Hammerson, the operator of some of the UK’s biggest shopping centres housing hundreds of casual dining outlets has announced it will cut rents for tenants by 30% to aid recovery from lockdowns.
Hammerson runs icons of footfall including London’s Brent Cross reported collecting circa 75% of rents owed by tenants and agreed to abatements with those who need it.
The move was unexpected, as Hammerson reported a loss of £1.7 billion in its last financial year to 31 December 2020. It is seen to be trying to avoid following Intu, the debt laden owners of the Trafford Centre in Manchester that was forced into administration last year.
Planning ahead, the much anticipated move towards the development of more housing in shopping centres and high streets, is on Hammerson’s agenda. The plans are widespread across Hammerson’s estate portfolio.
Mark Bourgeois, Managing Director UK and Ireland at Hammerson said: “We are delighted to submit this proposal for high-quality homes for local people to rent, which will support our brands.”
The rent reductions will be welcomed by hospitality operators, as will future residents.
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Hospitality & Catering News: Hammerson announce rent reductions of 30% and high street housing plans. – 16 April 2021 – Hammerson announce rent reductions of 30% and high street housing plans.
