Property companies were the strongest risers in morning trading on the FTSE 100 (at 1034), with Land Securities (LAND.L) soaring by 6.8 per cent to 798.5p.

Land Securities - developer of One New Change (pictured) - led the pack after reporting pre-tax profits of £1.23 billion for the financial year to 31 March, a 14.8 per cent increase on the previous year's showing.

The real estate investment trust (REIT) reported a rise in property disposals, reporting £687 million in disposals at average prices more than 12 per cent above March 2010 valuations.

Francis Salway, chief executive of Land Securities, said the market had seen a 'continued recovery' during the financial year.

Salway said the REIT was developing schemes to meet an anticipated undersupply in new office floor space in London.

The chief executive said the REIT had benefitted from a strong exposure to London, which has been the strongest recovering part of the property market.

Alison Carnwath, chairman of Land Securities, said it aimed to be the best perfoming REIT in the UK.

The news helped buoy other property companies listed on the FTSE 100. British Land (BLND.L) rose 4.8 per cent to 605.5p, Hammerson (HMSO.L) increased 3.9 per cent to 482.5p, while Capital Shopping Centres (LII.L) added 3.1 per cent to 402.3p.

The only non-property company in the top five risers early on was Eurasian Natural Resources (ENRC.L), which reported a 3 per cent increase to 831p .

The biggest faller (at 1036) was supermarket chain Sainsbury's (SBRY.L) falling 3.7 per cent to 341.6p as it went ex-dividend.

Scottish & Southern Energy (SSE.L) dropped 1.9 per cent to 1,305p, while Admiral (ADM.L) shed 1.4 per cent down to 1,712p, as it too went ex-dividend.

Both 3i Group (III.L) and TUI Travel (TT.L) shed 1.2 per cent, falling to 290.5p and 240.9p, respectively.

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