Bulgarian Land Development said today that it would return cash to shareholders as the Bulgarian property market becomes ‘more challenging’.

The AIM-listed fund said that following conversations with its largest shareholders it would start to return capital.

‘The board is therefore currently undertaking a review of all the projects within its property portfolio to determine the best way to achieve this,’ the company said in a statement.

‘With this in mind, the board also intends to adopt an appropriately conservative approach to investing capital in existing projects until this review is complete.’

Falling shares

In its results for 2007, published in March, the company said it has invested 15 development projects and that an unaudited valuation from Savills put its net asset value at 130p a share. Since then it has made its first investment in office developments and bought more land.

Its shares fell 1% to 50p this morning.