Below you will find our Q2 2026 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 Monday 10 August 2026.
Important upcoming dates
| 10 August | LHX Exchange reopens for trading (10am) |
| 7 September | August 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 18 residential units in Q2 2026, amounting to £1.69m in property value, with a further 7 units sold in July with a value of £1.26m. As a consequence £400k 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 33%. Moreover, there are a further 56 residential units currently under offer.
We completed 8 members’ voluntary liquidations in Q2, with a further 2 completed in July.
We repaid a further two LHX Mortgage Bonds and successfully completed the fundraises of a further 5 Bridging investments, including our first commercial Bridging Finance investment offering.
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 August 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 July 2026.
Residential portfolio unit status
The table below gives a summary of unit status by category across the residential portfolio at 31 March 2026. 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 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 |
| Let | 129 | 118 | 105 | 103 | 87 |
| To let (vacant) | 4 | 5 | 5 | 3 | 2 |
| For sale (vacant) | 29 | 30 | 28 | 22 | 37 |
| Under offer (vacant) | 81 | 49 | 46 | 39 | 23 |
| Total current units | 243 | 202 | 184 | 167 | 149 |
| Sold | 285 | 326 | 344 | 361 | 379 |
Residential Unit sales
There were 18 residential units in Q2 2026, amounting to £1.69m in property value, with a further 7 units sold in July with a value of £1.26m.
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 6.7%, 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 £400k of mortgage finance was repaid across our portfolio during the last quarter. The total portfolio mortgage loan-to-value (LTV) is currently 33%.
3. Dividend distributions
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 5 Bridging Investments, including our first commercial bridging investment, with over £850k invested.
The Goodway Road, Solihull Bridging Investment’s 12 month term completes September 9 – investors will receive an email once repayment has occurred.
The Bridging Finance Investments and their rates are presented below:
| Property | Current p.a. return |
| Whitehaven, Cumbria | 9.00% |
| Durley Road, Birmingham | 9.00% |
| Clarendon Road East, Morecambe | 9.00% |
| Priory Street, Carmarthen | 9.00% |
| Lucan Place, Chelsea, London | 8.50% |
| College Street, Long Eaton | 9.00% |
| Idmiston Road, Newham | 9.00% |
| Goodway Road, Solihull | 9.00% |
| St Pauls Road, Bradford | Fully repaid, with interest (9.50%) |
| Melksham, Wiltshire | Fully repaid, with interest (10%) |
View Bridging Finance Investments page
5. LHX Mortgage Bonds
Following recent unit sales in Mortgage Bond properties during Q2 2026, there has been the full repayment of capital and interest in two bonds and a partial repayment of another (Heritage Court) in July.
- Riverside House Mortgage Bond: Following the sale of unit 4, the Mortgage Bond has been repaid in full with interest. Bondholders achieved a total return of 2.63% on the amount repaid, equivalent to an interest rate of 7.27% p.a. accounting for changes in the Base Rate over the bond’s 132 day term.
- Queen Street, Sheffield: Following the sale of unit 2, the remainder of the Mortgage Bond has been repaid in full with interest. Bondholders achieved a total return of 16% on the amount repaid, equivalent to an interest rate of 7% p.a. accounting for changes in the Base Rate over the bond’s 811 day term. Total bondholder returns across the loan term were 7.51%.
The Mortgage Bonds and their rates are presented below, but please note the next Bank of England base rate decision is coming up on 17 September 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% |
| Station Road, Redhill | 7.00% |
| Heritage Court, Dinnington* | 9.25% |
| Dutch Quarter II, Colchester* | 7.75% |
| Queen Street, Sheffield | Fully repaid, with interest |
| Riverside House, Bourne End | Fully repaid, with interest |
| 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.
6. Shareholder votes
There are currently no ongoing shareholder votes.
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.
7. Capital distributions
The following capital distributions occurred in Q2 2026:
Stokes Mill, Stalybridge: The Company was placed into members’ voluntary (solvent) liquidation on 24 June; with a cash distribution made the same day to shareholders’ LHX accounts.
Sandy House, Rugby: The Company was placed into members’ voluntary (solvent) liquidation on 16 June; with a cash distribution made the same day to shareholders’ LHX accounts.
Flat 3, 51 St James Road, Sutton: The Company was placed into members’ voluntary (solvent) liquidation on 16 June; with a cash distribution made the same day to shareholders’ LHX accounts.
Woodside Road, Tonbridge: The Company was placed into members’ voluntary (solvent) liquidation on 14 May; with a cash distribution made the same day to shareholders’ LHX accounts.
Graham Road, London: The Company was placed into members’ voluntary (solvent) liquidation on 14 May; with a cash distribution made the same day to shareholders’ LHX accounts.
George Road, Halesowen: The Company was placed into members’ voluntary (solvent) liquidation on 14 May; with a cash distribution made the same day to shareholders’ LHX accounts.
Spencer Parade, Northampton: The Company was placed into members’ voluntary (solvent) liquidation on 16 April; with a cash distribution made the same day to shareholders’ LHX accounts.
St David’s Lodge, Hastings: The Company was placed into members’ voluntary (solvent) liquidation on 16 April; with a cash distribution made the same day to shareholders’ LHX accounts.
Further information on the MVL process can be found here.
8. 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.
9. 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 three 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:
10. Upcoming quarterly announcements
5 November 2026 – market closed from 10 am that day until 10 am, 10 November 2026
5 February 2026 – market closed from 10 am that day until 10 am, 10 February 2026
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If you have questions about these announcements, please email us at support@londonhouseexchange.com
Best wishes,
The LHX team