15 Jul - 3 min read
Rent collection rates continue to improve
Rent collection rates continue to improve Hammerson plc (Incorporated in England and Wales) (Company number 360632) LSE and Euronext Dublin share code: HMSO JSE share code: HMN ISIN: GB00BK7YQK64 (“Hammerson” or “the Company”) 15 July 2021 Rent collection rates continue to improve Since our last update on 20 April 2021, whilst some Covid-related restrictions have eased in all territories, measures remain in place affecting F&B, leisure and cinema operators in particular, although we expect this to be lifted in the coming weeks in the UK. Additional restrictions have also been announced in France taking effect from 21 July; it is too early to assess the operational impact. Footfall trends in all territories remain encouraging, with seven-day averages currently sitting at around 70-80% of 2019 levels, following an initial spike on reopening. Many retailers continue to report high sales and conversion rates as visitors shop with purpose. These trends have been particularly positive in France during the first few days of the summer sales period. Rent collection rates have continued to improve, with 89% of billable rents collected for FY20, and 68% for H1 21. Initial Q3 rent collection at 47% is ahead of Q1 and Q2 at the same point in time, and FY21 YTD collection now stands at 62%. We expect all rent collections to continue to improve as remaining Covid-related restrictions are lifted. We do not anticipate granting future concessions and all avenues to collect rents due are being pursued. Total Total Waived, Total Total Total Collected Demanded Written Off Period Due Collected Outstanding of due in Quarter and Not Yet (£m) (£m) (£m) % (£m)(1) Due (£m) FY 2020 264 26 238 211 27 89% Q1 21 58 12 46 35 11 76% Q2 21 54 - 54 33 21 61% H1 21 112 12 100 68 32 68% Q3 21 42(2) 3 39 18 21 47% 2021 YTD 154 15 139 86 53 62% Footnotes: 1. Excludes Value Retail 2. Decline in total demanded in Q3 predominantly reflects disposal of retail parks portfolio to Brookfield completed on 19 May 2021 ENDS Hammerson has its primary listing on the London Stock Exchange and secondary inward listings on the Johannesburg Stock Exchange and Euronext Dublin. Sponsor: Investec Bank Limited Investor Contact Hammerson Josh Warren, Director of Strategy and Investor Relations Tel: +44 20 7887 1053 email@example.com Press Contacts Hammerson Catrin Sharp, Head of Corporate Communications Tel: +44 20 7887 1063 firstname.lastname@example.org FTI Consulting (for Hammerson) Dido Laurimore Tel: +44 20 3727 1000/ 0780 1654424 email@example.com Notes to editors Hammerson Hammerson creates vibrant, continually evolving spaces, in and around thriving European cities, with a focus on flagship retail destinations and premium outlets. As at 31 December 2020, our portfolio of high-quality venues had a value of £6.3 billion and included 21 flagship destinations in thriving cities and investments in premium outlet villages through our partnership with Value Retail. Key retail venues include Bullring & Grand Central, Birmingham, Bicester Village, Oxfordshire, Dundrum Town Centre, Dublin, and Les Terrasses du Port, Marseille. Date: 15-07-2021 08:00:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on, information disseminated through SENS.