26th Nov 2024 10:57
(Alliance News) - Shaftesbury Capital PLC on Tuesday said it is "encouraged" by strong leasing demand and an "excellent leasing pipeline" in a trading update.
The real estate investment trust is focused on the London West End entertainment district. It said it signed GBP15.9 million in new leases and renewals in the second half of its financial year to date, from July 1 to November 11. These rents are 9% ahead of estimated rental value in June 2024 and 7% ahead of previous passing rent.
The company said it had completed GBP240 million of asset disposals over the past 18 months, of which GBP152 million were completed in 2024.
Shaftesbury also noted a low vacancy rate with 2.1% of ERV available to let, down from 2.7% in June.
Chief Executive Ian Hawksworth said: "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."
Hawksworth said Shaftesbury will recycle capital from recent disposals into new acquisitions. "We are well-positioned to deliver attractive long-term returns as the leading central London mixed-use REIT," he said.
Shaftesbury Capital shares were up 0.7% to 135.60 pence in London on Tuesday morning. They were up 2.5% in Johannesburg to ZAR30.90.
By Michael Hennessey, Alliance News reporter
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