Shaftesbury Capital has posted its trading update for the five months to 11th November 2024, having completed £15.9m worth of new leases and renewals, 9% ahead of June 2024’s estimated rental value (ERV) and 7% ahead of previous passing rent.
The REIT reported low vacancies of 2.1% of ERV available to let (June 2024: 2.7%).
“Our West End estates are busy and vibrant coming into the Christmas trading period with high footfall and good customer sales growth. We are encouraged by the strong leasing demand across all uses,” commented Chief Executive, Ian Hawksworth.
The Group says that retail and hospitality leasing demand has been strong across its portfolio with 48 new openings since July 2024. Customer expansion continues with an increasing number of retailers taking up office space as well as additional retail space.
Shaftesbury has concluded £240 million of disposals over the past eighteen months of which £152 million were completed in 2024. In addition, the Group completed the sale of its 50% interest in Longmartin to their JV partner for a net cash consideration of £94 million following the completion of the merger between Capital & Counties and Shaftesbury which triggered the right for the partner to require the Group to offer to sell its shares in the Longmartin investment. Its partner elected to acquire the Company’s shares which compares with a net value in the December 2023 balance sheet of £95 million.
£57.5 million of private placement debt was repaid on maturity in August 2024 with a further £37.5 million to be repaid in maturity in December 2024. Taking account of disposals and debt repayments, Shaftesbury’s pro forma EPRA LTV (based on June 2024 valuations) is 29%, net debt is £1.4 billion and cash and undrawn facilities amount to over £550 million (June 2024: £579 million).
