Real estate group Land Securities said on Tuesday that £33.0m of rent due to be received on 25 March was still outstanding.
Land Securities stated that £110.0m of rent was due on the 25 March payment date, with 67% of the net rent paid within five working days, compared with 65% for the equivalent period last year. Of the £33.0m of rent still outstanding, Landsec said £10.0m related to customers who had withheld payment pending documentation of agreed concessions.
Assuming all agreed concessions were completed and the £10.0m of withheld rent is received, Land Securities said the rent collection rate for the quarter would increase from 67% to around 77%.
Land Securities also pointed out that in early April 2020, it had established a customer support fund of £80.0m for occupiers who most needed its help to survive. To date, £39.0m of rent concessions had been allocated to customers – a figure it expects to increase as some of its customers, who had not yet paid their rent, enter into discussions with the firm following the Government’s announcement about re-opening non-essential retail and the lifting of the rent moratorium at the end of June.
“We continue to take a proactive approach to addressing the challenges the pandemic presents to our people, our customers and our business,” said Landsec. “Our marketing and operations teams have been working with our brand partners to prepare for yesterday’s re-opening of non-essential shops in England and Wales and the expected re-opening in Scotland on 26 April.”
As of 0835 BST, Land Securities shares were up 0.56% at 714.0p.
