GREEN Property has recorded substantial growth with an 89 per cent rise in pre-tax profit from €10.8 million (£8.51 million) to €20.4 million in the six months to June 30th, 1999.

The market showed its approval with a 20 cents rise in the share price to €5.80 but the price is still at a substantial discount to the net assets per share of €7.15 which grew by 21.8 per cent.

Reflecting the good results, the interim dividend is being raised from 2.28 cents to 2.40 cents.

Green benefited from the second phase of the newly opened Blanchardstown retail park, a revaluation of properties, profits from the disposal of properties and a favourable exchange environment. Prof Michael MacCormac, Green chairman since 1983, who has overseen the group's rapid expansion, is to retire. He will be replaced by Mr Ray MacSharry, a non-executive director for the past five years.

The latest group results show a 49 per cent rise in net rents from €22.66 million to €33.75 million. Operating profit grew by 42 per cent from €21.2 million to €30.1 million. Diluted earnings per share rose from 11.04 cents to 13.71 cents, reflecting good underlying growth.

Green is in a strong financial position with a fall in the gearing from 64 per cent to 55 per cent. Managing director Mr Stephen Vernon said this would allow it to spend £200 million on investments and that negotiations were in place on several developments. Green's Irish portfolio grew by 10.5 per cent in the first half with developments coming on stream, said Mr Vernon. In Britain, the portfolio grew by 7 per cent and was ahead of expectations with reasonable sales at good margins The second quarter was well up on the first quarter.

Prof MacCormac said the second phase of the retail park at Blanchardstown opened fully let with quality tenants. The centre, Development activity at the Fonthill Industrial Park is said to be continuing. The group has built, or pre-let units, which will produce rent of some €1.46 million.

The other Irish developments are progressing well, the chairman said, with the Killarney operation to open shortly. The Hatch Street office development in Dublin should be completed by the end of the year and the first office block at Sandyford now under construction should be finished next year.