Capco suffers £275m hit as lockdowns damage value of Covent Garden estate
Property giant Capital & Counties has seen the value of its central London estate fall by around £275m in the second half of 2020, as the landlord was hit by Covid-19 lockdowns.
Capco, which manages over 1 million sq ft of space in the West End, suffered a 27 per cent yearly drop in value for its Covent Garden estate to £1.8bn.
Most of the drop related to the company’s retail, leisure and food portfolio, which represents three-quarters of its total property value.
Tenants have been sporadically forced to shut over the last year, leading to a drop in rent payments.
Capco has helped tenants throughout the crisis by allowing and rent-free periods and deferrals.
Confidence in comeback
Ian Hawksworth, Chief Executive of Capco, believes the company remains in a strong financial position and is confident in the long-term prospects for Covent Garden and the West End.
Hawksworth said: “Whilst there are significant near-term challenges to trading and an uncertain economic outlook due to the impact of the pandemic, we are encouraged by the enduring appeal of Covent Garden for customers.
“This is evidenced by recovery in footfall and trade following easing measures in the second half of 2020.”