Hammerson has collected just 37% of the rent due from its tenants as the effects of the coronavirus on retail landlords grow.
The company said it has seen a “variety of requests for rent deferrals, monthly payments and waivers” from its tenants and is reviewing these on a case-by-case basis depending on the risk profile of the occupier and the aid that has been made available by the government.
Across its UK portfolio, Hammerson has received 37% of rent due for the second quarter. After taking into account rent that was deferred, had switched to a monthly payment or had a “nominal proportion waived”, this stood at 57%.
At its (now closed) flagship stores – Victoria in Leeds and Highcross in Leicester – the landlord received 35% of rent for Q2, which on an adjusted basis stood at just over half (55%) of rent expected. This compares to 96% for the same period last year.
At Hammerson’s UK retail parks, 36% of rent due (62% on an adjusted basis) was collected.
Temporary monthly rent arrangements have been arranged with tenants occupying space in Hammerson’s retail portfolio in France. Payment for the month of April will be deferred, with further guidance from the government on a payment timeline expected before 15 April.
Currently, May and June will be due in advance at the beginning of the month.
Hammerson said coronavirus will have an impact on the company’s 2020 financial results, and it is no longer recommending the final dividend of 14.8p per share.
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