Coronavirus: Retail landlord Hammerson suffers drop in rent payments
Retail landlord Hammerson received 37 per cent of the rent it was owed in the second quarter as its tenants suffered a drop in sales and forced closures due to the coronavirus pandemic.
The shopping centre owner this morning said adjusted for rent deferred, switched to monthly payment and waived, it had received 57 per cent of what was due.
“We anticipate both figures to increase as temporary agreements are implemented and further cash is collected,” the company, which owns Birmingham’s Bullring shopping centre, said.
Rival landlord Intu last week announced that it had received just 29 per cent of the rent it was owed.
Last week the government ordered all non-essential retailers, such as clothing and electronics stores, to slow the spread of coronavirus in the UK. Across its flagship destinations around 30 units are still trading, accounting for around four per cent of rent.
In a statement this morning Hammerson said: “In these circumstances, we believe we should support our occupiers, particularly smaller and independent brands that are less resilient to the closure of their space in our centres.
“We have received a variety of requests for rent deferrals, monthly payments, and waivers, which we are reviewing on a case-by-case basis, taking into account the business model and risk profile of the occupier, alongside the aid made available by the relevant governments.”