INTERIM MANAGEMENT STATEMENT FOR THE PERIOD FROM 1 JANUARY TO 25 APRIL 2012
David Fischel, Chief Executive of Capital Shopping Centres Group PLC, commented:
"CSC is determined to provide the best experience to shoppers and to continue to attract leading retailers to our prime regional centres, with 27 new stores opening in the period. While the UK retail environment remains tough, we continue to benefit from last year's transformational Trafford Centre acquisition as we focus on securing the right retailers in the right places paying the right rents with the objective of achieving strong total returns from our assets."
Highlights of the period
· Tenant mix improvements:
o Exciting new brands brought to CSC centres including Nespresso at Trafford Centre and Locker Room at Lakeside
o 42 new long term leases signed, in aggregate £10 million of annual rent, around 10 per cent above previous passing rent and in line with ERV
o Active management initiatives driving change, particularly enhancing catering and leisure offerings
· Progress with major projects:
o Lakeside - plans unveiled for a new leisure destination, in conjunction with proposed 325,000 sq. ft retail extension
o Nottingham - OFT clearance, active discussions with retailers and local authority
o Braehead - mall refreshment plans, preparation of masterplan continuing
o Acquisition of adjacent property at Cribbs Causeway with potential for future development
· Operational indicators:
o Footfall down 2 per cent year to date outperforming the national average
o Tenants representing 3 per cent of rent entered administration, of which 2 per cent was reported at the time of the 2011 full year results in February; occupancy 94.3 per cent, 95.0 per cent including tenants in administration still trading
· Capital recycling:
o £49 million realised in March from part disposal of Equity One shareholding
