Property Return
173 Appendix 3 – Five Year Review
174 Appendix 4 – Property Portfolio
175 Appendix 5 – EPRA Performance Measures
177 Glossary
179 Shareholder information
180 Financial calendar and advisors
Governance Financial Statements Further Information
HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Financial highlights
2.50p
4.6p
£5.7m£5.5m
Total dividend per share
(2025: 5.00p).
Basic earnings per share
(2025: 22.8p).
Profit after tax
(2025: £27.9m).
EPRA earnings
(2025: £2.7m).
351p 348p
36.5%
2.3%
4.5p
£239.2m
EPRA net tangible assets per share
1
(2025: 348p).
Net assets per share
1
(2025: 347p).
See-through loan to value
(2025: 20.9%).
Total Accounting Return per share
(2025: 6.0%).
EPRA earnings per share
(2025: 2.2p).
See-through net debt
1
(2025: £112.8m).
It has been an extremely active and productive year; highlights
included significant lettings at The Bower, EC1 and progress across
our substantial office development portfolio, with over 700,000 sq ft
having been in build. This includes two office schemes, totalling
270,000 sq ft, that will be delivered in the next eight months into
a market where new build vacancy is close to 1%, which provides
the opportunity to capture significant value upside as they are let.
In addition, we have acquired, financed and started on site at our
new office scheme Delta Paddington, W2 and forward funded our
student development at Southwark, SE1, whilst simultaneously
forward selling the affordable housing element.
We have completed our forward sale of 100 New Bridge Street, EC4,
with the proceeds being used to de-leverage as well as enable a
meaningful return of capital to Shareholders, and invest into our future
pipeline. This includes a new Places for London (“PfL”) joint venture
office opportunity at 63 Charterhouse Street, EC1M, where we
successfully obtained planning permission last month, with a number
of additional, attractive opportunities under active consideration.
Matthew Bonning-Snook
Chief Executive
Building for success
HIGHLIGHTS
Governance Financial Statements Further Information
01 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Development Activity
• 100 New Bridge Street, EC4 – Having achieved
practical completion of the 195,000 sq ft
best-in-class office redevelopment, the post-
period sale to State Street Corporation for
£333m (Helical share: £166.5m) completed on
20 May 2026. The full refurbishment of this highly
sustainable HQ building was delivered in 24
months and in line with the joint venture’s budget.
• Brettenham House, WC2 – Works are at an
advanced stage on the comprehensive
redevelopment of this c.128,000 sq ft 1930s
building, with completion due in August 2026.
During the year, two floors have reached sectional
completion and the external scaffolding has now
been dismantled, unlocking sweeping views of the
River Thames from the newly created terraces.
We are pleased to have been awarded a 5*
NABERS Design for Performance rating, verifying
the operational efficiency of the development.
• 10 King William Street, EC4 – This 142,000 sq ft
best-in-class City office development is due to
reach practical completion in December 2026.
Construction continues to progress well, with
the scheme topping-out in January 2026 and the
façade installation now complete. In a City office
market characterised by extremely limited
best-in-class space, 10 King William Street is
generating good letting interest. The scheme
will offer highly efficient and flexible 20,000 sq ft
floorplates, alongside a strong focus on occupier
wellbeing including a comprehensive wellness
suite and three levels of terracing.
• Southwark, SE1 – In February 2026,
we exchanged contracts with PfL’s newly
established operational platform to forward
fund the 429-unit purpose-built student
accommodation component of the scheme.
Operational highlights
In parallel, contracts were exchanged for the
forward sale of the adjacent 44-home affordable
residential building to Southwark Borough Council.
This transaction represents a significant de-risking
of the project, with the joint venture now only
taking delivery risk, with no exposure to
occupational or market risk. The use of this equity-
light structure should allow Helical the opportunity
to generate in excess of a 3.0x return on
investment. Having recently received listed
building consent, we await Gateway 2 approval
before starting construction, with delivery targeted
for the start of the 2029/30 academic year.
• Delta Paddington, W2 – In February 2026, our
joint venture with PfL completed the acquisition
of the Delta Paddington development site for
£55m (Helical share: £28.1m) and simultaneously
completed the £220m development financing
agreement. Following this, in March 2026, the
main construction contract was signed with
Mace, who will take possession of the site later
in the year once Keltbray complete the initial
enabling works package. Work to form the core
and basement has already commenced with
practical completion of this 240,000 sq ft
scheme targeted for Q3 2028.
• 63 Charterhouse Street, EC1M – In April 2026,
Helical and PfL received a resolution to grant
planning permission for the development of
a new c.55,000 sq ft office building on
underutilised operational land immediately
adjacent to the new London Museum in
Farringdon. The joint venture will now formalise
the acquisition of the site and continue design
development on the scheme prior to determining
an appropriate point to commence development.
Highlights
continued
Letting Activity
• The Tower, The Bower, EC1 – In March 2026,
we exchanged contracts to let the fitted fifth
and sixth floors (19,592 sq ft) of The Tower to
incident.io, an AI powered incident management
platform. This was followed in April 2026 by the
letting of the third floor (10,022 sq ft) to a tech
platform. Strong interest continues for the
remaining space, with terms agreed to let the
12th floor to a new occupier and regear terms
agreed with an existing occupier on a further
three floors.
• The Warehouse, The Bower, EC1 – Terms have
been agreed with an existing tenant to lease the
vacant seventh floor (12,398 sq ft) as expansion
space, whilst extending existing leases on its two
current floors.
• The Loom, E1 – 12,996 sq ft of existing leases
were renewed during the year at a 5.5% premium
to ERVs and four tenants moved within the
building at a premium to ERVs. Asset management
activity continues, with one letting during the year,
and two units currently under offer, set against
four tenants who vacated during the year.
Governance Financial Statements Further Information
02 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
• Achieved design stage BREEAM score for our
Delta Paddington, W2 project of 97.4%, making
it the second highest score for a new build office
development in the UK.
• BREEAM design stage certificates of
Outstanding were received for 10 King William
Street, EC4 and Brettenham House, WC2.
• Received our NABERS Design for Performance
Target Rating of 5* for Brettenham House, WC2.
Sustainability highlights
• Portfolio valuations increased by 0.5% on a
like-for-like basis, with the investment property
valuations decreasing 2.1%, while the development
portfolio valuations increased by 5.0%.
• The true equivalent yield of the investment
portfolio tightened by 0.2% from 7.1% to 6.9%.
• IFRS investment property portfolio value of
£368.7m (31 March 2025: £373.3m).
• See-through investment portfolio
1
valued
at £649.5m (31 March 2025: £535.4m).
• Contracted rents of the completed investment
portfolio increased 5% to £21.2m (31 March
2025: £20.2m), compared to an ERV of £29.1m
(31 March 2025: £29.3m).
• See-through portfolio WAULT
1
of 2.3 years
(31 March 2025: 3.1 years), increasing to 3.3 years
on completion of the lettings and regears at
The Bower, EC1 where terms have been agreed.
• Vacancy rate on completed assets decreased to
18.5% at 31 March 2026 (31 March 2025: 21.3%),
falling to 11.3% on completion of lettings at The
Bower, EC1 where terms have been agreed.
Portfolio update Financial highlights
Earnings and Dividends
• IFRS profit of £5.7m (2025: £27.9m).
• IFRS basic earnings per share of 4.6p (2025: 22.8p).
• See-through Total Property Return
1
of £23.0m
(2025: £52.1m):
–Net rental income of £15.4m (2025: £19.6m).
–Net gain on sale and revaluation of investment
properties of £2.7m (2025: £32.2m).
–Development profits of £4.9m (2025: £0.3m).
• EPRA earnings per share
1
of 4.5p (2025: 2.2p),
reflecting the increased development profits
recognised in the year.
• Final dividend proposed of 1.00p per share
(2025: 3.50p).
• Total dividend declared of 2.50p (2025: 5.00p).
• Further return proposed of £17m (13.9p) from the
realised profits on the sale of 100 New Bridge
Street, EC4, expected to comprise:
–£12m (9.8p) of capital return proposed
through a B Share Scheme, if approved by
Shareholders at a general meeting of the
Company expected to be held on 16 July 2026.
–£5m (4.1p) through a share buyback
programme expected to commence shortly.
• Proposed total return for the year of 16.4p
(2025: 5.0p).
Balance Sheet
• Net asset value of £425.4m (31 March 2025:
£426.1m).
• Total Accounting Return
1
on EPRA net tangible
assets per share of 2.3% (2025: 6.0%).
• EPRA net tangible asset value per share
1
increased to 351p (31 March 2025: 348p).
• EPRA net disposal value per share
1
increased
to 348p (31 March 2025: 347p).
Financing
• IFRS net borrowings of £140.8m (31 March
2025: £97. 2m).
• See-through net borrowings
1
of £239.2m
(31 March 2025: £112.8m).
• See-through loan to value
1
of 36.5% (31 March
2025: 20.9%).
• Pro-forma see-through loan to value
1
of 20.7%
following the sale of 100 New Bridge Street, EC4
and the proposed return of capital.
• Average maturity of the Group’s share
1
of
secured investment debt of 2.5 years (31 March
2025: 2.5 years).
• 100% of drawn debt protected by interest rate
hedging to expiry of facilities.
• Average cost of the Group’s share
1
of secured
investment facilities of 3.8% (31 March 2025: 3.8%).
• Group’s share
1
of cash and undrawn bank
facilities of £229.8m (31 March 2025: £244.5m).
1. See Glossary for definition of terms. The “see-through” performance measures are designed to give additional information about the Group’s
share of assets and liabilities, income and expenses in subsidiaries and joint ventures (see Appendix 1). The financial statements have been
prepared in accordance with International Accounting Standards (“IAS”) in conformity with the Companies Act 2006. In common with usual
practice in our sector, alternative performance measures have also been provided to supplement IFRS, including measures which are based
on the recommendations of the European Public Real Estate Association (“EPRA”).
Highlights
continued
Governance Financial Statements Further Information
03 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
The London real estate developer
We develop best-in-class,
sustainable central London real
estate meeting the needs of an
increasingly sophisticated and
evolving market.
We use our extensive knowledge
and experience, gained over
30 years and across 10m sq ft
of large-scale development,
to identify the best long-term value
use for each opportunity.
EXPERTISE &
INNOVATION
We have a flexible and
collaborative approach
to working with our partners
and stakeholders.
With a track record of working
with 46 equity and joint venture
partners, we structure each
opportunity to drive value whilst
ensuring our interests are aligned.
PARTNERSHIP
APPROACH
WE ARE
Governance Financial Statements Further Information
04 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
We are Helical
continued
A sustainable approach is at the heart
of all our activities. Using our defined
and clear “Built for the Future” strategy,
sustainability underpins our design and
construction philosophy.
SUSTAINABILITY
Our empowered team is made
up of driven and experienced
professionals who pride
themselves on embracing our
core values of integrity, excellence,
creativity, collaboration, dynamism
and sustainability.
We utilise our long-standing and
trusted network of high-quality
external consultants and
contractors to deliver at scale
whilst maintaining our own agility.
AGILE
TEAM
As a London Stock Exchange listed Group,
we are focused on creating Shareholder value,
utilising intelligent structures to make our equity
work harder.
Maintaining a robust financial position, we
leverage our strong corporate governance
framework and reputation to best serve our
partners and secure financing on accretive terms.
INTELLIGENT
VALUE CREATION
Gensler Photography
Governance Financial Statements Further Information
05 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Matthew Bonning-Snook
Chief Executive
Strategic Report
Our Strategy in Action
It has been an extremely active and productive
year, delivering upon our strategy of developing
best-in-class central London assets. We continue
to make our equity work hard using joint venture
and equity-light structures and our focus remains
on offices where, at the peak this year, we had
700,000 sq ft of development on site across
four schemes.
For each opportunity in our pipeline we look for
the best value use, such as at Southwark, SE1
where we have turned an equity-heavy office
development into an equity-light 429-unit PBSA
scheme which we have now forward funded,
alongside the forward sale of a 44-home
affordable housing element adjacent to the PBSA
building, de-risking the project which should drive
our return on investment. The three schemes in our
joint venture with PfL will be bolstered by a new
c.55,000 sq ft office development in Farringdon
after having successfully received a resolution
to grant planning permission last month.
That success across our development pipeline
has been mirrored at The Bower, EC1, our largest
investment asset, where short supply and an AI
driven tech market resurgence have seen material
letting progress. We have let c.20,000 sq ft in the
year, plus c.10,000 sq ft post year end and have
agreed terms on a further c.20,000 sq ft, leaving
only one floor available and taking occupancy
to over 96%. With regears agreed and close to
signing on c.50,000 sq ft, this asset continues
to provide a strong income base for the business.
Operationally, this year sees the full benefit of
the action taken to reshape the business, with
recurring overheads down c.21% on the prior year.
The Bower, EC1 and The Loom, E1 generate an
income surplus over administrative and finance
costs and, together with the impact of our growing
development management income from our joint
venture and equity-light structures, our EPRA EPS
has more than doubled to 4.5p (2025: 2.2p).
Chief Executive’s statement
DELIVERING ON
OUR STRATEGY
Further Information
Strategic Report Financial StatementsGovernance
06 HELICAL PLC Annual Report and Accounts 2026
The completion of the sale of 100 New Bridge
Street, EC4 to State Street Corporation allows
the majority of the proceeds to be used to reduce
our leverage and to propose a £17m return of the
realised profits to Shareholders, while maintaining
sufficient funds to take advantage of an
increasingly exciting market opportunity.
Results for the Half Year
Profit after tax for the year to 31 March 2026 was
£5.7m (2025: £27.9m). Following the disposals last
year, see-through net rental income reduced by
21.4% to £15.4m (2025: £19.6m). Our active
development pipeline generated significantly
increased see-through profits of £4.9m (2025:
£0.3m). The see-through net gain on sale and
revaluation of the investment portfolio was £2.7m
(2025: £32.2m).
Total see-through net finance costs reduced to
£5.0m (2025: £9.2m), largely due to the sale of
The JJ Mack Building, EC1 in October 2024 and
additional costs in the previous year related to the
refinancing of the Group’s Revolving Credit Facility.
There was a £2.3m net charge (2025: £3.3m) from
the valuation of the Group’s see-through derivative
financial instruments.
Recurring see-through administrative costs, before
performance related awards, decreased by 20.8%
from £7.6m to £6.0m. Performance related awards,
including National Insurance, decreased to £2.8m
(2025: £3.3m). Total see-through administrative
costs decreased by 19.2% from £10.9m to £8.8m.
Since 1 April 2022, Helical has been a REIT and
there was a £nil tax charge (2025: £nil) for the year.
IFRS basic earnings per share were 4.6p (2025:
22.8p) and EPRA earnings per share were 4.5p
(2025: 2.2p).
Overall, the portfolio value increased by 0.5%
with investment property valuations showing
a decrease on a like-for-like basis of 2.1%,
primarily as the result of minor revisions to ERV
and capital expenditure assumptions, while the
development portfolio value increased by 5.0%.
The see-through total investment portfolio value
increased to £649.5m (31 March 2025: £535.4m),
mainly reflecting the acquisition of the site at Delta
Paddington, W2, and the development expenditure
on 100 New Bridge Street, EC4 and 10 King William
Street, EC4, as well as a net valuation surplus of
£2.5m (31 March 2025: £25.2m).
The completed investment portfolio was 81.5%
let at 31 March 2026 (31 March 2025: 78.7%) and
generated contracted rents of £21.2m (31 March
2025: £20.2m). This increases to an ERV of £29.1m
on the letting of the currently vacant space and
capturing the reversion of the portfolio. The
Group’s contracted rent has a Weighted Average
Unexpired Lease Term (“WAULT”) to expiry at
31 March 2026 of 2.3 years (31 March 2025:
3.1 years), increasing to 3.3 years on completion
of the lettings and regears at The Bower, EC1
where terms have been agreed.
EPRA net tangible assets per share increased
to 351p (31 March 2025: 348p), with EPRA net
disposal value per share increasing to 348p
(31 March 2025: 347p). The Total Accounting
Return (“TAR”) on the growth in EPRA net tangible
assets per share, plus dividends paid in the year,
was 2.3% (2025: 6.0%).
Balance Sheet Strength and Liquidity
The Group has a significant level of liquidity with
see-through cash and unutilised bank facilities
of £229.8m (31 March 2025: £244.5m), and
a development pipeline with Helical’s equity
commitment fully funded. The see-through cash
and unutilised bank facilities comprises £15.5m
(2025: £61.2m) of cash deposits available to
deploy without restrictions and a further £14.3m
of rent in bank accounts available to service
payments under loan agreements, cash held at
managing agents and cash held in joint ventures.
In addition, the Group held rental deposits from
tenants of £8.8m. Furthermore, the Group had
£191.2m of loan facilities available to draw on.
Chief Executive’s statement
continued
The see-through loan to value ratio (“LTV”)
increased to 36.5% at the Balance Sheet date
(31 March 2025: 20.9%) and see-through net
gearing rose to 56.2% (31 March 2025: 26.5%)
reflecting the increased level of development
activity in the year.
At the year end, the average debt maturity of the
Group’s secured investment debt was 2.5 years
(31 March 2025: 2.5 years), after exercising the first
of two one-year extension options on the Group’s
Revolving Credit Facility. The average cost of debt
on this loan was 3.8% (31 March 2025: 3.8%).
Following the arrangement of the development
financing for Delta Paddington, W2, in February
2026, the weighted average cost of the Group’s
share of secured development debt in joint
ventures at 31 March 2026, excluding commitment
fees, was 7.7% (31 March 2025: 8.5%) and the
weighted average debt maturity was 3.3 years
(31 March 2025: 3.5 years). Each of the three
development debt facilities benefit from one-year
extension options.
The Group has mitigated against fluctuating
interest rates by having all of its facilities fully
hedged or at a fixed rate.
Asset Management
Our 334,000 sq ft campus at The Bower, EC1
sits on the newly peninsularised roundabout at
Old Street, extending the already generous public
realm and providing a much-improved connection
to the revamped underground station. The main
ground floor reception and café have been
significantly enhanced, and the remaining vacant
accommodation presents to the market in both
fitted and Cat-A finishes, with Beyond the Bower
providing a flexible serviced office provision on
the lower two floors.
It has been an extremely active
and productive year; highlights
included significant lettings at
The Bower, EC1 and progress
across our substantial office
development portfolio, with
over 700,000 sq ft having
been in build.”
Governance Financial Statements Further Information
07 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Chief Executive’s statement
continued
During the year we saw a material increase in the
level of occupier interest, fuelled by limited supply
in the City core and assisted by the resurgence in
AI driven tech demand, which resulted in c.30,000
sq ft of lettings, including c.10,000 sq ft post year
end. A further c.20,000 sq ft is currently under
offer and terms are agreed to regear an additional
five floors totalling c.50,000 sq ft.
At The Loom, E1 in Whitechapel, we completed
one new letting and regeared c.13,000 sq ft,
including our largest tenant. The short-term
nature of the leases and its location in a stubbornly
higher vacancy submarket continue to affect
occupancy levels.
Our Pipeline
The Group seeks to grow its business by
generating surpluses from its development
activities through valuation gains and development
management income, and the year to 31 March
2026 has seen significant progress across its
pipeline. Having acquired, financed and signed the
main construction contract at our 240,000 sq ft
development at Delta Paddington, W2, in February
2026, the Group had four office schemes, totalling
over 700,000 sq ft, under construction.
Subsequently, our 195,000 sq ft office scheme at
100 New Bridge Street, EC4 achieved practical
completion earlier this month, triggering
completion of the forward sale of the building to
State Street Corporation. A further 270,000 sq ft
of office space at Brettenham House, WC2 and
10 King William Street, EC4 are on track to be
delivered later in the year, with both best-in-class
assets well positioned to take advantage of the
strong rental growth being driven by a market with
very tight supply.
This pipeline is supplemented by our equity-light
429-unit PBSA scheme at Southwark, SE1, where,
in February 2026, the joint venture agreed a forward
funding with PfL’s newly established operational
platform and a forward sale of the affordable
housing element to Southwark Borough Council.
With no further equity required to be injected, this
has significantly de-risked the project and should
generate a very strong return on investment.
Additionally, in April 2026, our joint venture with
PfL successfully secured a planning consent for
63 Charterhouse Street, EC1M, a new c.55,000 sq ft
office development in Farringdon.
Capital Allocation and Returns
to Shareholders
As part of the strategy that I set out two years
ago when I took over as Chief Executive, we are
focused on maximising returns through judicious
capital allocation. One of the core tenets of this
approach is returning surplus capital from realised
development profits to Shareholders whilst
maintaining sufficient funds to allocate to new
opportunities which we believe will deliver
compelling returns. The completion of the forward
sale of 100 New Bridge Street, EC4 to State Street
Corporation, which was exchanged halfway into
its two-year development, returns over £95m of
equity to the business and allows us to deliver
upon this key element of our approach.
As previously stated, our dividend policy is to pay
out the Property Income Distribution (“PID”)
generated by the income surplus from our
investment portfolio, payment of which is a
condition of being a REIT, along with a share of
surplus realised profits from our development
activities, with the latter being the primary source
of growth and returns for the business.
Today we announce a final proposed PID dividend
of 1.0p, taking the total PID dividend for the year
to 2.5p. In addition, we are proposing a further
£17m distribution to Shareholders through a
combination of a capital return B Share Scheme
and a share buyback programme. This amount
reflects over half of the c.£31m profit realised on
the completion of the sale of 100 New Bridge
Street, EC4. In determining the most appropriate
level of the return, the Board took into account
a number of key factors.
Governance Financial Statements Further Information
08 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Our 195,000 sq ft office scheme at
100 New Bridge Street, EC4 achieved
practical completion earlier this month,
triggering completion of the forward sale
of the building to State Street Corporation.”
Chief Executive’s statement
continued
First, the current geopolitical tensions and their
potential impact on inflation and the cost of debt
meant that reducing our leverage was considered
of key importance. As such, the majority of the
proceeds will be used to pay down borrowing.
Second, we have a valuable joint venture
relationship with PfL providing access to new
opportunities and as part of that agreement there
are net asset requirements, given that we are
delivering complex projects above and alongside
transport assets. The level of net assets required
reflect the size and number of projects we have
ongoing at any one time, and we will always want
to maintain headroom to ensure we are not
prevented from delivering schemes when the
market suggests timing is optimum. At this time,
we believe that maintaining net assets of over
£400m provides sufficient headroom to meet
these objectives, but this will be continually
reassessed as the pipeline evolves. Third, our
Balance Sheet strength enables accretive project
level financing, both equity and debt, to be
sourced from the widest range of counterparties.
Finally, given the favourable market dynamics,
we are confident of adding highly profitable
opportunities to the pipeline and therefore seek
to retain sufficient proceeds to enable us to quickly
execute on these transactions.
In allocating the £17m between capital return and
share buybacks, the Board sought and considered
Shareholder feedback and broker advice, taking
into account the Group’s current share price and
share liquidity. As a result, the Board is proposing
to allocate £12m to the capital return and £5m to
share buybacks. The capital return will be in the
form of a B Share Scheme, followed by a share
consolidation to maintain share price
comparability, and is expected to be paid in
August 2026 following approval by Shareholders
at the GM, timed to coincide with the date of the
AGM. The £5m share buyback programme is
expected to commence shortly.
Board Changes
As previously announced, the Board was pleased
to welcome Martina Malone, Non-Executive
Director, to the Board on 1 September 2025.
Martina brings 30 years of finance, banking and real
estate experience and serves on the Nominations,
Remuneration and Audit and Risk Committees.
During the year, our Senior Independent Director,
Sue Farr, stepped into the role of designated Non-
Executive Director for workforce engagement.
Sue was formally appointed to the position by the
Board in July 2025 and has since commenced a
programme of engagement with the Helical team.
At the end of April 2026, Richard Cotton stood
down as Board Chair, Nominations Committee
Chair and Director of the Company. Richard
oversaw the Company’s revised strategy in 2024
and the appointment of its current Executive
leadership team. Richard was succeeded by
Robert Fowlds, who took over as independent
Non-Executive Chair on 1 May 2026. Robert also
became Chair of the Nominations Committee
and stood down from the Audit and Risk
Committee. Robert has extensive experience
in real estate and corporate finance and is an
accomplished non-executive director with a
strong understanding of stakeholder relations.
Outlook
Despite a backdrop of heightened geopolitical
tension, London stands as one of the most
dynamic and culturally significant global cities. Its
economy thrives across diverse sectors including
finance, technology, creative industries, education
and tourism, offering opportunities that attract
ambitious professionals and entrepreneurs from
across the globe. The central London office
market continues to be characterised by strong
occupier demand and a constrained development
pipeline, supporting the current and forecast
sustained rental growth for best-in-class buildings.
Many development opportunities in London are
unlikely to see their potential realised, with their
current owners either not having the expertise
or resource to navigate a challenging planning
environment or access to quality contractors, who
increasingly will only work with the most reliable
partners and are essential to be able to deliver
a building of the highest quality. We see this as
a significant opportunity for our business and will
look to utilise equity-light structures similar to that
adopted at Brettenham House, WC2 to help
unlock sites that would otherwise be unavailable.
Following the successful receipt of planning
consent, we are looking forward to adding
63 Charterhouse Street, EC1M to our existing
schemes at 10 King William Street, EC4,
Southwark, SE1 and Delta Paddington, W2, in
our long-term joint venture with PfL. As one of
the largest landowners in London, Transport for
London and its property business PfL have access
to well-located sites on or adjacent to numerous
major transport hubs and we will continue to
progress further exciting opportunities such as
with the PBSA-led development in White City.
In a market of increasingly constrained supply,
with a very limited number of new projects
starting, demand is driving rental growth as
occupiers act to ensure they don’t miss out.
Following our successful development at
100 New Bridge Street, EC4, forward sold for
owner occupation 12 months prior to completion,
and with two more office developments on track
to complete within the next eight months, we are
very confident we will capitalise on the progress
made over the last year and realise material
near-term upside for Shareholders through letting
this space at rents significantly ahead of the
original underwrite.
Matthew Bonning-Snook
Chief Executive
21 May 2026
Governance Financial Statements Further Information
09 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
We have acquired, financed and
started on site at our new office
scheme Delta Paddington, W2
and forward funded our student
development at Southwark, SE1,
whilst simultaneously forward
selling the affordable
housing element.”
10 HELICAL PLC
Our market
Overview
Against a backdrop of heightened geopolitical
tension, ongoing trade disruption and volatility
across global capital markets, central London’s
office market has continued to demonstrate
resilience. Leasing momentum across well located,
best-in-class buildings has strengthened, with
occupiers committing ever earlier in the cycle,
and the majority taking more space than before
through a combination of anticipated increases
in headcount and reduced occupational density
as fit outs favour a variety of environments better
suiting their employees and clients. Helical’s
experience during the year reflects this trend, with
a significant uptick in letting activity at The Bower,
EC1 and enquiries at our development projects
under construction.
Supply constraints have been exacerbated by
elevated construction costs, a higher cost of
capital and a planning framework increasingly
focused on retrofit first principles. Collectively,
these factors have extended delivery timelines
and weighed on development viability,
suppressing new starts despite high levels of
active demand and ongoing rental growth. As
a result, schemes with a clear path to delivery,
funding certainty and contracted construction
are increasingly advantaged.
Capital markets remain subdued, but confidence
in future performance continues to be underpinned
by London’s scale, global connectivity and depth
of occupier demand, reinforcing its position as a
preferred location for internationally mobile capital,
particularly when geopolitical instability makes
alternative investments less attractive.
MARKET
EXPERTISE
Governance Financial Statements Further Information
10 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
This long-term resilience is further underpinned
by the breadth of London’s globally leading
specialisms, beyond that of just traditional financial
and professional services, notably its position as a
world leading centre for education, research and
innovation. JLL research ranks London among the
top global markets for innovation output and skilled
talent concentration, driven by the co-location of
leading universities, research institutions and private
capital, with the city’s expanding AI ecosystem
further reinforcing its competitiveness for occupiers
and investors alike.
Our strategy, centred on capital efficient
development in partnership, remains well
aligned with these conditions. With multiple
schemes now significantly de-risked through
planning, funding and construction, Helical is very
well positioned to capture further upside through
disciplined execution.
Occupational Market
Occupier demand across central London remains
robust and increasingly focused on quality. Leasing
activity in early 2026 has been supported by
elevated levels of active demand and growing
urgency among occupiers operating within a
supply constrained environment. Central London
take up reached 2.2m sq ft in Q1 2026, representing
the strongest first quarter performance since 2022.
According to Savills, Grade A space accounted
for approximately 92% of central London leasing
volumes in Q1 2026, with occupiers prioritising
buildings with excellent connectivity to key
transport modes, which enhance the employee
experience and wellbeing, are tech enabled, and
which meet the highest sustainability certifications.
These dynamics are likely to be sustained over
a prolonged period, with London forecast to
generate approximately 186,000 additional
office-based jobs over the next five years, materially
outpacing other major European commercial
centres. This demand is set against an increasingly
constrained supply environment, with take up of new
and comprehensively refurbished offices having
consistently exceeded completions since 2019,
evidencing a structural imbalance between demand
and available supply. New build vacancy across
central London has compressed to approximately
1.1%, reflecting limited speculative delivery and
sustained absorption of high-quality space.
These factors are driving accelerating levels of
rental growth, with prime City rents recording a
further 5.1% increase during 2025, while West End
prime rents rose by 12.9% over the year.
Early commitment has been a defining feature
of the current market. Nearly 30% of first quarter
take up was secured ahead of completion, while
active demand stood at approximately 14.6m sq ft,
57% above the long-term average and driven by a
sustained cohort of large occupiers, including over
30 occupiers looking for space over 100,000 sq ft.
This reflects that occupiers are acting earlier to
secure preferred space in an environment of
diminishing choice.
For smaller footprint occupiers, demand for
fitted and managed solutions is being driven by
a desire to focus on core business activity while
outsourcing facilities management, alongside a
preference for shorter commitments to maintain
flexibility. At The Bower, EC1, we have responded
to this demand through the use of third-party
facilities management businesses to provide
these additional services.
Against this positive background, occupiers’ stay
versus go decision making is being impacted by
elevated fit out costs and their effect on cash
flows. A growing number of occupiers are opting
to regear leases, pushing lease events out and
seeking to extract greater value from existing
buildings rather than incur the significant capital
expenditure associated with a major move. For
expanding businesses this has often meant
displacing other occupiers in a building who have
taken the opportunity to seek new premises more
suited to their needs whilst avoiding dilapidations
payments at the end of their lease.
In the short-term, artificial intelligence is having
a net positive impact on occupier demand,
supporting business growth and expansion
beyond early stage, venture-backed firms alone.
While some near-term volatility and disruption is
expected, AI adoption is increasingly anticipated
to underpin productivity-led growth, the
emergence of new industries and expansion
across existing businesses. Importantly, this
demand is not confined to the technology sector,
but is increasingly being driven by mature, cash
generative organisations and by the integration
of AI across more traditional sectors.
Our market
continued
Our tenant make-up
Technology and Innovation 45%
Online retailing 16%
IT Consultancy 7%
Advertising/Marketing 6%
Media 6%
Restaurants 5%
Human Resources 5%
Financial Products 5%
Business Consultancy 3%
Government/charity 2%
Governance Financial Statements Further Information
11 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
In the short-term, artificial intelligence is having a net
positive impact on occupier demand, supporting
business growth and expansion beyond early stage,
venture-backed firms alone.”
Our market
continued
Against this backdrop, certainty of timing,
specification and execution has emerged as
a primary source of competitive advantage.
Schemes able to demonstrate clear programme
visibility, evidence-based deliverability and
flexibility to accommodate late stage occupier
requirements are consistently outperforming. In
this environment, projects with secured planning,
contracted construction and committed financing
are best positioned to deliver into the tightest point
of the supply cycle.
Helical continues to assess alternative uses for
selected office-led sites where location, planning
context and demand fundamentals support a
change in approach. London’s position as a global
education and innovation hub is increasingly
relevant in this regard, with JLL research
identifying London as likely to become Europe’s
leading centre for artificial intelligence research
and capital formation, supported by the
concentration of world leading universities
including Imperial College London, University
College London and King’s College London.
Conclusion
Central London’s office market continues to be
characterised by strong occupier demand and
a constrained development pipeline, supporting
sustained rental tension for high-quality assets.
Market outcomes are increasingly determined
at an asset level, with quality, micro location
and certainty of delivery playing a defining role.
Investment and development performance in
this phase of the cycle will reward disciplined
capital allocation, clear underwriting and effective
execution within complex planning, procurement
and delivery environments.
Investment Market
Central London investment volumes totalled
approximately £8.8bn over the four quarters to Q1
2026, below historic averages but reflective of
restricted supply rather than diminished investor
appetite. Investors remain cautious and highly
selective, with activity concentrated on core plus
assets offering secure income profiles, clear rental
reversion or credible asset management and
development strategies.
London continues to attract deep and diverse
sources of capital. Between 2023 and 2025, the
city attracted an average of £6.9bn per annum
of cross border investment, materially ahead of
other European peers. European and US investors
remain the most active cohorts, reinforcing
London’s position as Europe’s most liquid and
internationally recognised office investment market.
Recent large lot transactions, despite the
ongoing conflict in the Middle East, continue to
demonstrate returning conviction in best-in-class
central London assets, particularly where quality,
sustainability and long-term income visibility are
evident. In Q1 2026, seven transactions over
£100m were completed, representing 51.3%
of market activity.
Recent events have adversely impacted market
expectations regarding near-term cuts to base
rates. Given the close correlation between base
rates and prime yields, and the narrow relative
spreads currently evident, any short-term inward
movement in yields appears unlikely. However,
credit availability remains abundant, and
competitive tension is driving lower margins,
enabling investor levered returns to be satisfied
in the current environment.
Taken together, these dynamics mark a transition
from a phase dominated by valuation correction
to a buying opportunity increasingly defined by
selectivity, discipline and conviction.
Against this backdrop, Helical remains focused on
adding to its pipeline through selectively secured
opportunities in favourable sub-markets, both on
and off market and via our PfL joint venture, with
a view to delivering into this period of sustained
supply constraint. The recent grant of planning
consent at 63 Charterhouse Street, EC1M provides
a clear example of this approach, strengthening
the future pipeline whilst preserving flexibility
around timing and delivery.
Where office-led schemes lend themselves to
alternative uses, particularly in locations proximate
to leading universities or established innovation
clusters, the Group will continue to explore such
opportunities. Consistent with Helical’s strategy,
the focus will remain on the delivery of high-quality
schemes delivering attractive returns, without
taking operational market risk, as successfully
demonstrated through the forward funded
structure at Southwark, SE1.
With a significantly de-risked development
programme, evidence of sustained occupier
demand and a carefully selected future pipeline
taking shape, Helical is well positioned to capture
significant development profits for these projects
and deliver capital growth for its Shareholders.

Development Pipeline
Development viability across central London
remains demanding with new office construction
starts down 35% year on year. Elevated
construction costs, a selective contractor market,
higher financing costs and longer, more complex
planning processes continue to suppress new
starts, even in the context of sustained rental
growth. As a result, development activity is
increasingly concentrated among parties with
the balance sheet strength and execution
capability required to materially de-risk schemes
ahead of construction.
While construction cost inflation has moderated,
recent geopolitical instability is likely to drive
renewed cost pressures. Tender prices increased
by approximately 2.8% year on year in Q1 2026, with
labour availability and compliance requirements
increasingly cited as the primary drivers. Contractor
appetite to tender has improved but remains
selective, with programme risk, contractual terms
and covenant strength influencing bid behaviour.
Central London office space under construction
has fallen to approximately 16.6m sq ft, down from
18.6m sq ft a year earlier, with around 42% already
pre let or under offer. Set against approximately
28.1m sq ft of lease expiries expected over the
next three years, this reinforces the structural
undersupply of best-in-class space and the
strategic importance of delivery certainty. In
parallel, secondary and fringe office stock is
increasingly being worked through the system
via alternative use consents, further constraining
future commercial supply in core locations.
Governance Financial Statements Further Information
12 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Sustainability and Net Zero Carbon
Helical has had a milestone year continuing to
deliver on three landmark projects – 100 New
Bridge Street, EC4, 10 King William Street, EC4,
and Brettenham House, WC2, and starting on site
at a fourth – Delta Paddington, W2. We have
continued to push the envelope in terms of
sustainable construction, driving down emissions
as much as possible through intelligent design and
ensuring there is a clear brief to design teams that
sustainability is at the heart of our developments
and should be a priority. This core principle
enables sustainability to be woven into the
development from day one and allows Helical to
deliver market leading buildings with the highest
ESG credentials, with all developments targeting
EPC A, NABERS 5* and above, BREEAM
Outstanding/Home Quality Mark of 4* and
WELL Shell and Core Platinum.
Our partnership with PfL is also core to Helical
driving change in the sustainability sphere as
both partners within the joint venture believe in
delivering a built environment that benefits the
local community whilst limiting our environmental
impact. Our partnerships with them on both their
Educational Engagement Programme and Skills
& Employment Programme have continued to
flourish this last year, with Helical engaging with
nearly 200 young people across nine boroughs
and enabling more than 30 new career starts.
With the uncertainty around energy supplies now
more elevated than ever, the operational efficiency
of our buildings has become a crucial part of
delivering low-carbon, energy resilient buildings
that not only focus on greener energy supplies and
technologies but also the reduction of the baseline
energy load. To this effect, NABERS has now
firmly embedded itself within our identity, with all
development projects currently targeting NABERS
5* ratings as a minimum, and Delta Paddington,
W2 targeting a 5.5* rating, Helical’s highest to date.
Helical’s investment portfolio has remained steady
this year, with The Bower, EC1 and The Loom, E1
being retained and no new investment properties
acquired. We continue to develop the feasibility
study looking into the decarbonisation of The
Bower, EC1, understanding what technology can
be used to replace the use of gas. At The Loom, E1,
we’re currently undertaking a NABERS assessment
to verify and understand how efficient the building
is and we are targeting a 4* rating with the
assessment expected to be completed in 2026.
Since its release six years ago, our “Built for the
Future” sustainability strategy has guided our
approach across the development and investment
portfolios. In that time, we’ve established ourselves
as one of the most sustainable developers in
London, achieving a GRESB rating of 88/100, CDP
rating of B and an EPRA sBPR Gold Certificate,
and we have reduced our Scope 1 and 2 emissions
by a combined 42%. Over this period we, along
with the wider development industry, have gained
a greater understanding of the scale of the task to
drive the built environment towards net zero. As
such, we feel that now is the right time to refresh
our sustainability strategy and expect to announce
our new approach in the following months.
A SUSTAINABLE
APPROACH
Governance Financial Statements Further Information
13 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Integrity
Our people &
relationships
Growth
Liquidity
& financial
management
Asset
selection
Sustainable
Excellence
Creative
Collaboration
Dynamic
Sustainability
To create inspiring and sustainable spaces for
occupiers t o thriv e an d communities t o f lo urish.
Guided by
our Culture
and Values
To be London’s most innovative, accomplished
and respected real estate developer.
Driven by
our Strategic
GOALS
O
u
r
P
u
r
p
o
s
e
O
u
r
V
i
s
i
o
n
G
O
A
L
S
Our strategic framework is designed to
create long-term, sustainable growth
and value for our stakeholders.
OUR
STRATEGY
Governance Financial Statements Further Information
14 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Strategic Goal: Strategic Goal:
Our strategy
continued
Maximise Shareholder returns
through realising development
and income surpluses.
Attract and retain the best people, encouraging their
development and progression to ensure future succession
is secured. Maintain our excellent reputation and network
of property sector contacts, trusted partners and advisors.
Strategic Priorities
Deliver long-term sustainable growth.
Clear focus on Total Shareholder Return, delivering capital growth
in a manner consistent with our Vision.
Purpose and Values embedded effectively in the operational
policies, practices and Culture of the Group.
Incentivise management to outperform the Group’s competitors
by setting challenging performance targets, against which rewards
are measured.
2025/26 Performance Indicators
— EPRA NTA
— EPRA earnings per share
Strategic Priorities
An empowered core team of professionals supported by a trusted
set of external consultants and contractors ensuring quality and
efficiency.
Continue to work with joint venture (“JV”) partners to increase
project scale whilst managing risk.
Strong relationships and market reputation to generate off-market
development opportunities.
Clear plan for succession.
2025/26 Performance Indicators
— Staff Retention
— Length of Employee Service
GROWTH OUR PEOPLE &
RELATIONSHIPS
Governance Financial Statements Further Information
15 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Our strategy
continued
Using our extensive market knowledge
and experience, we deliver the right
scheme to the highest quality.
Operate a sustainable capital structure in which the
core business costs are covered by rental income
and development fees, using gearing on a tactical
basis throughout the cycle to accentuate returns.
Strategic Goal: Strategic Goal:
Strategic Priorities
Acquire assets in London using our Balance Sheet, JVs and
equity-light structures, delivering capital and income returns from
development activity and asset management.
Locate sites where complexity presents opportunity to add
significant value through creative development schemes.
Continue a Culture that is committed to the highest standards
in health and safety.
Improve the communities in which we are active and ensure
sustainability underpins our approach.
2025/26 Performance Indicators
— Total Property Return
Strategic Priorities
Maintain an appropriate risk-adjusted LTV.
Use of JV structures to manage risk and maximise returns.
Strong banking relationships for quick access to finance.
Maintain liquidity to cope with market fluctuations and take
advantage of opportunities as they arise.
2025/26 Performance Indicators
— See-through average cost of secured facilities
— See-through loan to value
ASSET
SELECTION
LIQUIDITY
& FINANCIAL
MANAGEMENT
Governance Financial Statements Further Information
16 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Our strategy
continued
Ensure that sustainability is at the heart of all our business
decisions, futureproofing our developments for the benefit
of our stakeholders.
Strategic Goal:
Priorities for 2027
and beyond
— Capitalise on new letting interest to reduce
vacancy and deliver rental upside
— Complete the developments at Brettenham
House, WC2, 10 King William Street, EC4,
Delta Paddington, W2 and Southwark, SE1.
— Fund and develop the site at
63 Charterhouse Street, EC1M
— Add to our successful Places for
London JV pipeline
— Acquire new opportunities with a focus on
JV and equity-light structures
— Maintain effective channels of engagement
with our stakeholders
Strategic Priorities
Transition to a net zero carbon business.
Buy, use and reuse resources efficiently.
Bring social, economic and environmental benefits to the areas
in which we operate.
Design and operate our buildings to support health and wellbeing.
2025/26 Performance Indicators
— BREEAM
— NABERS
— EPC
— Staff volunteering
SUSTAINABILITYLIQUIDITY
& FINANCIAL
MANAGEMENT
Governance Financial Statements Further Information
17 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Working for the long-term benefit of our
stakeholders, local communities and the
environment drives the decisions we make.
OUR BUSINESS
MODEL
Governance Financial Statements Further Information
18 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Our business model
People, Values and Culture
– A team of motivated, qualified, empowered
and experienced people.
Market Expertise
– Comprehensive knowledge of markets in
which we operate, built through multiple
property cycles.
Relationships and Reputation
– Extensive network of JV partners
and industry contacts.
– Long-standing reputation for speed of
execution and excellence in delivery.
– Carefully selected network of market
leading professionals and contractors with
whom we have long-standing relationships
to execute our development activities.
Financing
– Strong financial position with access to a
variety of sources of funding, from shareholder
capital to external equity and debt.
Governance and Risk
– Robust governance and risk management
systems overseen by experienced Board.
Resources –
3
– Source opportunities to create
best-in-class buildings
– Efficient funding through JV
or equity-light structures
– Determine best use, creative design
and obtain planning consent
– Secure accretive debt financing
Long-term, sustainable growth
Best-in-class reputation
Strengthened relationships
and broadened network
Capital recycling/reinvestment
Value creation –
L
e
t
&
A
s
s
e
t
M
a
n
a
g
e
Exit
4
Acquire & Structure
1
D
e
v
e
l
o
p
2
– Assemble and oversee
experienced and agile
professional teams
– Effective project management
focused on health and safety
and sustainability
– Reliable procurement
and timely delivery
– Innovative building techniques,
including off-site assembly
– Flexible offering tailored
to tenant demand
– Speed of execution
– Technology used to drive
efficiency and sustainability
– Continuous tenant engagement
Governance Financial Statements Further Information
19 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
351p
EPRA NET TANGIBLE ASSET
VALUE PER SHARE
Description The Group’s main objective is to maximise growth in net asset value per share, which
we seek to achieve through the generation of development surpluses, increases in
investment portfolio values and retained earnings from other property-related activity.
EPRA net tangible asset value per share is the property industry’s preferred measure
of the proportion of net assets attributable to each share as it includes the fair value of
net assets on an ongoing long-term basis. The adjustments to net asset value to arrive
at this figure are shown in Note 34 to the financial statements.
Performance The Group targets increasing its net assets, of which EPRA net tangible asset growth
is a key component.
The EPRA net tangible asset value per share at 31 March 2026 increased to 351p
(31 March 2025: 348p).
Link to
remuneration
Performance Share Plan 2024
See Total Accounting Return.
Link to
strategic goals
• Growth
Key performance indicators
We measure our performance against our strategic objectives, using
several financial and non-financial Key Performance Indicators (“KPIs”).
The KPIs have been selected as the most
appropriate measures to assess our progress
in achieving our strategy, successfully applying
our business model and generating value for
our Shareholders.
Following a review, it has been determined that
since the MSCI Property Index no longer has an
impact on Directors’ remuneration it is not
considered a KPI.
2.3%
TOTAL ACCOUNTING RETURN
2024
2025
2026
2023
2022
6.0%
2.3%
-30.6%
-11.9%
9.2%
Description Total Accounting Return is based on EPRA net tangible assets per share and is the
growth in the EPRA net tangible assets per share of the Group plus dividends paid in
the year per share, expressed as a percentage of the EPRA net tangible assets per
share at the beginning of the year.
Previously the Group had two measures of Total Accounting Return, one based on IFRS
net assets and the other based on EPRA net tangible assets, both of which were absolute
rather than per share measures. These have been replaced by a single measure based
on EPRA net tangible assets and calculated on a per share basis as this is considered to
be more valuable to the user of the accounts and is more in line with industry practice.
Performance The Group targets a Total Accounting Return of 10%.
The Total Accounting Return on EPRA net assets per share in the year to 31 March 2026
was 2.3% (2025: 6.0%).
Link to
remuneration
Performance Share Plan 2024
33% of the maximum PSP award in 2026 will be based on the Group’s absolute EPRA
Total Accounting Return.
Link to
strategic goals
• Growth
OUR PERFORMANCE
Governance Financial Statements Further Information
20 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
2024
2025
2023
2022
2026
348p
351p
331p
493p
572p
Key performance indicators
continued
-8.91%
TOTAL SHAREHOLDER RETURN
Description Total Shareholder Return is a measure of the return on investment for Shareholders.
It combines share price appreciation and dividends paid to show the total return to
Shareholders expressed as an annualised percentage.
Performance The Group targets being in the upper quartile when compared to its peers.
The Total Shareholder Return in the year to 31 March 2026 was -8.9% (2025: -3.9%).
Link to
remuneration
Performance Share Plan 2024
67% of the maximum PSP award in 2026 will be based on the Group’s absolute and
relative TSR performance.
Link to
strategic goals
• Growth
2024
2025
2023
2022
2026
12.1
11.8
12.4
13.2
11.8
2024
2025
2023
2022
2026
8.7
4.3
16.8
7.7
3.7
11.8yrs
4.3%
AVERAGE LENGTH OF
EMPLOYEE SERVICE
Description A high level of staff retention remains a key feature of Helical’s business. The Group
retains a highly skilled and experienced team with an increasing length of service.
Performance The Group targets staff turnover to be less than 10% per annum.
The average length of service of the Group’s employees at 31 March 2026 was
11.8 years and the average staff turnover during the year to 31 March 2026 was 4.3%.
Link to
remuneration
In addition to providing competitive salary and benefits packages to its staff, Helical
also operates longer-term share-based incentive plans as set out below that are
designed to encourage staff retention over a long period.
Annual Bonus Scheme 2018
Deferred shares awarded under the Annual Bonus Scheme 2018 are required to be
held for a period of three years.
Performance Share Plan 2014 and 2024
These awards have a three-year vesting period and Executive Directors are required
to hold them for a further two years after they vest.
Share Incentive Plan 2022
These awards are made to all staff and are required to be held for a period of three years.
Link to
strategic goals
• Our people & relationships
Average length of service at 31 March – years
Staff turnover during the year to 31 March – %
AVERAGE STAFF TURNOVER
Governance Financial Statements Further Information
21 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Building BREEAM rating EPC rating
Completed properties
The Warehouse and Studio, EC1 Excellent (2014) B
The Tower, EC1 Excellent (2014) B
The Loom, E1 Very Good (2014) B
Development pipeline
100 New Bridge Street, EC4 Outstanding (2018)
1
A
2
10 King William Street, EC4 Outstanding (2018)
2
A
2
Brettenham House, WC2 Outstanding (2014)
2
A
2
Southwark PBSA, SE1 Outstanding (2021)
2
A
2
Delta Paddington, W2 Outstanding (2021)
2
A
2
1 Design stage certificate.
2 These are the targeted ratings upon submission for assessment.
Key performance indicators
continued
Governance Financial Statements Further Information
22 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
BREEAM AND EPC RATINGS
Description BREEAM is an environmental impact assessment methodology for real estate assets.
It sets out best practice standards for the environmental performance of buildings
through their design, specification, construction and operational phases. Performance
is measured across a series of ratings, Pass, Good, Very Good, Excellent and
Outstanding.
Performance The Group targets a BREEAM rating of Outstanding on all major refurbishments and
new developments, and as of 31 March 2026, seven of our buildings had achieved,
or were targeting, a BREEAM certification of Excellent or Outstanding.
Link to
remuneration
Annual Bonus Scheme 2018
10% of the maximum annual bonus is payable based on meeting ESG objectives.
Link to
strategic goals
• Sustainability
At The Loom, E1, it was not possible to obtain a BREEAM certification at the design or development
stage, however, the building has achieved a BREEAM In Use rating of Very Good, which is a high
accolade given the listed status of the building, and an EPC rating of B.
Energy Performance Certificates (“EPC”) provide ratings on a scale of A–G on a building’s energy
efficiency and are required when a building is constructed, sold or let.
In the year, BREEAM design stage certificates of Outstanding were received for 10 King William Street,
EC4, Brettenham House, WC2 and Delta Paddington, W2.
Key performance indicators
continued
Our portfolio
Focused on central London, the Helical portfolio comprises investment
assets we have created and an exciting pipeline of development schemes,
each designed to the very highest standards to enable their occupiers to
thrive and benefitting the communities in which they are located.
OUR FOCUSED
PORTFOLIO
Governance Financial Statements Further Information
23 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
5
2
4
1
3
7
8
6
Our portfolio
continued
1
100 New Bridge Street, EC4
2
Brettenham House, WC2
3
10 King William Street, EC4
4
Southwark, SE1
5
Delta Paddington, W2
6
63 Charterhouse Street, EC1
7
The Bower, EC1
8
The Loom, E1
Property overview
Helical’s central London-focused portfolio
comprises a mix of standing investments and a
development pipeline, located in highly connected,
supply constrained markets and delivered to best-
in-class sustainability standards. Through this
portfolio, Helical seeks to create long-term
shareholder value through a strategy that combines
development driven capital growth with the active
asset management of its income producing
investment assets.
During the year, strong progress was made across
the portfolio, including improved leasing momentum
at The Bower, EC1, the completion and disposal of
a major City office development, and continued
construction progress on the three schemes held
in joint venture. Looking ahead, the Group remains
focused on expanding the pipeline through equity-
light strategies and partnership structures, and has
secured planning consent for a further office
development in Farringdon.
Places for London joint venture
Helical’s long-term joint venture with PfL, the
wholly owned property company of Transport for
London, comprises three initial seed sites set to
deliver over 385,000 sq ft of best-in-class office
accommodation and a market leading PBSA
scheme. The joint venture is focused on delivering
highly sustainable developments in central London
locations with exceptional transport connectivity.
The pipeline was further strengthened during the
year with the resolution to grant planning consent
at 63 Charterhouse Street, EC1M. In addition,
feasibility studies are being undertaken on
additional sites across the PfL estate to support the
continued expansion of the joint venture pipeline.
SOUTHWARK OSD
P. 25
P. 26
P. 2 7
P. 28
P.30
P. 29
63 CHARTERHOUSE
P.31
P.32
Governance Financial Statements Further Information
24 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Our portfolio
continued
Development portfolio
Practical completion of this 195,000 sq ft best-
in-class office redevelopment was achieved on
12 May 2026, bringing the development phase
of the project to a close. The comprehensive
refurbishment of the building was undertaken
over a 24 month period and delivered in line
with the budget set upon formation of the 5050
joint venture with Orion Capital Managers. The
development spans ground plus ten upper floors,
adding c.30,000 sq ft to the original building,
and includes four new terraces, most notably
a 7,450 sq ft eighth-floor terrace providing
exceptional views of St Paul’s Cathedral and
across central London.
Following completion, on 20 May the building was
formally handed over to State Street Corporation,
who will commence their fit out works later in
the year before opening their new London
headquarters in 2027. This marks completion of
the forward sale of Helical Bicycle 3 Limited, the
corporate entity that owns 100 New Bridge Street.
The forward sale completed at a net price of
£333m (Helical share: £166.5m), reflecting a
capital value of £1,712 per sq ft, based upon a
5.0% capitalisation yield, underscoring the quality
of the asset and continued demand for prime,
high-quality office space in central London.
The scheme was designed to deliver best-in-class
workspace with leading sustainability, wellness
and technology credentials, achieving BREEAM
Outstanding and a NABERS Design for
Performance Reviewed Target Rating of 5*,
and EPC A, WELL Shell & Core Platinum
and WiredScore Platinum accreditations.
100 NEW BRIDGE
STREET, EC4
Gensler Photography
Governance Financial Statements Further Information
25 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Brettenham House is a c.128,000 sq ft 1930s
landmark Art Deco office building located
between The Savoy and Somerset House at
Waterloo Bridge. Occupying a prime position
on the “elbow” of the River Thames, the property
benefits from exceptional river views from all floors
and a highly prominent frontage in one of central
London’s most amenity-rich locations.
Works are at an advanced stage on the
comprehensive redevelopment of the building,
with completion anticipated in August 2026.
During the year, two floors achieved sectional
completion and the external scaffolding was
dismantled, allowing the outstanding river
views from the newly created terraces to
be fully appreciated.
The refurbishment involves the substantial
remodelling of the building while carefully restoring
its historic façade and Art Deco features, including
two marble-clad staircases. The completed
scheme will deliver prime office accommodation
with enhanced amenities, including five external
terraces, a triple-height reception and a new
dedicated entrance accessed via Savoy Street.
Our portfolio
continued
The development is targeting the highest
sustainability, wellness and performance
standards, including EPC A, BREEAM
Outstanding, NABERS 5* and WELL Shell & Core
Platinum, repositioning Brettenham House as a
highly sustainable, character-led office building
satisfying modern occupiers’ requirements.
Helical is delivering the project to the owner via
a development management agreement, which
will generate £2.5m of development management
fees. In addition, Helical continues to co-invest in
an equity-light manner during the construction
phase via a £12.5m secured loan, with a profit
share linked to rental performance payable
once the building is successfully let.
BRETTENHAM
HOUSE, WC2
Governance Financial Statements Further Information
26 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
10 King William Street is a 142,000 sq ft new build
office development in the heart of the City of
London, positioned directly above the southern
entrance to Bank Underground station. Designed
by Fletcher Priest Architects, the building will
provide best-in-class office accommodation
arranged over ground, mezzanine and seven
upper floors once completed in December 2026.
The prominent island site enables virtually
column-free office floors of approximately
20,000 sq ft, organised around a central core.
This configuration maximises natural light across
all elevations and provides impressive views,
including towards the City Tower Cluster,
historic Abchurch Yard and The Monument.
The scheme has been conceived to meet
the requirements of modern occupiers, with
a strong emphasis on sustainability and
workplace wellbeing. Amenity provision
includes a comprehensive wellness suite
and approximately 7,000 sq ft of external
terracing across three levels, with upper terraces
offering uninterrupted views across the City.
The development also delivers meaningful
public realm enhancements, including the
reconfiguration of Abchurch Lane into a
pedestrian prioritised shared surface.
The building is targeting leading sustainability
credentials, including BREEAM Outstanding,
NABERS 5*, WELL Shell & Core Platinum
and EPC A.
The building topped out in January 2026 and
remains on programme to achieve practical
completion in December 2026, with façade
works complete and internal fit out progressing
well. In a City office market characterised by a
limited supply of new, best-in-class space, the
scheme is generating good letting interest ahead
of completion.
Our portfolio
continued
10 KING WILLIAM
STREET, EC4
Governance Financial Statements Further Information
27 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
During the year, Helical, in joint venture with PfL,
conditionally exchanged contracts on a forward
funding agreement with PfL’s own newly
established PBSA platform for the PBSA element
of the Southwark scheme, valuing the 429-unit
PBSA building at over £200m on completion.
The affordable housing element, which will deliver
44 homes adjacent to the PBSA building, has also
been forward sold to Southwark Borough Council.
This transaction represents a further example of
Helical’s equity-light strategy. The original office
consent has been revised to deliver an optimised
scheme providing the highest value use for this
exceptionally well located site. Through the
forward funding structure, the joint venture is
not required to commit any further equity to the
development and is now targeting a return on
equity in excess of 3.0x. This transaction also
represents a significant de-risking of the project
with the joint venture now only taking delivery risk,
with no exposure to occupational or market risk.
Following successful receipt of the planning
consent in March 2025, submission for Gateway 2
approval for both buildings is expected in May
2026, with construction anticipated to commence
in the second half of 2026. Completion of both
buildings is targeted to enable occupation ahead
of the 2029/30 academic year. The development
is targeting best-in-class sustainability credentials,
including BREEAM Outstanding and EPC A
ratings, and will deliver substantial enhancements
to the surrounding public realm.
SOUTHWARK,
SE1
Our portfolio
continued
Governance Financial Statements Further Information
28 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Our portfolio
continued
This flagship office development is positioned
directly above the eastern, canal-side entrance
to Paddington station and will deliver over
240,000 sq ft of scarce, best-in-class
accommodation across 15 floors. The building
benefits from exceptional connectivity, with
immediate access to national rail services, the
Elizabeth Line, London Underground and
Heathrow Express, and occupies a vibrant canal-
side setting, directly accessible from the reception.
During the year, the joint venture with PfL
completed the acquisition of the Delta Paddington
development site for £55m (Helical share: £28.1m).
At the same time, a £220m development financing
facility with PIMCO Prime Real Estate, acting on
behalf of institutional investors, was completed.
The pari passu facility reimburses 54.5% of equity
invested to date and will fund 54.5% of the
remaining development and finance costs.
In March 2026, the main construction contract
was signed with Mace, who will take possession
of the site later in the year following completion
of the initial enabling works package by Keltbray.
Works to form the core and basement are already
underway, with practical completion of the scheme
targeted for Q3 2028.
Designed by Grimshaw, the building will provide
highly efficient and adaptable workspace, with
typical floorplates of approximately 16,200 sq ft,
full height glazing and minimal internal columns.
Private, south facing terraces are provided on
every office floor, offering panoramic views
across London.
Sustainability and occupier experience are central
to the scheme. The building is fully electric and has
achieved BREEAM Outstanding at design stage
with an exceptional score of 97.4%, making it the
second highest score for a new build office
development ever in the UK. The building is also
targeting WELL Shell & Core Platinum, EPC A
and a NABERS 5.5* rating.
DE LTA
PADDINGTON, W2
Governance Financial Statements Further Information
29 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Our portfolio
continued
63 Charterhouse Street represents the next
development to be brought forward, demonstrating
the ability of the joint venture with PfL to unlock
unique opportunities. Having identified a prominent
gap site in the Charterhouse Street streetscape,
the joint venture has worked over the course of
the past year to develop plans for a c.55,000 sq ft
best-in-class new office building utilising unused
operational land adjacent to the open cut tube lines
exiting Farringdon station. This process culminated
with the receipt of a resolution to grant planning
consent in April 2026.
The consented proposals, designed by Lifschutz
Davidson Sandilands, will deliver high-quality
office accommodation arranged over ground and
five upper storeys. A shared rooftop pavilion will
provide important amenity space, incorporating
a communal and highly adaptable terrace with
landscaped areas offering panoramic views
across London. The joint venture will now
formalise the acquisition of the site and continue
design development on the scheme prior to
commencing the development.
63 CHARTERHOUSE
STREET, EC1
Governance Financial Statements Further Information
30 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Our portfolio
continued
The Tower is the largest building within The Bower
campus and provides 171,432 sq ft of office
accommodation arranged over basement, ground
and 17 upper floors, as well as 10,905 sq ft of retail
space at street level. The building benefits from its
prominent position on top of Old Street station in
the City Fringe and continues to attract a diverse
mix of occupiers, with a noticeable increase in
demand over the past year particularly generated
from AI occupiers seeking to take advantage of
the established technology sector developed
around the Silicon Roundabout.
Significant letting progress has been achieved
during the year. Contracts have been exchanged
to lease the fifth and sixth floors (19,592 sq ft of
fitted accommodation) to incident.io, an AI
platform, at rents in line with prevailing ERVs, with
occupation commencing in June 2026. The fully
fitted third floor (10,022 sq ft) was let shortly after
the year end to a technology platform. The 12th
floor (9,572 sq ft) is currently under offer for an
11 year lease, with this lease expected to
exchange shortly.
Negotiations are also progressing with a number
of parties for the only remaining vacant floor, the
15th floor, which is available on a Cat-A basis.
THE BOWER, EC1
THE TOWER
Investment portfolio
THE WAREHOUSE
AND THE STUDIO
The Warehouse provides 122,858 sq ft of office
space arranged over basement, ground and nine
upper floors, while The Studio offers a further
18,283 sq ft of fully let, self-contained office space
arranged over ground and three upper floors.
During the year, terms were agreed with an
existing tenant to extend their current leases for
a further ten years and to take the vacant seventh
floor of The Warehouse (12,398 sq ft) as expansion
space for a similar term. Retail accommodation
across The Warehouse and The Studio totals
10,298 sq ft and is fully let.
On completion of the aforementioned lettings
and lease transactions, vacancy across The Bower
campus is expected to reduce to 3.4%, representing
a substantial improvement from the opening
vacancy rate of 18.8% and reflecting the success
of the targeted asset management strategy
implemented across the estate.
Governance Financial Statements Further Information
31 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
THE LOOM, E1
The Loom is a former Victorian wool warehouse
offering 107,227 sq ft of office space plus a
1,313 sq ft café.
Encouragingly, 12,996 sq ft of existing leases
were renewed during the year at a 5.5%
premium to ERVs, including our largest tenant,
who occupies 10% of the NIA, extending the break
option to July 2031. We continue to work closely
with existing tenants, mostly SMEs (small and
medium enterprises), to accommodate their
changing occupational requirements. The variety
of different units within The Loom has enabled
four tenants to move within the building resulting
in contracted rents 10.8% ahead of ERVs.
In addition to the internal asset management, a
letting of 1,028 sq ft completed in the year, and a
further two new lettings are under offer amounting
to 4,642 sq ft, while four tenants did vacate the
property in the year.
Our portfolio
continued
Governance Financial Statements Further Information
32 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
ASSET MANAGEMENT
Asset management is a critical component in driving Helical’s performance. Through having well
considered business plans and maximising the combined skills of our management team, we are able
to create value in our assets.
Fair
value
weighting
%
Passing
rent
£m %
Contracted
rent
£m %
ERV
£m %
ERV change
like-for-like
%
London Offices
– Completed properties 57.6 18.8 100.0 21.2 100.0 29.1 48.6 -0.7
– Development pipeline 42.4 – – – – 30.7 51.3 2.0
Total London 100.0 18.8 100.0 21.2 100.0 59.8 99.9 0.3
Other 0.0 0.0 0.0 0.0 0.0 0.1 0.1 0.0
Total 100.0 18.8 100.0 21.2 100.0 .

100.0 0.3
1 Reduces to £50.1m on sale of 100 New Bridge Street, EC4.
See-through
total portfolio
contracted rent
£m
Rent lost at break/expiry (0.5)
New lettings 1.5
Net increase in contracted rents in the year 1.0
VALUATION MOVEMENTS
Valuation change
incl. sales and
purchases
%
Valuation change
excl. sales and
purchases
%
Investment
portfolio
weighting
31 March 2026
%
Investment
portfolio
weighting
31 March 2025
ERV
%
London Offices
– Completed properties -2.1 -2.1 57.6 71.0
– Development pipeline 4.0 5.0 42.4 29.0
Total 0.4 0.5 100.0 100.0
SEE-THROUGH TOTAL PORTFOLIO BY FAIR VALUE
Investment
£m
Investment
%
Development
£m
Development
%
Total
£m
Total
%
London Offices
– Completed properties 374.3 57.6 – – 374.3 57.1
– Development pipeline 274.9 42.4 .

94.7 280.8 42.8
Total London 649.2 100.0 5.9 94.7 655.1 99.9
Other 0.3 0.0 0.3 5.3 0.6 0.1
Total 649.5 100.0 6.2 100.0 655.7 100.0
1 Developments represent planning and professional fees incurred on Southwark, SE1 and 63 Charterhouse Street, EC1M.
CAPITAL EXPENDITURE
We have a committed and planned development and refurbishment programme.
Property
Capex
budget to come
(Helical share)
£m
Proposed equity
to come
(Helical share)
£m
Proposed debt
to come
(Helical share)
£m
Development
status
Completion
date
Investment – committed
– 100 New Bridge Street, EC4 4.3 4.3
1
– Completed May 2026
– Brettenham House, WC2 3.4 3.4 – Under development Q3 2026
– 10 King William Street, EC4 30.5 – 30.5 Under development Q4 2026
– Delta Paddington, W2 122.4 55.7 66.7 Under development Q3 2028
1 Relates to retention sums to be funded post completion through sale proceeds.
Our portfolio
continued
Portfolio Analytics
Governance Financial Statements Further Information
33 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Our portfolio
continued
PORTFOLIO YIELDS
EPRA topped
up NIY
31 March
2026
%
EPRA topped
up NIY
31 March
2025
%
Reversionary
yield
31 March
2026
%
Reversionary
yield
31 March
2025
%
True equivalent
yield
31 March
2026
%
True equivalent
yield
31 March
2025
%
London Offices
– Completed properties 4.8 5.0 7.2 7.1 6.9 7.1
– Development pipeline n/a n/a 6.3 6.1 5.3 5.3
Total 4.8 5.0 6.7 6.5 6.0 6.0
SEE-THROUGH CAPITAL VALUES, VACANCY RATES AND UNEXPIRED LEASE TERMS
Capital value
(weighted)
31 March
2026
£ psf
Capital value
(weighted)
31 March
2025
£ psf
Vacancy rate
31 March
2026
%
Vacancy rate
31 March
2025
%
WAU LT
31 March
2026
Years
WAU LT
31 March
2025
Years
London Offices
– Completed properties 890 902 18.5 21.3 .

3.1
1 WAULT to expiry is 4.3 years (2025: 5.0 years).
SEE-THROUGH LEASE EXPIRIES OR TENANT BREAK OPTIONS
Year to
2027
Year to
2028
Year to
2029
Year to
2030
Year to
2031
2031
onward
% of rent roll 8.9 52.5 21.1 10.7 0.9 5.9
Number of leases 12 22 12 6 2 6
Average rent per lease (£) 157,135 504,591 370,741 375,821 95,287 208,985
Contracted rent (£) 1,885,619 11,100,994 4,448,898 2,254,926 190,574 1,253,908
TOP 10 TENANTS
We have a strong rental income stream and a diverse tenant base. The top 10 tenants account for 73.0%
of the total rent roll.
Rank
Tenant Tenant industry
Contracted
rent
£m
Rent roll
%
1 Farfetch Online retail 2.3 10.7
2 VMware Technology 2.2 10.3
3 Fresha.com Technology 2.1 9.7
4 Verkada Technology
1.9 9.1
5 Incident.io Technology 1.5 7.2
6 Infosys Technology 1.4 6.6
7 Intercom Software Technology 1.2 5.5
8 Allegis Professional services 1.1 5.1
9 Dentsu Media 1.0 5.0
10 Openpayd Technology 0.8 3.8
Total 15.5 73.0
LETTING ACTIVITY – NEW LEASES
Area
Sq ft
Area
(Helical share)
Sq ft
Contracted rent
(Helical share)
£
Rent
£ psf
Increase/
(decrease) to
31 March 2025
ERV
%
Average
lease term to
expiry
Years
Investment properties
Completed – offices
– The Bower, EC1 19,592 19,592 1,521,000 77.6 3.5 5.0
– The Loom, E1 1,028 1,028 41,000 40.0 (11.2) 3.0
Total 20,620 20,620 1,562,000 75.8 3.0 4.9
Governance Financial Statements Further Information
34 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Overview
The results for the year reflected our strong
development momentum, with development
profits and valuation gains recognised across
the properties under construction. In addition, the
forward funding agreement for Southwark, SE1,
signed in February 2026, significantly de-risks
the development, removing the operational risk
and the requirement for further equity, while
enabling a small portion of the associated profit
to be recognised during the year.
FINANCIAL
REVIEW
James Moss
Chief Financial Officer
Despite the ongoing conflict in the Middle East, our
Balance Sheet remains strong. The Group’s debt
is fully hedged or held at fixed rates, significantly
mitigating the impact of the higher interest rates
since February 2026. With the new development
debt facility for Delta Paddington, W2 agreed with
PIMCO Prime Real Estate in February 2026, the
Group has funding in place for its existing
development pipeline.
Shortly after the year end, in May 2026, the sale
of 100 New Bridge Street, EC4 to State Street
Corporation completed, returning over £95m of
cash to the Group and allowing for the repayment
of borrowings. In addition, £17m will be returned
to Shareholders, with the remaining proceeds
allocated to funding new opportunities.
EPRA Earnings
£5.5m
(2025: £2.7m)
EPRA EPS
4.5p
(2025: 2.2p)
EPRA NTA
per Share
351p
(2025: 348p)
EPRA performance
Profit after
Tax
£5.7m
(2025: £27.9m)
Earnings per
Share (EPS)
4.6p
(2025: 22.8p)
Diluted NAV
per Share
347p
(2025: 347p)
IFRS performance
Governance Financial Statements Further InformationStrategic Report
35 HELICAL PLC Annual Report and Accounts 2026
Total Property Return
We calculate our Total Property Return to enable
us to assess the aggregate of income and capital
profits made each year from our property
activities. Our business is primarily aimed at
producing surpluses in the value of our assets
through asset management and development,
with this revenue seeking to cover our annual
administrative and finance costs.
Total Accounting Return
Total Accounting Return on EPRA net tangible
assets per share is the growth in the EPRA net
tangible assets per share of the Group plus
dividends paid in the year per share, expressed
as a percentage of the EPRA net tangible assets
per share at the beginning of the year.
52.1
23.0
-162.7
-51.4
89.5
2024
2025
2026
2023
2022
2024
2025
2026
2023
2022
6.0
2.3
-30.6
-11.9
9.2
Total Property
Return £m
£23m
Total Accounting
Return %
2.3%
Financial review
continued
Results for the Year
The IFRS profit for the year of £5.7m (2025:
£27.9m) includes revenue from rental income,
service charges and development management
fees of £33.3m, offset by direct costs of £15.2m
to give a net property income of £18.1m (2025:
£16.6m). There was a net loss on sale and
revaluation of investment properties of £7.5m
(2025: gain of £12.0m) and the gain from joint
venture activities was £11.6m (2025: £20.8m).
Administrative expenses of £8.7m (2025: £10.7m)
and net finance costs of £5.1m (2025: £7.5m) were
further increased by a loss in the fair value of
derivatives of £2.8m (2025: £3.3m).
The Group holds a significant proportion of its
property assets in joint ventures. As the risks
and rewards of ownership of these underlying
properties are the same as those it wholly owns,
Helical supplements its IFRS disclosure with a
“see-through” analysis of alternative performance
measures, which looks through the structure to
show the Group’s share of the underlying business.
The see-through results for the year to 31 March
2026 include net rental income of £15.4m, a net
gain on sale and revaluation of the investment
portfolio of £2.7m and development profits of
£4.9m, leading to a Total Property Return of
£23.0m (2025: £52.1m).
Offsetting this, see-through administrative costs
of £8.8m (2025: £10.9m), see-through net finance
costs of £5.0m (2025: £9.2m) and see-through
losses from the mark-to-market valuation of
derivative financial instruments of £2.3m (2025:
£3.3m) were incurred.
In the joint ventures, a net tax charge of £1.7m
(2025: £nil) was recognised, partially offset by an
increase of £0.5m (2025: £0.1m) in the economic
interest for Barts Square, EC1 and 100 New Bridge
Street, EC4. This resulted in an IFRS profit of
£5.7m (2025: £27.9m).
The EPRA net tangible asset value per share
increased to 351p (31 March 2025: 348p).
The Group’s investment portfolio, including its
share of assets held in joint ventures, increased to
£649.5m (31 March 2025: £535.4m). There was a
net gain on revaluation of the investment portfolio
of £1.8m, acquisitions of £29.7m and transfer from
development stock of £11.5m. Capital expenditure
on the investment portfolio of £70.6m and an
economic interest adjustment of £0.7m was offset
by the amortisation of letting costs of £0.2m.
The Group’s see-through loan to value at
31 March 2026 was 36.5% (31 March 2025:
20.9%). The Group’s weighted average cost
of secured investment debt at 31 March 2026,
including commitment fees, was 3.8% (31 March
2025: 3.8%) and the weighted average debt
maturity was 2.5 years (31 March 2025: 2.5 years).
The weighted average cost of the Group’s share
of secured development debt in joint ventures at
31 March 2026, excluding commitment fees, was
7.7% (31 March 2025: 8.5%) and the weighted
average debt maturity was 3.3 years (31 March
2025: 3.5 years).
At 31 March 2026, the Group had unutilised
bank facilities of £191.2m and cash of £38.6m,
on a see-through basis. These are primarily
available to fund future property acquisitions
and capital expenditure.
Earnings per Share
The IFRS earnings per share was 4.6p (31 March
2025: 22.8p) and is based on the after tax profit
attributable to ordinary Shareholders divided by
the weighted average number of shares in issue
during the year.
On an EPRA basis, the earnings per share
increased to 4.5p (31 March 2025: 2.2p), reflecting
the Group’s share of net rental income of £15.4m
(2025: £19.6m) and development profits of £4.9m
(2025: £0.3m), but excluding gains on sale and
revaluation of investment properties of £2.7m
(2025: £32.2m).
Year to
2026
p
Year to
2025
p
Year to
2024
p
Year to
2023
p
Year to
2022
p
EPRA earnings
per share 4.5 2.2 3.5 9.4 5.2
Net Asset Value
IFRS diluted net asset value per share increased
to 347p per share (31 March 2025: 346p) and is
a measure of Shareholders’ funds divided by the
number of shares in issue at the year end, adjusted
to allow for the effect of all dilutive share awards.
EPRA net tangible asset value per share
increased to 351p per share (31 March 2025:
348p). This movement arose principally from
a total comprehensive income of £5.7m (2025:
£27.9m), less £6.1m of dividends (2025: £4.0m)
and adjusting for the movement in fair value of
derivatives as well as deferred tax.
Year to
2026
p
Year to
2025
p
Year to
2024
p
Year to
2023
p
Year to
2022
p
EPRA net
tangible asset
value per share 351 348 331 493 572
EPRA net disposal value per share increased
to 348p per share (31 March 2025: 347p).
Governance Financial Statements Further Information
36 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Financial review
continued
Income Statement
Rental Income and Property Overheads
Gross rental income for the Group, before adjusting for lease incentives, in respect of wholly owned
properties decreased to £20.5m (2025: £21.8m). Following the letting progress during and after the year
end, it is expected that gross rental income will increase in the year to 31 March 2027.
Offset against gross rental income are lease incentives of £0.8m reflecting the net reversal of previously
recognised rental income accrued in advance of receipt (2025: £0.6m). Overall, this resulted in gross
rental income of wholly owned properties of £19.7m (2025: £21.2m).
2026
£000
2025
£000
Gross rental income (excluding lease incentives) 20,507 21,835
Lease incentives (793) (598)
Total gross rental income 19,714 21,237
Gross rental income in joint ventures decreased to £0.0m (2025: £3.7m) as, following the sale of The JJ Mack
Building, EC1 in October 2024, all of the properties held in these structures are under development.
Property overheads in respect of wholly owned assets and in respect of those assets in joint ventures
decreased to £4.3m (2025: £5.4m).
Overall, see-through net rents decreased by 21.4% to £15.4m (2025: £19.6m).
The table below demonstrates the movement of the accrued income balance for rent free periods granted
and the respective rental income adjustment over the four years to 31 March 2029 on a see-through basis,
based on the tenant leases as at 31 March 2026. The actual adjustment will vary depending on lease
events such as new lettings and early terminations and future acquisitions or disposals.
Accrued
income
£000
Adjustment to
rental income
£000
Year to 31 March 2026 5,695 (929)
Year to 31 March 2027 4,402 (1,293)
Year to 31 March 2028 3,265 (1,137)
Year to 31 March 2029 2,035 (1,230)
Rent Collection
We have collected 99.9% of all rent contracted and payable for the year to 31 March 2026 and, to date,
have collected 98.4% of the March 2026 quarter rents demanded.
Development Profits
During the year, there were profits on development management and promote fees for 100 New Bridge
Street, EC4, Brettenham House, WC2 and 10 King William Street, EC4, totalling £5.4m. These were offset
by development staff costs of £1.9m and other net development costs of £0.9m, leading to a net
development profit of £2.6m (2025: £0.3m).
Share of Results of Joint Ventures
Net rental income recognised in the year was £0.0m (2025: £3.3m) following the sale of The JJ Mack
Building, EC1, in October 2024. All other significant properties in joint ventures are in the course of
development, with no rental income being earned.
Development profits of £2.3m (2025: £nil) were recognised for the forward fund of the development
at Southwark, SE1. The revaluation of our investment assets held in joint ventures generated a gain
of £10.0m (2025: £22.5m), primarily due to the increase in value of 100 New Bridge Street, EC4 and
10 King William Street, EC4. A retention received relating to an investment property sold in a prior year
of £0.2m was recognised in the year.
Finance and administrative costs totalling £0.2m (2025: £1.9m) were offset by a £0.5m (2025: £nil) gain
in the fair value of derivatives. An adjustment to reflect our economic interests in the Barts Square, EC1
development and 100 New Bridge Street, EC4 to their recoverable amounts generated a profit of £0.5m
(2025: £0.1m). Corporation tax and deferred tax charges were £1.7m (2025: £nil) to give an overall profit
from our joint ventures of £11.6m (2025: £20.8m).
Gain on Sale and Revaluation of Investment Properties
The net gain on the sale and revaluation of the investment portfolio on a see-through basis, including
in joint ventures, was £2.7m (2025: £32.2m).
Administrative Expenses
Recurring administrative costs in the Group, before performance-related awards, decreased by 20.8%
from £7.4m to £5.9m.
For the year to 31 March 2026, £1.9m (2025: £1.9m) of staff costs were recognised as development costs
to offset against development profits. This is to align the costs with the value and income they create.
Performance-related share awards and bonus payments, before National Insurance costs, decreased to
£2.5m (2025: £3.1m). Of this amount, £0.8m (2025: £0.9m), being the charge for share awards under the
Performance Share Plan, is expensed through the Income Statement but added back to Shareholders’
funds through the Statement of Changes in Equity. NIC incurred in the year on performance-related
awards was £0.3m (2025: £0.2m).
In joint ventures, administrative expenses remained at £0.2m.
2026
£000
2025
£000
Recurring administrative expenses (excluding performance-related awards) 7,763 8,909
Accelerated depreciation of leasehold improvements – 448
Total Group administrative expenses 7,763 9,357
Recognised in development costs (cost of sales) (1,895) (1,945)
Net Group administrative expenses 5,868 7,412
Performance-related awards 2,524 3,097
NIC on performance-related awards 269 196
8,661 10,705
In joint ventures 176 229
Total see-through administrative expenses 8,837 10,934
Governance Financial Statements Further Information
37 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Taxation
The Group has been a REIT since 1 April 2022 and is exempt from UK corporation tax on the profits of its
property activities that fall within the REIT regime. Helical will continue to pay corporation tax on its profits
that are not within this regime. There is no deferred tax charge in the current year.
The current tax charge for the year was £nil (2025: £nil).
In the Group’s interest in joint ventures, there was a current tax charge of £0.4m (2025: £nil) and a net
deferred tax charge of £1.3m (2025: £nil).
Dividends and Capital Return
In light of the results for the year, the Board will be recommending to Shareholders a final dividend of
1.00p (2025: 3.50p) per share. This final dividend, if approved by Shareholders, will be paid as a PID on
3 August 2026. Including the 1.50p interim dividend which was also wholly paid as a PID, this brings the
total PID dividend for the year to 2.50p (2025: 1.50p). In the prior year, the 1.50p PID was supplemented
by a 3.50p ordinary dividend to reflect a modest share of the capital profits made on the sale of our 50%
share of The JJ Mack Building, EC1.
This year, in addition to the PID, the Board is proposing an additional return to Shareholders out of
the realised profits from the sale of 100 New Bridge Street, EC4. The total amount proposed to be
returned is £17m (13.9p per share). The Company intends to make the return through a combination
of a capital return through issuing B Shares and a share buyback programme, with the split being £12m
and £5m respectively.
Capital Return Through Issuance of B Shares
An explanatory circular will be provided to Shareholders in advance of a general meeting (“GM”).
If approved at the GM, a new class of B Shares will be issued to all Shareholders and subsequently
redeemed for cash. This will be accompanied by a share consolidation of the Company’s existing share
capital to maintain comparability of the share price.
Share Buyback
A share buyback programme will be implemented with the aim of acquiring £5m of ordinary shares and is
expected to commence following receipt of the proceeds of the sale of 100 New Bridge Street, EC4
to the Company.
The total return from the PID, capital return and share buyback is 16.4p, up from 5.0p last year.
Following the sale of 100 New Bridge Street, EC4, and once the capital return and share buyback are
completed, the pro-forma LTV will be 20.7%, which is comfortably within the Company’s target range.
Financial review
continued
Finance Costs, Finance Income and Change in Fair Value of Derivative Financial Instruments
Net finance costs excluding changes in the fair value of derivative financial instruments, including joint
ventures, reduced to £5.0m (2025: £9.2m). This was largely due to the sale of The JJ Mack Building, EC1
in October 2024 and additional costs in the previous year related to the refinancing of the Group’s
Revolving Credit Facility.
Group
2026
£000
2025
£000
Interest payable on secured bank loans 5,112 5,083
Other interest payable and similar charges 1,533 1,916
Total interest payable before cancellation of loans 6,645 6,999
Cancellation of loans – 2,145
Total finance costs 6,645 9,144
Finance income (1,590) (1,671)
Net finance costs 5,055 7,473
Joint ventures
2026
£000
2025
£000
Interest payable on secured bank loans 5,038 2,018
Other interest payable and similar charges 4 108
Interest capitalised (5,038) (380)
Total finance costs 4 1,746
Finance income (14) (38)
Net finance costs (10) 1,708
See-through net finance costs 5,045 9,181
Due to 100 New Bridge Street, EC4, 10 King William Street, EC1 and Delta Paddington, W2 being in the
development phase the interest payable on secured bank loans is fully capitalised in the year.
The movement in medium and long-term interest rate projections during the year contributed to a loss
of £2.3m (2025: £3.3m) on the mark-to-market valuation of the derivative financial instruments on a
see-through basis.
IFRS disclosure
2026
£000
2025
£000
Net finance costs – subsidiaries 5,055 7,473
Change in fair value of derivative financial instruments – subsidiaries 2,814 3,289
Net finance costs and change in fair value of financial instruments 7,869 10,762
Governance Financial Statements Further Information
38 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Financial review
continued
Balance Sheet
Shareholders’ Funds
Shareholders’ funds at 1 April 2025 were £426.1m. The Group made a profit of £5.7m (2025: £27.9m),
representing the total comprehensive income for the year. Movements in reserves arising from the
Group’s share schemes resulted in a net decrease of £0.3m. The Company paid dividends to
Shareholders during the year of £6.1m. The net decrease in Shareholders’ funds from Group activities
during the year was £0.7m to £425.4m.
Investment Portfolio
Wholly
owned
£000
In joint
venture
£000
See-
through
£000
Valuation at 31 March 2025 379,900 155,495 535,395
Capital expenditure 3,033 67,601 70,634
Acquisitions – 29,700 29,700
Letting costs amortised (221) – (221)
Transfer from development stock – 11,516 11,516
Economic interest adjustment – 659 659
Revaluation (deficit)/surplus (8,182) 9,957 1,775
Valuation at 31 March 2026 374,530 274,928 649,458
Brought forward lease incentives (6,557) – (6,557)
Adjustment to lease incentives 708 – 708
Valuation at 31 March 2026 368,681 274,928 643,609
The Group expended £70.6m on capital works across the investment portfolio, at 100 New Bridge Street,
EC4 (£35.6m), 10 King William Street, EC4, (£29.5m), Delta Paddington, W2 (£2.6m post-site acquisition),
The Bower, EC1 (£2.1m) and The Loom, E1 (£0.8m). During the year, the site at Delta Paddington, W2 was
purchased for £29.7m (our share) and £11.5m (our share) was transferred from development stock. An
economic interest adjustment of £0.7m was made to the brought forward valuation of 100 New Bridge
Street, EC4 to show our interest at 50.3% rather than 50% previously. This is based on the estimate of
the recoverable amount of the investment in joint venture.
Revaluation gains of £1.8m contributed to an overall increase in the see-through fair value of the portfolio,
before lease incentives, to £649.5m (31 March 2025: £535.4m). The accounting for lease incentives
resulted in a book value of the see-through investment portfolio of £643.6m (31 March 2025: £528.8m).
Debt and financial risk
The Group’s secured investment debt at 31 March 2026 was £175.0m (31 March 2025: £175.0m) with a
weighted average cost of 3.8% (31 March 2025: 3.8%) and average maturity of 2.5 years (31 March 2025:
2.5 years). The Group’s share of secured development debt at 31 March 2026 was £107.7m (31 March
2025: £20.8m) with a weighted average cost of 7.7% (31 March 2025: 8.5%) and average maturity of
3.3 years (31 March 2025: 3.5 years).
Debt Profile at 31 March 2026 – Excluding the Amortisation of Arrangement Fees
Group’s secured investment debt
Total
facility
£000
Total
utilised
£000
Available
facility
£000
Weighted
average
interest rate

%
Average
maturity of
facilities
Years
£210m Revolving Credit Facility 210,000 175,000 35,000 3.8 2.5
Working capital 10,000 – 10,000 – 1
Total 220,000 175,000 45,000 3.8 2.4
1 Including commitment fees.
Group’s share of secured development debt
Total
facility
£000
Total
utilised
£000
Available
facility
£000
Weighted
average
interest rate

%
Average
maturity of
facilities
Years
£155m 100 New Bridge Street Development Facility 77,965 58,162 19,803 7.5 2.1
£125m 10 King William Street Development Facility 63,750 25,043 38,707 8.5 2.9
£220m Delta Paddington Development Facility 112,200 24,480 87,720 7.4 4.4
Total 253,915 107,685 146,230 7.7 3.3
1 Including commitment fees.
Secured debt
The Group arranges its secured investment and development facilities to suit its business needs as follows:
– £210m Revolving Credit Facility
Both of the Group’s wholly owned investment assets are secured in this facility. The fair value of the
Group’s properties secured in the facility at 31 March 2026 was £374.3m (31 March 2025: £379.8m), with
a corresponding loan to value of 46.8% (31 March 2025: 46.1%). This facility is hedged by £175m of interest
rate swaps with a weighted average maturity of 2.6 years and a weighted average swap rate of 1.5%,
resulting in an overall weighted average interest rate (including commitment fees) of 3.8%. During the year,
a one-year extension option was exercised to extend the repayment date to September 2028. The average
maturity of the facility at 31 March 2026 was 2.5 years (31 March 2025: 2.5 years). There is one further
extension option available to exercise to extend the facility’s repayment date to September 2029.
Governance Financial Statements Further Information
39 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Financial review
continued
– Joint Venture Facilities
The Group has a number of investment and development properties in joint ventures with third parties
and includes our share, in proportion to our economic interest, of the debt associated with each asset.
The £155m 100 New Bridge Street, EC4 facility with an institutional lender and NatWest was drawn to
£58.2m (31 March 2025: £20.3m). This facility is fully hedged by £105m of fixed rate debt and stepped
interest rate swaps at 3.8% plus margin. This margin starts at 4.65% during the development phase,
reducing to 2.25% on letting post completion. Following a margin reduction for the exchange on sale of the
building in April 2025, the weighted average interest rate, excluding commitment fees, was 7.5% (31 March
2025: 8.5%) with an average maturity of 2.1 years at 31 March 2026 (31 March 2025: 3.1 years). This facility
was fully repaid in May 2026 following the completion of the sale of 100 New Bridge Street, EC4.
At the year end, the £125m facility with HSBC for 10 King William Street, EC4 was drawn to £25.0m
(31 March 2025: £0.5m). This facility is fully hedged by stepped interest rate swaps and had a weighted
average interest rate (excluding commitment fees) of 8.5% (31 March 2025: 8.5%) and an average maturity
of 2.9 years at 31 March 2026 (31 March 2025: 3.9 years). The margin starts at 4.60% during the
development phase, reducing to 2.25% on letting post completion.
In February 2026, a new £220m facility was taken out with PIMCO Prime Real Estate, acting on behalf
of institutional investors, to fund the acquisition and delivery of the scheme at Delta Paddington, W2.
The 4.5-year pari passu development facility funds 54.5% of the development costs and contains margin
step-downs linked to the achievement of development and letting milestones as well as a one-year
extension option. At 31 March 2026, the facility was drawn to £24.5m, with a weighted average interest
rate (excluding commitment fees) of 7.4% and an average maturity of 4.4 years. The margin starts at
3.75% during the development phase, reducing to 1.50% on letting post completion.
Unsecured Debt
The Group’s unsecured debt is £nil (31 March 2025: £nil).
Cash and Cash Flow
At 31 March 2026, the Group had £229.8m (31 March 2025: £244.5m) of cash and agreed, undrawn,
committed bank facilities including its share in joint ventures.
Net Borrowings and Gearing
Total gross borrowings of the Group, including in joint ventures, have increased from £195.8m to £282.7m
at 31 March 2026 following increased funding development activity during the year at 100 New Bridge Street,
EC4, 10 King William Street, EC4 and Delta Paddington, W2. After deducting cash balances of £38.6m
(31 March 2025: £79.0m) and unamortised refinancing costs of £4.9m (31 March 2025: £4.0m), see-through
net borrowings increased from £112.8m to £239.2m. The see-through gearing of the Group, including in joint
ventures, increased from 26.5% to 56.2%.
The see-through loan to value increased from 20.9% to 36.5%, which will reduce to 20.7% upon
completion of the sale of 100 New Bridge Street, EC4 and the subsequent proposed return of capital.
31 March
2026
31 March
2025
See-through gross borrowings excluding unamortised refinancing costs £282.7m £195.8m
See-through cash balances £38.6m £79.0m
Unamortised refinancing costs £4.9m £4.0m
See-through net borrowings £239.2m £112.8m
Shareholders’ funds £425.4m £426.1m
See-through gearing – IFRS net asset value 56.2% 26.5%
See-through loan to value 36.5% 20.9%
Pro-forma loan to value (See Note 33) 20.7% –
James Moss
Chief Financial Officer
21 May 2026
Governance Financial Statements Further Information
40 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
RISK
MANAGEMENT
Identifying, assessing, monitoring and managing risk
is fundamental to the Group’s reputation, financial
stability and long-term performance.
Overall, the Group maintains a moderate to low
risk appetite, with mitigating strategies in place
to manage identified risks within acceptable
parameters. In assessing risk, the Board
considers both downside exposures and
potential upside opportunities.
Risks that may significantly impact operations
or strategic delivery are approached cautiously,
whereas risks associated with strategic
opportunities may be accepted where there is
an appropriate balance between risk and reward.
This approach is embedded within the Group’s risk
culture and aligned with its Values.
Emerging risks
Emerging risks are those that may materialise over
time and have the potential to impact the Group’s
strategy, operations or performance. These risks
are inherently uncertain and are monitored closely
as they evolve.
Horizon scanning is undertaken across the Group,
supported by input from senior management and
employees. Regular Business Update meetings and
engagement with external advisors provide a forum
to identify and assess new and developing risks.
A summary of prevailing and emerging risks is
presented to the Audit and Risk Committee and
the Board on a bi-annual basis.
Following its March 2026 review, the Board
concluded that the most significant emerging risks
it faces continue to be:
• Geopolitical
–Potential impact of geopolitical and
macroeconomic developments, including
supply chain disruption, inflationary pressures
and changes in investor sentiment.
• Disruptive technology
–Rapid developments in areas such as artificial
intelligence and digital technologies may create
new operational, security and competitive risks.
Roles and responsibilities
The Board has overall responsibility for the
Group’s risk management and internal control
systems. Risk identification, assessment and
management are embedded across all levels of
the business, supported by clearly defined roles
and responsibilities and strong collaboration
between the Board, senior management and
our property executives.
The Board oversees the Group’s Risk Management
Framework and reviews the Risk Register and the
Risk Heat Map at least twice a year. In doing so,
it considers the external environment, current
projects, recent performance and lessons learned,
to ensure that the Group’s principal risks are
identified and effectively managed.
Risk appetite
The Group’s risk appetite is determined by the Board
and reflects the level of risk the Group is willing to
take in achieving its strategic objectives. Risk
appetite is aligned with the Group’s business
strategy and is subject to review at least twice a year.
–Increasing sophistication of cyber threats,
including state-sponsored activity and AI-
enabled attacks, presents a heightened risk
to data security and critical infrastructure.
• Climate-related risk
–Physical risks arising from climate change and
evolving regulatory and investor expectations
around ESG may impact asset performance
and demand.
Risk culture
In making business decisions, the Board considers
the risks facing the Group and their potential
impact on the achievement of its strategic
priorities and long-term objectives.
The Board recognises that risks faced are often
interrelated and, where appropriately managed,
can also present opportunities to enhance
performance. The Group’s Risk Management
Framework is therefore aligned with its strategy
and supports informed decision-making across
the business. This approach is underpinned by
the Helical Values (see page 84).
Tone from the top
Business as usual
Tone from the middle
Organisational structure
Behaviours
Personal ethics
Personal predisposition to risk
Risk culture
Governance Financial Statements Further Information
41 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Risk management
continued
Risk management approach
Oversight, identification, assessment and mitigation of risks at a strategic level
The Board Has ultimate responsibility for risk management across the Group. The Board
sets the Group’s risk appetite, determines the risk management strategy and
oversees the effectiveness of internal control.
The Board regularly reviews principal risks and associated controls, ensuring
they remain aligned with the Group’s strategy and external environment.
The Audit and Risk
Committee
Supports the Board by reviewing the effectiveness of the Group’s risk
management procedures and internal control systems throughout the year.
The Executive
Committee
Monitors the Group’s principal risks and associated controls and makes
recommendations to the Audit and Risk Committee and Board as appropriate.
Oversees the implementation of the Group’s risk management strategy.
Oversight, identification, assessment and mitigation of risks at an operational level
The Executive
Committee
Responsible for the day-to-day application of the Group’s risk management
framework and for ensuring it is embedded across the business.
Individual asset
managers/property
executives
Responsible for identifying, assessing and managing risks within their
portfolios and reporting to the Executive Committee as appropriate.
All staff members All staff are responsible for complying with the Group’s risk management
procedures and internal control.
Risk management is a standing agenda item at Business Update
meetings, supporting the ongoing identification and discussion of risks across
the business.
Top-down approachBottom-up approach
Risk Management Framework
Helical’s Risk Management Framework comprises eight components which together support
an effective system of risk management and internal control. Through its application, clear
procedures for identification, assessment, measurement, mitigation, monitoring and reporting
of risk are aligned with the Group’s strategic aims and the Board’s risk appetite.
G
o
v
e
r
n
a
n
c
e
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G
o
v
e
r
n
a
n
c
e
Objective
setting
Risk
identification
Risk
assessment
Risk
response
Control
activities
Monitoring
Information &
communication
Board
Operational monitoring and
reporting responsibility
Audit and Risk
Committee
Executive
Committee
Management
team
Asset managers
All staff
Strategic implementation and
compliance responsibility
Risk
culture
Risk
culture
Internal
environment
Risk Management Framework
Provision 29 of the 2024 UK
Corporate Governance Code
requires the Board to monitor the
Group’s risk management and internal
control systems and to conduct an annual
review of their effectiveness. During the year,
the Group has undertaken preparatory work
to support compliance with these requirements
for the year ending 31 March 2027. Further
detail on the Board’s approach is set out in the
Audit and Risk Committee Report on page 110.
Responsibility for each principal risk is clearly assigned to a designated executive or
management body, reinforcing accountability and supporting a strong tone from the top.
Governance Financial Statements Further Information
42 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Risk management
continued
PRINCIPAL RISKS CHANGE
Strategic
1 The Group’s strategy is
inconsistent with the market
2 Risks arising from the Group’s
significant development projects
3 Property values decline/reduced
tenant demand for space
4 Geopolitical and economic
5 Climate change
Financial
6 Availability and cost of bank
borrowing, cash resources and
potential breach of loan covenants
Operational
7 Our people and relationships with
business partners and reliance on
external partners
8 Health and safety
9 Significant business disruption/
external catastrophic event/
cyber-attacks to our business
and our buildings
Reputational
10 Poor management of stakeholder
relations and non-compliance
with prevailing legislation,
regulation and best practice
Our principal risks
When determining our principal risks, we focus
on those most likely to impact the delivery of our
strategic objectives.
Helical’s principal risks fall into the following
categories: strategic risks, financial risks,
operational risks and reputational risks.
When identifying risks, each risk is linked to the
Group’s strategic goals (see pages 14 to 17).
Risk severity is assessed based on both the
likelihood of a risk materialising and its potential
impact. The Executive Committee assesses the
risk severity and reports its assessment to the
Board, which is based on:
• Understanding the cause of the risk.
• Understanding the resources at the Group’s
disposal to mitigate the risk.
• Estimating the probability of such a risk
occurring, both pre and post mitigating actions.
• Assessment of the quantitative and qualitative
impact of such a risk materialising.
The severity levels determined by the Executive
Committee are assessed by the Board.
The Board reviews the mitigating actions to ensure
risks are reduced to an acceptable level in line with
the Group’s risk appetite.
Mapping our principal risks
The Heat Map below sets out the Board’s assessment of the severity of the Group’s principal risks post mitigation.
Probability (post-mitigation)
Impact
9
3
6
5
1
10
2
7
8
4
Low Severe
Unlikely Probable
Governance Financial Statements Further Information
43 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Strategic Risks
Strategic risks are external risks that could prevent the Group delivering its strategy. It is these risks which principally impact decision-making with respect to the purchasing or selling of property assets.
Risk 1:
The Group’s strategy is inconsistent with the market
Risk appetite: Moderate
YoY change in severity:
Unchanged
Link to strategy:
– Growth
Responsible Executive:
All Executive Directors
Description & potential impact
Our strategy must remain aligned with the evolving expectations and space requirements of
occupiers and adapt to changing market conditions in order to deliver our pipeline. Inconsistency
could result in reduced market sentiment and negatively impact our financial performance and
strategic ambitions – to acquire and structure, develop, let and asset manage and exit.
The quality, location, size and mix of properties in Helical’s portfolio determine the impact of the risk.
If the Group’s chosen markets underperform, the impact on the Group’s liquidity, investment
property revaluations and rental income will be greater.
Mitigating actions & key controls
• Robust and established governance and approval processes. Decisions relating to the Group’s strategy, financing and risk appetite are
reserved for the Board. The Board is responsible for authorisation of capital expenditure above delegated authority limits set by the Board
annually.
• The Board continually assesses the viability of the Group strategy with respect to the demand for space in central London. Strategy is
discussed at all Board and Executive Committee meetings, with dedicated Executive and Board strategy sessions taking place annually.
• The Board directly and indirectly engages with Helical’s Shareholders on the Group’s strategy, and Shareholder feedback is considered in
strategic execution and decision-making.
• The Group’s experienced management team actively monitors market conditions and adapts strategy accordingly. The management team
enables quick implementation of strategic change when required.
• The Group maintains rolling forecasts, with inbuilt sensitivity analysis to model anticipated economic conditions.
• Continuous occupier engagement to ensure space on offer meets the needs of modern occupiers.
• The Group is actively engaged in decisions affecting stakeholders by joining industry bodies, professional associations, and local business
and community groups.
• External advisors/property market experts regularly present to all levels of the business.
Risk management
continued
Review of the Risk Register – March 2026
In assessing the appropriateness of the Group’s Risk Register as at March 2026, the Directors considered the Group’s performance, the macro-political and
economic environment, and the business projects being undertaken. The Risk Register should be read in conjunction with the Heat Map (see page 43).
Governance Financial Statements Further Information
44 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Strategic Report
Risk management
continued
Strategic Risks continued
Risk 2:
Risks arising from the Group’s significant development projects
Risk appetite: High
YoY change in severity:
Unchanged
Link to strategy:
– Asset selection
Responsible Executive:
CEO
Description & potential impact
The Group is exposed to fluctuations in the market and tenant demand levels over the course
of development projects.
Development projects often require substantial capital expenditure for land procurement and
construction, and typically take a considerable amount of time to complete and generate rental
income, or be sold.
The risk of delays from legal disputes or failure to get planning approval is an inherent risk of
property development.
The construction industry continues to be faced with shortages of both labour and materials which
creates risk of cost escalation and project delay.
Exposure to developments increases the potential monetary impact of cost inflation, adverse
valuation or other market factors which could affect the Group’s financial capabilities and targeted
financial returns.
Local authority and Governmental emphasis on climate change renders sustainability
considerations key in the planning process, and compliance with applicable laws/regulations
is essential from the outset of any development.
The Group is susceptible to risks that materialise whilst on site and such risks can cause delay
and subsequent penalties or deferral of rental income.
Mitigating actions & key controls
• Board approval required for development-related commitments above agreed thresholds.
• Development plans and exposure to risk are considered in the annual business plan.
• Management carefully reviews the prospective performance and risk profiles of individual developments and, in some cases, builds
properties in several phases to minimise exposure to reduced demand for particular asset classes or geographical locations over time.
• The Group conducts developments in partnership with other organisations and strategically pre-lets space or enters into forward sale
agreements to reduce development risk where appropriate.
• Management is highly experienced and has a track record of developing best-in-class office spaces in highly desirable, well-connected
locations.
• Detailed planning pre-applications and due diligence conducted in advance of any site acquisition. We utilise our existing strong relationships
with planning authorities and engage at an early stage on all developments.
• Rigorous site investigations and surveys conducted by our trusted partners prior to the commencement of on-site works to reduce the risk
of development issues arising.
• We work with highly regarded suppliers and contractors with whom we have existing relationships and continually collaborate with them
to mitigate development risks, minimise cost uncertainty and aid timely project delivery.
• KYC/FDD conducted on all contractors with continuous monitoring and assessment of creditworthiness throughout the term of the contract.
We typically enter into contracts with our contractors on a fixed price basis and incorporate appropriate contingencies.
• Project progress reports presented at each fortnightly Business Update Meeting and at the monthly Executive Committee meetings.
The Board receives all pertinent financial and non-financial information for each asset on a quarterly basis.
• Management continuously monitors the cost of materials and pressures on the supply chain. Ongoing consideration given to investing
in the most energy efficient machinery and building materials and using renewable sources of energy where possible.
• Major projects’ cash flow budgets updated each month and expenditure tracked.
Governance Financial Statements Further Information
45 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Risk management
continued
Strategic Risks continued
Risk 3:
Property values decline/reduced tenant demand for space
Risk appetite: Moderate YoY change in severity:
Unchanged
Link to strategy:
– Asset selection
Responsible Executive:
CEO
Description & potential impact
We are at risk of property values declining through changes in market conditions, including
underperforming sectors or locations, lack of tenant demand, deferral of occupiers’ decisions or
general economic uncertainty. Geopolitical tensions can significantly impact property yields, due
to increased uncertainty and consequent investor risk aversion.
Property valuations are dependent on the level of rental income receivable and expected to be
receivable on that property in the future. Therefore, declines in rental income could have an adverse
impact on revenue and the value of the Group’s properties.
Falling valuations could lead to uncertainty regarding development scheme returns and the viability
of future development schemes. The Group’s net asset value and gearing levels will also be
impacted by a fall in property values.
Mitigating actions & key controls
• Diversity of occupiers reduces risk of over-exposure to one sector.
• Regular occupier financial covenant checks conducted ahead of approving leases to limit exposure to tenant failure.
• Management accounts showing the Group’s performance against financial covenants reviewed by the Board on a quarterly basis.
• Management regularly reviews external data, obtains industry experts’ opinion, and monitors asset and sector performance to dispose of
non-performing assets and adjust portfolio for changing market conditions.
• Management regularly models different property revaluation scenarios through its forecasting process in order to mitigate against potential
impact.
• Collaborating with our managing agents, Ashdown Phillips, to understand and respond to changing occupier needs in sustainability,
technology, wellbeing, and service provision.
• Monitoring market demand and customer expectations for environmentally sustainable spaces.
• The Board and management continuously monitor the property market. The fortnightly Business Update Meeting evaluates new leases,
lease events and tenant issues for each property in the portfolio.
• For new property acquisitions, a complete report with essential indicators and due diligence is prepared for formal appraisal by the Executive
Committee. Following the appraisal, any acquisition recommended by the Executive Committee will require formal Board approval.
Risk 4:
Geopolitical and economic
Risk appetite: Moderate
YoY change in severity:
Unchanged
Link to strategy:
– Growth
Responsible Executive:
All Executive Directors
Description & potential impact
Significant events or changes in the global/UK political or economic landscape may have a significant
impact on the Group’s ability to plan and deliver strategic priorities in accordance with the business
model. Such events or changes may result in decreased investor activity and reluctance of occupiers
to make leasing decisions. Furthermore, UK Government policy making has the potential to impact
London’s desirability from an investor standpoint.
Macroeconomic drivers, such as interest rates, can significantly impact pricing in the real estate market
and the availability of affordable financing.
Geopolitical volatility can foster acute instability in commodities, FX and other financial markets that
track straight through to the Balance Sheet, financial operating model and investor perceptions. This
can degrade the macroeconomic conditions on which our strategy is based.
Political instability and unrest can have a significant knock-on effect on global economies and trade,
leading to changes in market dynamics and influence, such as increasing role of governments in
economies and shifts in geopolitical powers.
Geopolitical uncertainty from conflict continues to affect global and local economies, e.g. inflationary
pressures arising from supply chain shortages, high interest rates and energy costs. These conflicts
could escalate or spread to include other countries.
Mitigating actions & key controls
• Management monitors macroeconomic research and economic outlook considerations are incorporated into the Group’s annual strategic plans.
• Management conducts ongoing assessments of the impacts of current macroeconomic and geopolitical concerns and adapts any business
decisions accordingly.
• Management seeks advice from experts to understand the geopolitical environment and potential regulatory and tax changes for the Group.
• Management maintains good relationships and dialogue with planning consultants and local authorities. Where appropriate, management
collaborates with industry representatives to contribute to policy and regulatory debates affecting the industry.
Governance Financial Statements Further Information
46 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Risk management
continued
Strategic Risks continued
Risk 5:
Climate change
Risk appetite: Moderate YoY change in severity:
Unchanged
Link to strategy:
– Asset selection
Responsible Executive:
CEO
Description & potential impact
Climate change risks continue to increase in prominence and importance. Failing to respond to
these risks and make appropriate disclosures (in line with societal attitudes or legislation/regulation),
or failing to identify potential opportunities could lead to reputational damage, loss of income or
decline in property values. Having strong sustainability credentials is a market differentiator and
provides a competitive advantage.
There is also the risk that the costs to operate our business (energy or water) or undertake
development activities (construction materials) will rise as a consequence of climate change and the
actions taken to safeguard against it.
The Group is also alert to the physical risks of climate change, e.g. the increasing severity and
frequency of extreme weather events which pose threats to real estate assets.
Mitigating actions & key controls
• Sustainability is a standing agenda item for the Business Update Meeting, the Executive Committee and Board meetings.
• The Group has a dedicated Head of Sustainability who oversees the Group’s sustainability objectives and initiatives.
• The Group Sustainability Committee reviews the Group’s approach and strategy to climate-related risks and sets appropriate targets and
KPIs to effectively monitor the Group’s performance. The Committee reports regularly to the Board and Executive Committee on emerging
issues and mitigation plans.
• The Board has a designated Non-Executive Director responsible for sustainability.
• The Group’s Sustainability Policy and related policies are reviewed annually and provided to all staff, and published on its website.
• The Group analyses climate-related risks and opportunities annually to ensure appropriate actions are taken.
• The yearly Sustainability Performance Report includes externally verified important data and performance criteria.
• Early engagement with supply chain to procure sustainable technology for developments.
• The Group has a sustainability strategy, “Net Zero Carbon Pathway” and Environmental Management System, which include:
– Environmental Policy.
– Setting of annual and continuing performance targets.
– Use of Performance Measures Checklists to ensure minimum sustainability requirements are met across our development activities.
– Checklists to ensure embodied carbon data is collated from development and refurbishment sites.
• The Group maintains compliance with applicable legal and regulatory frameworks, reports on sustainability performance and monitors for
legislation changes.
• Annual submission to CDP.
• Our properties’ energy usage is collated quarterly by managing agents and reviewed by a third-party sustainability consultant. ESG auditors
provide limited external assurance.
Financial Risks
Financial risks are those that could prevent the Group from funding its chosen strategy, both in the long and short term.
Risk 6:
Availability and cost of bank borrowing, cash resources and potential breach of loan
covenants
Risk appetite: Moderate
YoY change in severity:
Increased
Link to strategy:
– Liquidity & Financial
Management
Responsible Executive:
CFO
Description & potential impact
The inability to roll over existing facilities or take out new borrowing could impact the Group’s ability
to maintain its current portfolio and purchase new assets.
The Group is at risk of increased interest rates on unhedged borrowings.
If the Group breaches debt covenants, lending institutions may require the early repayment of
borrowings.
The lack of global liquidity has the potential to create significant obstacles for the Group and liquidity
risk could lead to missed opportunities or financial losses.
Reduced access to capital markets due to external factors, e.g. global financial crisis, is an ongoing risk.
Mitigating actions & key controls
• The Group’s financial position is reviewed at each Executive Committee and Board meeting.
• The Group conducts bi-annual going concern and viability reviews.
• The Group has good relationships with established lending institutions and borrowings are spread across multiple lenders.
• Management monitors the cash levels of the Group on a weekly basis and maintains sufficient levels of cash resources and undrawn
committed bank facilities to fund opportunities as they arise. Six-year cash flow forecasts and yearly budgets are maintained to plan for
investments and raise funding ahead of time.
• The Group hedges the interest rates on the majority of its borrowings, effectively fixing or capping the rates over several years. Maturity
dates of borrowings are also spread over several years.
• Financial covenants are closely reviewed to account for changes in valuation, interest rates and rental income. Management uses sensitivity
analyses to determine the likelihood of future breaches based on major changes in property prices or rental income. The risk is further
mitigated by acquiring tenant guarantors, bank guarantees and deposits.
• The Group has sufficient cash and undrawn bank facilities, as well as acceptable borrowings capacity.
Governance Financial Statements Further Information
47 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Risk management
continued
Operational Risks
Operational risks are internal risks that could prevent the Group from delivering its strategy.
Risk 7:
Our people and relationships with business partners and reliance on external partners
Risk appetite: Moderate
YoY change in severity:
Unchanged
Link to strategy:
– Growth
– Our people & relationships
Responsible Executive:
All Executive Directors
Description & potential impact
The Group’s continued success is reliant on its management and staff and maintaining its successful
relationships with its joint venture partners. With respect to assets held in conjunction with third
parties, the Group’s control over these assets is more limited and joint venture structures may also
reduce the Group’s liquidity. Operational effectiveness and financing strategies may also be adversely
impacted if partners are not strategically aligned.
Ineffective succession planning, or failure to attract, develop and retain the right people with requisite
skills, as well as failing to maintain a positive working environment for employees, could inhibit the
execution of our strategy and diminish our long-term success.
The Group is dependent on a number of external third parties to ensure the successful delivery of
its development programme and asset management of existing assets. These include:
• Contractors and suppliers.
• Consultants.
• Managing agents.
• Legal and professional teams.
The Group would be adversely impacted by increases in the cost of services provided by third parties.
Mitigating actions & key controls
Our people
• The Remuneration Committee oversees the Directors’ Remuneration Policy and reviews and approves incentive arrangements to ensure
they align with market practice. Remuneration is designed to attract and retain high calibre employees. Executives and all other employees
are compensated in accordance with Helical’s Purpose, Values and Culture.
• The Nominations Committee and Board continuously review succession plans for senior and critical roles to ensure the long-term success of
the business.
• Our annual appraisal process focuses on future career development and employee objectives, formalised through personal development
plans. Staff are encouraged to undertake personal development and training courses, supported by Helical.
• The Board and senior management engage directly with employees through a variety of engagement initiatives which enable the Board to
ascertain staff satisfaction levels and implement changes to working practices and the working environment as necessary. Since , the
Group has had a designated Non-Executive Director for workforce engagement on the Board.
• The Board promotes an open culture to ensure all personnel understand strategic direction and collaborate on ideas, opportunities and
concerns (e.g. fortnightly Business Update Meetings). This results in a high-performing, motivated team.
• All-staff training activities and events are organised throughout the year.
Business partners
• The Group nurtures well established relationships with joint venture partners, basing selection for future projects on previous successful
collaborations.
• The Group has a strong track record of working effectively with a diverse range of partners.
• Joint venture business plans are prepared to ensure operational and strategic alignment with our partners.
External partners
• The Group actively monitors its development projects and uses external project managers for support. Prior to engagement, potential
contractors are vetted for their quality, health and safety record and financial viability.
• The Group has a highly experienced team managing its properties, which regularly conducts on-site reviews and monitors cash flows
against budget.
• The Group seeks to actively monitor and maintain excellent relationships with its specialist professional advisors.
Governance Financial Statements Further Information
48 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Operational Risks continued
Risk 8:
Health and safety
Risk appetite: Low YoY change in severity:
Unchanged
Link to strategy:
– Asset selection
– Our people & relationships
Responsible Executive:
CEO
Description & potential impact
The nature of the Group’s operations and markets exposes it to potential health and safety (“H&S”)
risks, both internally and externally within the supply chain.
Compliance with H&S legislation/regulation, specifically building and fire safety regulations,
e.g. Building Safety Act 2022, is key.
As a real estate developer, we are exposed to public liability risks and there is always the potential
for accidents to occur on our sites involving occupiers or employees.
Mitigating actions & key controls
• The Executive Committee and Board set a clear tone for safety and wellbeing. H&S is a regular item on both the Board and the Executive
Committee agendas, and the report from an external H&S consultant is discussed at both meetings.
• The Board reviews and manages the potential consequences of building and fire safety rules, including the Building Safety Act .
• The Group reviews and updates its H&S Policy regularly and it is approved by the Board annually.
• The Group’s H&S Committee oversees and improves workplace safety initiatives, policies, and procedures. In addition, the Committee keeps
track of pertinent legal and regulatory developments.
• Contractors are required to comply with the terms of the Group’s H&S Policy.
• The Group hires an external health and safety consultant to examine contractor agreements, verify suitable rules and procedures are in
place and monitor adherence throughout the project.
• Employees receive ongoing health and safety training as needed.
• H&S risk management strategies handle public liability risks by ensuring adequate property maintenance, safety measures and frequent
risk assessments.
• The internal asset managers conduct regular site visits with the external managing agents, Ashdown Phillips, to ensure property conditions
are appropriate and compliance with law and regulations.
• We have comprehensive public liability insurance to cover legal claims arising from injuries and property damage.
Risk 9:
Significant business disruption/external catastrophic event/cyber-attacks to our business
and our buildings
Risk appetite: Moderate
YoY change in severity:
Unchanged
Link to strategy:
– Growth
– Asset selection
Responsible Executive:
All Executive Directors
Description & potential impact
The Group’s operations, reputation or financial performance could be adversely affected and
disrupted by major external events such as pandemic disease, civil unrest, war and geopolitical
instability, terrorist attacks, extreme weather, environmental incidents and power supply shortages.
All of these potential events could have a considerable impact on the global economy and our
stakeholders.
The increasing reliance on and use of digital technology has heightened the risks associated with IT
and cyber security. Risks are continually evolving, and we must design, implement and monitor and
maintain effective controls to protect the Group from cyber-attack or major IT failure.
Misinformation and disinformation may radically disrupt electoral processes in several economies
over the next few years.
The metaverse and artificial intelligence (“AI”) are two forms of disruptive technology which have
been identified as having the potential to reduce the demand for physical office space, and thus
impact our strategy.
Mitigating actions & key controls
• The Group periodically reviews and tests its Business Continuity Plans, IT Business Continuity Plans and response procedures.
• The Group works with external IT professionals to maintain high-quality IT systems, manage risk and improve technical standards as the
security environment evolves. This includes using cloud-based technologies, conducting penetration tests, performing regular off-site
backups and implementing a comprehensive disaster recovery plan. The external provider also assures the system’s security, which is
subject to frequent testing such as bi-annual disaster recovery tests and annual Cyber Essential Plus certification.
• A robust control environment is in place for invoice approval and payment authorisations, including authorisation limits.
• Staff training and awareness programmes operate throughout the year.
• The Group periodically instructs external reviews of its anti-financial crime and cyber security frameworks and provides training to all
employees.
• The Group has disaster recovery plans, on-site security and insurance policies in place to reduce the impact of external disasters
on its assets.
• The Group’s external property managing agents use industry standard IT security controls and continuously review their suitability.
• The Group has comprehensive cyber insurance cover to help mitigate financial losses and liabilities caused by sensitive data breaches.
Risk management
continued
Governance Financial Statements Further Information
49 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Risk management
continued
Reputational Risks
Reputational risks are those that could affect the Group in all aspects of its strategy.
Risk 10:
Poor management of stakeholder relations and non-compliance with prevailing legislation,
regulation and best practice
Risk appetite: Low
YoY change in severity:
Unchanged
Link to strategy:
– Growth
– Our people & relationships
Responsible Executive:
All Executive Directors
Description & potential impact
Reputational damage resulting in a loss of credibility with key stakeholders is a continuous risk for
the Group.
The nature of the Group’s operations and markets exposes it to financial crime risks (including
bribery and corruption risks, money laundering and tax evasion) both internally and externally within
the supply chain.
The Group could attract criticism, negative publicity or financial penalties for failing to comply with
prevailing relevant legislation and regulation.
As a REIT, the Group is required to adhere to the relevant legislation and failure to comply could
result in adverse tax consequences.
Mitigating actions & key controls
• The Board regularly reviews its strategy and risks to ensure it is acting in the interests of its stakeholders.
• The Group’s developments incorporate the community in the planning process and provide employment and education opportunities during
construction and operations.
• The Board reviews, updates, and approves Group policies and procedures related to applicable legislation and regulations annually.
• All employees have access to the Staff Handbook, which includes Group policies and procedures related to major legislation and regulations.
• Regular meetings with investors and analysts strengthen the Group’s relationships.
• The Group avoids conducting business in high-risk territories.
• The Group has policies and processes in place to reduce bribery and corruption concerns, and legal specialists are hired as needed to
support these policies.
• Annual training on anti-money laundering, bribery prevention and equality, diversity and inclusion is mandatory for all employees. All
employees are expected to disclose information about corporate hospitality and gifts received. Staff members are given anti-financial crime
training on a regular basis to increase their knowledge.
• The Group’s Head of Tax evaluates existing and projected REIT compliance.
• The Group’s whistleblower reporting channel allows employees to report misconduct privately or anonymously.
Governance Financial Statements Further Information
50 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Viability statement
Helical’s long-term prospects
With over 35 years’ experience as a property
company, the Group has navigated multiple
property cycles. These cycles present challenges
and opportunities and it has been through
successfully responding to both that Helical has
grown to become a highly respected London
office developer and asset manager. During this
time, it has also built an extensive network of
trusted partners who provide support, capital
and access to new opportunities.
The Group has a high-quality portfolio with excellent
sustainability credentials, primarily located in central
London, and is delivering best-in-class space which
appeals to occupiers who need to attract the best
talent. Helical has a long-standing strong relationship
with the financial institutions who provide its debt
and has long-term and flexible financing.
It is from this strong position that the Board has
considered the Group’s future viability.
Time period assessment
The Directors have assessed the viability of the
Group for a period of four years to March 2030,
being the period for which the Board regularly
reviews forecasts, and which encompasses the
lifetime of the Group’s major development projects.
The Board considers the future performance of
the Group beyond five years, but less certainty
exists over the forecasting assumptions beyond
this period. The timeframe has reduced from prior
year as the main milestones from the current
property portfolio fall within the range of four years
and any estimations outwith this period would
involve significant judgements.
Review process
The viability of the Group is reviewed throughout
the year and through multiple channels,
detailed below:
• The strategic direction of the Group is established
by the Board once a year and is captured in the
business plan which forms the basis of the
detailed budgets and actions for the year;
• The Board and Audit and Risk Committee review
the principal risks of the Group at least twice a
year, reassessing the severity of each risk and
determining the Group’s proposed response
and planned mitigation;
• The forecasts for the Group are updated and
reviewed by the Board and Executive Committee
on a quarterly basis; and
• Management reviews the short-term (three
to eighteen months) cash requirements of the
Group on a monthly basis and cash balances
and movements are monitored weekly.
Principal risks and sensitivity analysis
In making its assessment, the Board considers
the Group’s principal risks and assesses their
combined potential impact in severe, but plausible,
downside scenarios together with the likely
effectiveness of mitigating actions that the Group
has at its disposal.
The assessment included the following key
assumptions:
• Rental income – whilst the Group has a WAULT
of 2.3 years across its portfolio, both void and
rent-free periods have been included where a
lease term ends within the period of review;
• Debt financing – the Group’s primary source
of financing is its £210m Revolving Credit Facility
which expires in September2028 and has two
one-year extension options;
• Development and asset management – these
activities require capital expenditure, and this has
been included for both specific projects and
general ongoing works; and
• Administration expenditure and finance costs
– administration expenditure has been subject to
inflationary increases. The hedging instruments
the Group has in place mitigate the impact of
future changes to the interest base rate until
October 2028.
The most relevant risks and their potential impact
are highlighted below:
Risk areas Principal risks
Tenants unable to pay their
rent due to one or more of
the following:
• Recession due to
inflationary pressures
• Pandemic or geopolitical
event
• Loss of rental income
could put debt covenants
under pressure requiring
partial/complete loan
repayment
• Property valuation falls
could put debt covenants
under pressure requiring
partial/complete loan
repayment
• Significant business
disruption/external
catastrophic event/
cyber-attacks to our
business and our buildings
• Property values decline/
reduced tenant demand
for space
• Geopolitical and economic
• Availability and cost of
bank borrowing, cash
resources and potential
breach of loan covenants
The Group performs sensitivity analysis with a
focus on the impact of a loss of rental income on
debt covenants. The results of the analysis shows
the following:
• The bank facility financial covenants have
headroom to withstand a 36% fall in contracted
rental income;
• Property values could fall by 46% before loan to
value covenants come under pressure; and
• Additional asset sales could be utilised to
generate cash to repay debt, materially
increasing covenant headroom.
The Group also performed a severe downside
scenario whereby the following was tested:
• No more vacant space let.
• Breaks are exercised.
• Cash flow on the Southwark profit delayed.
• Planned repayment on the RCF facility still made.
This downside scenario showed that the Group
still has significant headroom throughout the
forecast period.
Further details are included in the going concern
review on page 143.
Based on the outcome of this review and other
matters considered by the Board, the Directors
hold a reasonable expectation that the Group will
be able to continue in operation and meet its
liabilities as they fall due over the four-year period
to 31 March 2030.
Governance Financial Statements Further Information
51 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
In an evolving sustainability landscape, we are committed
to delivering best-in-class sustainable assets and shaping
industry transformation.
Sustainability at Helical
OUR SUSTAINABLE
FUTURE
Governance Financial Statements Further Information
52 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
OUR
ENVIRONMENT
Development pipeline
All sites targeting:
• EPC A
• NABERS 5* or above
• BREEAM Outstanding
• WELL Shell and Core Platinum
Upfront Embodied Carbon
• Two out of six sites on track to achieve the UK
Net Zero Carbon Building Standard targets
• All sites are targeting:
–600 kgCO
2
e/m
2
for New Builds*
–380 kgCO
2
e/m
2
for Major Refurbishments
Operational Energy
• All sites on track to achieve the UK Net Zero
Carbon Building Standard targets
• All sites are targeting:
–85 kWh/m
2
for New Builds
–120 kWh/m
2
for Major Refurbishments
Progress since the publication of our
“Built for the Future” strategy
Environmental benchmarks
42%
Reduction in Scope 1 and 2 emissions
31%
Reduction in energy intensity of our development
portfolio since 2020
100%
of assets hold or targeting EPC A or B
Sustainability at Helical
continued
As we react to the ever-changing landscape of the
property sector, we remain committed to a sustainable
future and seek innovative ways to deliver leading-edge
sustainable assets.
The Evolving Context
In 2022, we introduced our initial “Net Zero Carbon
Pathway” document which made a commitment
for Helical to reach net zero by 2030. Since then,
we’ve made strides in the world of sustainability:
we’ve achieved a GRESB rating of 88/100, CDP
rating of B, an EPRA sBPR Gold Certificate, been
recognised on the FTSE4Good index and have
reduced our Scope 1 and 2 emissions by a
combined 42%. We’ve incorporated NABERS
assessments into our operational carbon strategy
and we’re on track to deliver two projects below
the upfront carbon limit put forward by the UK Net
Zero Carbon Building Standard (“UKNZCBS”).
Through this period of time, Helical has changed
as a business; while the investment aspect of our
business is still just as important as it once was,
our strategy is increasingly focused on
development activity. This change increases our
annual emissions drastically and lends itself to
higher Scope 3 emissions which are naturally
harder to avoid.
The world’s transition to clean power is
progressing well, and we’ve seen the rapid
decarbonisation of procured electricity and
a growing understanding of the importance of
energy resilience through the built environment.
However, the story for the contractors building our
developments looks different. Our supply chain is
navigating a complex transition to net zero,
compounded by significant and numerous shifts
in the macroeconomic and geopolitical landscape.
Investment in the research of low-carbon materials
has not been as substantial as is necessary and
embodied carbon legislation hasn’t progressed
at the pace required to ensure that low-carbon
construction remains competitive in the
development market. This change in landscape
has meant that our progress towards net zero
has been slower than anticipated. On top of this,
uncertainty around the carbon offset market, and
the transition towards a removal-only scenario,
has meant that the financial planning required
to prepare for net zero has not been possible.
Due to this contextual shift, we’ve made the
decision to adjust our net zero target to 2040.
This decision is not made lightly, and we remain
committed to playing our part in mitigating climate
change and achieving net zero. To reinforce this
change and to detail what the future of
sustainability looks like for Helical, later in the year
we will release an update to our “Built for the
Future” sustainability strategy and an update to our
“Net Zero Carbon Pathway” document. These will
then guide Helical’s journey to 2040 through the
ever-changing political and legislative landscape.
We are excited to continue our journey in driving
industry change and delivering some of the most
sustainable developments in London.
* Delta Paddington, W2, targeting 700kgCO
2
e/m
2
Governance Financial Statements Further Information
53 HELICAL PLC Annual Report and Accounts 2026
Strategic Report
Sustainability at Helical
continued
OUR
COMMUNITIES
Charity partnerships
Helical has a partnership with the Worshipful
Company of Chartered Surveyors’ Bursary
Scheme and continues to sponsor a student
throughout their degree. In addition to providing
a £10,000 per year grant to the recipient of the
Helical bursary, Helical staff offer the sponsored
student mentoring and work experience.
Volunteering
Staff completed a total of 373 hours of
volunteering, with 92 of those hours considered
‘skilled’ volunteering. This equates to an average
of 2 days per employee – an increase of 33% over
last year’s total. Volunteering included:
• A day of gardening at an allotment run by Single
Homeless Project;
• Supporting workshops and events at the
Building Future Skills programme organised by
Places for London (“PfL”) and Construction
Youth Trust;
• Holding Helical’s first work placement programme;
• Refurbishing space being used during the
implementation of the Severe Weather Emergency
Protocol for people who are rough sleeping;
• A day of landscaping at a women’s centre run
by Single Homeless Project;
• Decorating a Single Homeless Project centre
before Christmas to provide a festive and
welcoming space for their clients over Christmas;
• Attending the PfL Apprenticeship evening; and
• A litter pick organised by Mace Construct.
OUR
PEOPLE
640
Hours of training
12
Years’ average length of service at Helical
96%
Employee Retention Rate
Supporting our people
Our employees are key to the success of the
business and provide the next generation of future
talent and leadership at Helical. Our success is
built on the skills of our staff and therefore finding,
developing, rewarding and retaining our people
is a key element of our strategy.
We foster high staff retention through:
• Championing Equality & Diversity.
• Training and Development Plan.
• Enhanced Maternity and Paternity Pay.
• Access to Mental Health First Aiders.
• Two volunteering days a year.
Representation in Construction
Helical is ideally positioned to drive change in
the underrepresentation of specific groups within
the construction industry. Through our partnership
with PfL and our charity partners, we take on
activities focusing on driving up representation
and generally improving the intake of talent into
the construction and property sector. Activities
in the year included:
• Partnering with PfL’s Education Engagement
Programme and the Employment and Skills
Programme;
• Working with Construction Youth Trust to deliver
engagement sessions with students and young
people and arranging tours of our projects for
young people;
• Holding work experience days and a work
placement programme; and
• Mentoring the recipient of the Helical bursary.
Governance Financial Statements Further Information
54 HELICAL PLC Annual Report and Accounts 2026
Strategic Report