×
76
Fashion Jobs
PUMA
Executive, Marketing
Permanent · Hong Kong
SHISEIDO
Senior Manager, Supply Chain Management
Permanent · Hong Kong
SHISEIDO
Manager - Marketing, Shiseido Fragrance Division And dg Beauty
Permanent · Hong Kong
AESOP
Regional Training & Performance Manager
Permanent · Hong Kong
AESOP
Assistant Marketing Manager, Brand Partnership
Permanent · Hong Kong
AESOP
Regional Customer And Store Experience Manager
Permanent · Hong Kong
AESOP
Retail Consultant | Hong Kong And Macau
Permanent · Central
SHISEIDO
Contract Accounting Officer, Finance And Accounts
Permanent · Hong Kong
SHISEIDO
Manager - Business Planning, Ipsa
Permanent · Hong Kong
SHISEIDO
Manager - Ecommerce & CRM, Nars
Permanent · Hong Kong
PUMA
Executive, Key Account - Partner Store
Permanent · Hong Kong
SHISEIDO
Accountant - Financial Planning & Analysis, Finance And Accounts
Permanent · Hong Kong
SHISEIDO
Assistant Manager/Senior Officer - Demand Planning, Ipsa
Permanent · Hong Kong
PUMA
Coordinator Sample Accessories
Permanent · Hong Kong
SHISEIDO
Assistant Manager - Inventory Planning, Supply Chain Management
Permanent · Hong Kong
PUMA
Developer Apparel
Permanent · Hong Kong
GUSTO LUXE (FORMERLY REUTER COMMUNICATIONS)
PR Intern
Internship · 香港
PUMA
Assistant Manager Business Process Solutions
Permanent · Hong Kong
PUMA
Assistant Accountant
Permanent · Hong Kong
AESOP
Regional fp&a Analyst, Asia
Permanent · Hong Kong
AESOP
Office Coordinator
Permanent · Hong Kong
AESOP
Employee Experience Officer
Permanent · Hong Kong
Published
Mar 12, 2021
Reading time
2 minutes
Share
Download
Download the article
Print
Click here to print
Text size
aA+ aA-

Hammerson hurt by Covid as rent collections plummet in UK and Europe

Published
Mar 12, 2021

​Shopping malls giant Hammerson struggled badly in 2020 as tenants didn't pay their rent and stores in its properties were closed for months on end.


Bicester Village


The company’s properties include the giant Bullring mall, plus a raft of other UK, Irish and French shopping centres and premium outlets such as tourist destination Bicester Village.

It said on Friday that it made an IFRS loss of £1.7 billion last year, primarily due to a property revaluation deficit (2019’s IFRS loss had been £781 million). And its net rental income fell 41% on a like-for-like basis to just £158 million, “impacted by Covid-19 closures, tenant restructuring and higher provisions for bad debt and tenant incentives”.

Its portfolio valuation at year-end was £6.388 billion, down from £8.327 billion a year earlier. That reflected UK flagships’ capital return being down 35.8%, French flagships down 15.3%, Ireland flagships down 17.5%, retail parks down 23.3%, and outlets operator Value Retail down 6.2%.

Other evidence of just how tough 2020 was came as it said group occupancy was down to 94.3% from 97.2% and leasing was impacted during the pandemic too. Leasing activity was down 35% vs 2019.

CEO Rita-Rose Gagné said: “By any measure, 2020 was an unprecedented year with every business and household affected by Covid-19. As our results show, Hammerson was hit hard. The retail sector, already in the grip of major structural change, has been significantly impacted by the restrictions imposed to tackle the pandemic, and we’ve also seen an increasing number of retail failures. Combined, this has resulted in the largest fall in net rental income and UK asset values in the group’s history.”

But she also added an upbeat note, saying: “However, if this pandemic has highlighted anything, it is how much we all crave human contact as inherently social beings. As a business, Hammerson provides the places and social infrastructure where people want and need to be, and I am confident it will have a vital role in shaping neighbourhoods and communities in the future.”

She said the focus for now is getting through the pandemic. This means “further disposals to strengthen the balance sheet, managing refinancing, and sharpening our operations to maximise income”. It will then focus on “realising the quality of our destinations to drive the business forward”. Gagné said the business is currently working on a thorough strategic and organisational review “that will map out a route to future growth to transform the business in the context of what will remain a tough economic and structural backdrop”.

Copyright © 2022 FashionNetwork.com All rights reserved.