Listed landlords Landsec and Derwent have continued to rely on office tenants to make up the bulk of their rent collection during the first quarter of 2021, as the third Covid-19 lockdown caused significant disruption for retailers.
At Landsec, just 67% of £100m due in rent for the quarter ending 25 March had been collected within five days. That compares with 65% for the same period last year, when the first lockdown had just begun.
Office tenants, which made up the bulk of the rent due, paid 87% of rent during the period, while non-office central London tenants paid 29%, or £2m of £7m. Regional retail tenants had paid 38% of rent.
At Derwent, office tenants had paid 91% of rent for the March quarter, while retail tenants had paid 24%.
A higher percentage (93%) of Derwent’s rental income comes from offices, meaning that it received 87% of overall rent for the period.
It comes after non-essential retailers were allowed to reopen yesterday, after months of lockdown, as the UK eases its pandemic restrictions for what the government hopes will be the last time.
Derwent London owns 83 buildings in a portfolio predominantly in central London, valued at around £5.4bn, while Landsec’s £11.8bn portfolio spans 24m sq ft.
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