Capital & Regional suitor NewRiver REIT has boasted “strong operational performance” as it secures rents ahead of ERVs and elevated occupancy and tenant retention rates.
Updating on the first three months of trading in its financial year, the group said it had maintained occupancy at 97.3% and completed 147,300 sq ft of new lettings at rents some 4.3% ahead of ERVs.
Chief executive Allan Lockhart said: “The strong operational performance delivered in our last financial year continued into the first quarter of FY25 with leasing transactions ahead of ERVs and occupancy and tenant retention rates maintained at elevated levels.
“Our portfolio continues to perform well, underpinned by good occupational demand and the quality of our asset management.”
Lockhart added that its recent acquisition of Ellandi had accelerated the growth in its capital partnerships business, where it now had a “meaningful platform”, comprising £2bn of retail real estate assets, collecting almost £190m of annual rent from more than 3,000 tenants.
“This scale provides us with an incredible insight into the consumer, retail and capital markets,” he said.
The group also has some £134m of cash available in the business, which Lockhart said gave it “significant deployment optionality”.
NewRiver is one of two firms that have shown interest in buying shopping centre owner Capital & Regional. NewRiver made its intentions known in April and has until 15 August to make a firm offer. Last month Praxis also joined the race as a potential suitor. It has until 16 August to make its bid.
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