Shaftesbury PLC reports “robust trading” update

Shaftesbury PLC, the Real Estate Investment Trust that owns a 15-acre portfolio in London's West End, has reported that while the retail sector remains challenging, it had “robust trading” and footfall across its portfolio this summer.

In its trading update for the six months to September 27, it states there was a “healthy demand” for space and occupancy remains high, and that at its larger schemes they were seeing “good leasing progress”. At its Central Cross development in Chinatown, 76 percent is let or under offer, while 57 Broadwick Street was fully let.

Brian Bickell, chief executive of Shaftesbury PLC, said in a statement: "Despite well-publicised uncertainties affecting business confidence nationally, London's West End economy continues to be resilient.

“Trading across our restaurants, cafés, bars and shops has been robust over the summer months. In particular, our food and beverage occupiers have benefited from good footfall in our locations and the attraction of a wide variety of carefully-curated, innovative casual dining choices."

Shaftesbury also added that demand for its smaller properties continues to be healthy, while noting that the “current climate” is causing prospective occupiers for larger space to be cautious.

It also added that vacancy levels in its regular space remains in line with its long-term average, at or below 3 percent of ERV.

The real estate firm also noted that while the delay to the Elizabeth Line was “disappointing” it would not affect the longer-term benefits, adding that its portfolio is “uniquely well-placed to benefit from the significant increase in visitors the service is forecast to deliver in the years ahead”.

Shaftesbury PLC invests exclusively in London's West End, with a focus on restaurants, leisure and retail. Its portfolio now extends to over 15 acres, clustered mainly in Carnaby, Seven Dials and Chinatown, with substantial ownerships in east and west Covent Garden, Soho and Fitzrovia. In addition, it has a 50 percent interest in the Longmartin joint venture with The Mercers' Company, which has a long leasehold interest, extending to 1.9 acres, in St Martin's Courtyard in Covent Garden.