Gross rental income across Hammerson’s estate fell to £94.4m in the six months ended 30 June, down from £106.3m in the same period in 2023.
Adjusted rental income was down from £85.1m to £72.7m.
A £483m impairment on the Value Retail business, which Hammerson sold for £1.5bn earlier this week, pushed the group firmly back into the red, reporting an IFRS loss of £517m, compared with just £1.2m of losses in the same period in 2023.
The group said leasing values had risen by 24% year-on-year, with 140 deals signed, delivering £23m of rent. A number of those new deals were secured at a 61% premium to previous passing rents – or 29% when taking out rent frees.
Chief executive Rita-Rose Gagné said: “We are realising the benefits of our investments in recent years and with the agreed disposal of Value Retail, we now have the capacity and capability to accelerate growth and value creation.
“Our leading city centre destinations are in high demand, supported by our ongoing investment and repositioning. This is evidenced by another year-on-year increase in leasing, up 24%. This is driving top-line growth with more to come.”
Gagné added that the business still had work to do on its turnaround plan, including repurposing obsolete and underutilised space, repositioning its assets, unlocking value across its 80 acres of strategic land and consolidating its £1bn of joint ventures.
“As we look ahead, we are confident that we now have the capacity and capability to drive top-line growth and continue to generate operating leverage to grow scale, earnings, dividends and total returns,” she said.
Image © Make Architects
Send feedback to Samantha McClary
Follow Estates Gazette
