Hammerson profits up 12 per cent
Published: 21 February, 2011
Hammerson has unveiled pre-tax profits up £15m to £145m in the year to 31 December 2010.
Capital values increased over the year, with the value of the UK and French portfolios rising by 12.5 and 1.9 per cent respectively. Adjusted net asset value per share was £4.95 at 31 December 2010, a 17.6 per cent increase over the year.
Chief executive David Atkins said performance in the UK retail portfolio helped drive the strong returns. “Our regionally dominant shopping centres and accessible, conveniently located retail parks continued to perform well,” he said. “Footfall was up at our shopping centres in both the UK and France, which resulted in like-for-like sales increases of 3.5 per cent and 0.7 per cent respectively, ahead of national benchmarks. Total like-for-like net rental income for the year increased 3.5 per cent on 2009.
“Retailers' preference for strong trading locations was clear throughout 2010, and we have seen an improving trend in retail demand,” he said. “We continue to attract successful, expanding retailers into the portfolio, such as Forever 21 who opened their first European store at Bullring.
And although Hammerson shied away from major retail development during 2010, Atkins said: “We seek continually to improve our portfolio through extensions and redevelopments which create new retail space, increasing the attractiveness to retailers and enhancing the quality of the schemes. We received planning consents for an additional 7,700 sq m of retail and leisure space at Silverburn, and for a 1,000 sq m restaurant quarter at Bullring.
"We also received consent for extensions at Abbey Retail Park, Belfast, and Battery Retail Park. In January 2011 we received consent for a 930m sq m extension to Queensgate, which will allow us to accommodate Primark in a new 5,500 sq m unit as part of a £20 million upgrade of the scheme.”
