Intu issues Brexit warning
The prime shopping centres owner, whose portfolio includes Manchester Arndale and Trafford Centre, produced a strong set of figures for new leases agreed and occupancy but warned the year ahead would “be challenging with considerable uncertainty regarding the UK’s EU exit.”
In a trading statement to the stockmarket this morning, David Fischel, Intu chief executive, commented: “The active tenant demand of last year has continued into the current year with 42 long term leases signed in the first quarter representing £6m of annual rent, 5% above the previous passing rent.”
Fischel continued: “Although retailers are being selective with their expansion plans, they are prioritising expansion to prime established locations with strong footfall. Intu as the UK market leader with 17 prime centres is well positioned to take advantage of this demand.
“The environment for business this year is likely to be challenging with considerable uncertainty regarding the UK’s EU exit. However, it is our intention to deliver continuing growth in like-for-like net rental income.”
Occupancy levels across the group were steady at around 95%.
Shares in Intu were down 2p at 277p by 11.30am.
