Below you will find our Q4 2025 performance announcement. This includes an LHX update, updated financial information on all properties, individual unit details, property disposals, dividends and other important information for investors.
To ensure that all clients have the opportunity to consider this announcement, the Exchange will be suspended as usual, for 3 working days, re-opening at 10am on Tuesday 10 February 2026.
Important upcoming dates
| 5 February | Unit schedule updated to 31 January 2026 |
| 10 February | LHX Exchange reopens for trading (10am) |
| 2 March | February activity update published |
Today’s announcements
1. LHX update
2. Portfolio performance
3. Dividend distributions
4. LHX Mortgage Bonds
5. Shareholder votes
6. Capital distributions
7. Property development loans
8. Properties with fire safety issues
9. Upcoming quarterly announcements
1. LHX update
The property team sold 17 residential units and 4 student assets in Q4 2025, amounting to £15.6m in property value. As a consequence £9 million of mortgage finance was repaid across our portfolio during the last quarter, reducing interest costs across the portfolio, with the total portfolio mortgage loan-to-value (LTV) currently at 38%.
Further student property sales have been finalised, with Verney Street having recently completed in December, as well as the final unit sales in a number multi-unit residential blocks; all of which are now going through the voluntary liquidation process, with a large number of distributions scheduled in the coming weeks.
We repaid the first Bridging Finance Investment Offering (Melksham, Wiltshire) in December, with investors achieving 10% returns over the 12 month term and successfully completed a further two Bridging investments, in Newham and Long Eaton and three LHX Mortgage Bonds.
We have further offerings launching in the coming weeks and months – all eligible investors will be notified of the scheduled launch time and date via email.
As ever we value your feedback, so please do not hesitate to get in touch with us via support@londonhouseexchange.com if you have any comments or questions.
2. Portfolio performance
Today (5 February 2026) we have published updated financial information for every property, including net income, mortgage details and the net cash position. You can find this information at the top of each property’s respective investment page, in the ‘Financials’ section.
The ‘Unit Details’ section, a tab within the ‘Financials’ section on each property’s investment page that provides detailed information on a unit-by-unit basis, has been updated today to reflect the latest status of every unit and contracted rent for let units. This tab is updated monthly and allows you to track sales progress for all properties voted for sale as part of their 5-year anniversary sales process.
All other information is updated to 31 December 2025.
Residential portfolio unit status
The table below gives a summary of unit status by category across the residential portfolio at 31 December 2025. The changes exhibited over time continue to highlight the focus on selling residential units, as we seek to repay mortgages and fulfil shareholder mandates to sell properties following their 5-year anniversary votes.
| Residential unit status | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 |
| Let | 224 | 204 | 182 | 167 | 138 | 129 | 118 | 105 |
| To let (vacant) | 5 | 4 | 6 | 2 | 4 | 4 | 5 | 5 |
| For sale (vacant) | 49 | 53 | 46 | 52 | 45 | 29 | 30 | 28 |
| Under offer (vacant) | 81 | 76 | 76 | 64 | 73 | 81 | 49 | 46 |
| Total current units | 359 | 337 | 310 | 285 | 260 | 243 | 202 | 184 |
| Sold | 169 | 191 | 218 | 243 | 268 | 285 | 326 | 344 |
Residential Unit sales
There were 17 residential units and 4 student assets sold in Q4 2025, amounting to £15.6m in property value.
Clients can see the performance of agreed and completed sales in the Individual Unit Details of each property and on our Selling Record.
Mortgage debt
The average interest rate across our mortgaged portfolio stands at 7%, which remains unaffordable for the majority of residential properties. The cost of servicing mortgage debt erodes rental income and is the primary reason for dividend suspension across the portfolio.
We are continuing to pay down mortgage debt wherever possible, predominantly through unit sales, and £9 million of mortgage finance was repaid across our portfolio during the last quarter. The total portfolio mortgage loan-to-value (LTV) is currently 38%.
3. Dividend distributions
Dividends have recently been suspended on Compass Court, Eastbourne and Flat 35, Sherringham Court, Hayes.
Information on dividends for all properties can be found on each of the property’s investment pages on the website.
4. Bridging Finance Investments
This quarter we successfully completed the fundraise of another two Bridging Investments; College Street, Long Eaton and Idmiston Road, Newham; and completed the first repayment of these new offerings.
The Melksham, Wiltshire Bridging Investment’s 12 month term completed in December with investors achieving a total return of 10.00% on the amount repaid, equivalent to the interest rate of 10.00% p.a. over the 365 day term.
The Bridging Finance Investments and their rates are presented below:
| Property | Current p.a. return |
| College Street, Long Eaton | 9.00% |
| Idmiston Road, Newham | 9.00% |
| Goodway Road, Solihull | 9.00% |
| St Pauls Road, Bradford | 9.50% |
| Melksham, Wiltshire | Fully repaid, with interest (10%) |
View Bridging Finance Investments page
4. LHX Mortgage Bonds
This quarter we successfully completed the fundraise of a further three Mortgage Bonds:
Following recent unit sales in Mortgage Bond properties during Q4 2025, there has been the partial repayment of capital and interest in two bonds:
- Dutch Quarter Mortgage Bond: Following the completion of the sale of flat 2, 57% of the outstanding Mortgage Bond has been repaid with interest. Bondholders achieved a total return of 22.09% on the amount repaid, equivalent to the interest rate of 8.82% p.a. over the bond’s 914 day term. The outstanding 43% of the Mortgage Bond remains in place, with bond investors continuing to accrue interest at a current rate of 7.75% p.a.
- Heritage Court Mortgage Bond: Following the completion of the sale of Flat 26, a further 24% of the Mortgage Bond has been repaid with interest. Bondholders achieved a total return of 5.98% on the amount repaid, equivalent to the interest rate of 9.65% p.a. over the bond’s 226 day term. The outstanding mortgage bond remains in place, with bond investors continuing to accrue interest at a current rate of 9.25% p.a.
The Mortgage Bonds and their rates are presented below, but please note the next Bank of England base rate decision is coming up on 19 March and any change to the base rate will be immediately passed directly on to bondholders, changing the per annum interest rate for each of our Mortgage Bonds:
| Property | Current p.a. return |
| Chadwick Road, Langley | 6.75% |
| Riverside House, Bourne End | 7.00% |
| Station Road, Redhill | 7.00% |
| Heritage Court, Dinnington* | 9.25% |
| Queen Street, Sheffield* | 6.50% |
| Dutch Quarter II, Colchester* | 7.75% |
| Hammonds Landing, Sowerby Bridge | Fully repaid, with interest |
| Spencer Parade, Northampton | Fully repaid, with interest |
| Flats 7 & 9 Anchor Point, Surrey Quays | Fully repaid, with interest |
| Keogh House, Swindon | Fully repaid, with interest |
| Devonshire Place, Brighton | Fully repaid, with interest |
| Flats 15 & 25 Anchor Point, Surrey Quays | Fully repaid, with interest |
| Garden Court, West Drayton | Fully repaid, with interest |
| Jubilee Mansions, Barons Court | Fully repaid, with interest |
* Indicates partial repayment of capital with interest following unit sales.
5. Shareholder votes
There are no votes currently ongoing.
Your Dashboard, sets out those properties in which you are a shareholder with ongoing votes when live and all shareholders will be notified via email.
6. Capital distributions
The following capital distributions occurred in Q4 2025:
Molyneux Court, Broadgreen, Liverpool: Following the sale of the property, the Company’s closing accounts have been finalised. In order to facilitate this, the Company was placed into members’ voluntary (solvent) liquidation on 5 December; with a cash distribution made the same day to shareholders’ LHX accounts.
Heddle Rise, Wakefield: Following the sale of the property, the Company’s closing accounts have been finalised. In order to facilitate this, the Company was placed into members’ voluntary (solvent) liquidation on 16 December 2025; with a cash distribution made the same day to shareholders’ LHX accounts.
Leeds Road, Harrogate: Following the sale of the property, the Company’s closing accounts have been finalised. In order to facilitate this, the Company was placed into members’ voluntary (solvent) liquidation on 27 November 2025; with a cash distribution made the same day to shareholders’ LHX accounts.
Ollivers Chase, Goring-by-Sea: Following the sale of the property, the Company’s closing accounts have been finalised. In order to facilitate this, the Company was placed into members’ voluntary (solvent) liquidation on 15 October 2025; with a cash distribution made the same day to shareholders’ LHX accounts.
Further information on the MVL process can be found here.
7. Property development loans
Proseed is providing updates on an ad hoc basis once information is provided to them. You can find the information on the outstanding loans on their respective investment pages here.
8. Properties with fire safety issues
We are working to help resolve outstanding fire safety issues where possible and the government is continuing to address the issues across the UK. Our power to progress the situation is limited in our capacity as a leasehold owner of a small number of flats within a larger block. However, where fire-safety issues have previously emerged and we are the freeholder we have been able to proceed to undertake the necessary works and resolve the issues.
The following properties have had their fire safety issue(s) recently resolved, valuations are being undertaken and 5-year anniversary votes have either recently been undertaken or are scheduled to occur post receiving the new valuation:
- The Heights, West Bromwich
- Terence House, Newcastle upon Tyne
- Premier House, Edgware
- Vista Tower, Stevenage
We have 5 properties that remain impacted, with remedial works in various stages of completion – please read the latest update on each affected property’s Latest Update section:
9. Upcoming quarterly announcements
5 May 2026 – market closed from 10 am that day until 10 am, 8 May 2026
7 September 2026 – market closed from 10 am that day until 10 am, 10 September 2026
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If you have questions about these announcements, please email us at support@londonhouseexchange.com
Best wishes,
The LHX team