Retail landlords suffer £1bn loss after Intu hits record low

Almost £1 billion was wiped off the value of Britain’s biggest retail landlords yesterday after a shopping centre owner warned that it may need to raise equity in the face of fast-declining rental income and property values.

In the starkest sign yet of the fallout from the commercial pressures facing the retail sector, Intu Properties said that it was considering several “self-help” measures as it reported an £840 million first-half, pre-tax loss.

The owner of the Lakeside shopping centre in Essex and the Trafford Centre in Manchester said that net rental income had fallen by 18 per cent to £205.2 million in the six months to the end of June as a result of retailers falling into administration or using insolvency measures to close stores or cut rents.

The FTSE 250 group warned of more declines in rent in the second half of the year, before improving in 2020. The valuation of Intu’s shopping centres was reduced by 9.6 per cent, leading to a £872 million writedown, which in turn pushed it into the red.

The results shocked investors and its its shares fell 32 per cent to an all-time low of a little under 48p, wiping more than £300 million off its value.

Listed retail landlords were caught up in the sell-off. Hammerson, which this week reported a sharp fall in rental income and property values for its UK shopping centres, fell by 10 per cent; Capital & Counties fell 5.7 per cent; Newriver Reit, which owns shopping centres, retail parks and pubs, closed down 4.2 per cent. British Land and Landsec, FTSE 100 property companies with big retail holdings, lost 3.4 per cent and 3.5 per cent, respectively.

Intu was formed in 2010 from the demerger of Liberty International, which split its shopping centres business from its London property holdings. It owns 17 shopping centres in Britain and a handful in Spain, attracting 400 million shoppers a year.

It is trying to sell assets to reduce its £4.7 billion debt and limit the risk of it breaching its debt covenants because of falling valuations. It is also planning to introduce alternative uses to its shopping centres, including housing, hotels and flexible workspaces.

Primark demands landlords give them 30% rent cuts for not using CVAs

Primark is demanding that landlords cut its shop rents by 30 per cent after struggling high street chains used insolvency tools to slash theirs.

New Look, the Topshop owner Arcadia and Monsoon used company voluntary arrangements (CVAs) to close stores and reduce their bills.

CVAs have doubled in the past two years as bricks and mortar retailers have been caught out by the rise of online shopping. The CBI reported that retailers had recorded the longest period of falling sales for eight years.

Primark, which has so far resisted launching an online store, has 189 shops in the UK and made £7 billion of sales last year. In return for rent reductions, the discount fast-fashion retailer has been offering landlords lease extensions or an investment in store refurbishment. “We have a duty to our shareholders to maintain a competitive cost base,” Primark told The Sunday Times.

Its demand will add to the woes of Britain’s listed property companies, including Intu and Hammerson, which are facing investor scrutiny about the inflated values of shopping centres.

Next has secured average rent reductions of 29 per cent. WH Smith is paying no rent on a handful of stores while Julian Dunkerton, co-founder of Superdry, warned that if landlords did not agree to rent cuts he would shut shops. Hotel Chocolat’s founder, Angus Thirlwell, said “arrogant and dominant property owners” were now being forced to be more supportive of retailers.

5 best must-visit Oxford Street London attractions

Oxford Street has been one of the main arteries pulsing through the heart of London’s West End for centuries, and its origins can be dated all the way back to Roman times.

The 1.5mile-Long Street stretches from Tottenham Court Road station to the east and Marble Arch station to the west.

It used to be called Tyburn Road during the middle ages and was the main road leading from London to Oxford.

There are a lot of places in London near Oxford Street, which may interest you. As the oxford street is known for shopping and the flagship stores, it also has some places which are visited by the tourist while shopping from Oxford Street.

As you will be there for visiting you need to find a fitting place to stay, which is modern yet feels like home. M by Montcalm is one of the best hotels to stay at when visiting London. M is Montcalm’s spirited younger sibling, same DNA, but different personality.

These are the 5 places you must visit near Oxford Street

HYDE PARK

Hyde Park is located in Central London. It is the largest of four Royal Parks, and it is worth a visit. It also forms a chain from the entrance of Kensington Palace which runs through the Kensington Gardens and Hyde Park, via Hyde Park Corner and Green Park past the main entrance to Buckingham Palace.

The park has Serpentine and the Long Water lakes as well. HydePark is 2-3 minutes’ walk from the oxford street which can be visited if you want to rest after the long shopping spree you just had at Oxford Street.

PRINCESS DIANA MEMORIAL FOUNTAIN

Princess of Wales Memorial Fountain which is also known as the Diana, is a memorial in London dedicated to Princess. She died in a car accident in the year 1997. The park was made to express her spirit and love for the children.

The fountain is located in the southwest corner of Hyde Park, just south of the Serpentine Lake and east of the Serpentine Gallery. Its cornerstone was laid on September 2003, and it was officially opened on 6 July 2004 by Queen Elizabeth II.

Diana’s younger brother Charles Spencer, her ex-husband Prince Charles, and her sons William and Harry were present at the opening of the fountain. The Princess Diana Memorial Fountain is about 2 miles from the oxford street, which may take 10-11 minutes to reach there.

SPEAKERS’ CORNER

It is typically an area where open-air public speaking, debate, and discussion are conducted. It is also considered as the only original, and most noted is in the northeast corner of Hyde Park in London.

Some of the other areas in London were also designated as Speakers’ Corners which included Lincoln’s Inn Fields, Finsbury Park, Clapham Common, Kennington Park, and Victoria Park. This corner was set up to show and demonstrate the need for freedom of speech.

PHOTOGRAPHERS’ GALLERY

It is the first public gallery in the UK which is devoted solely to photography. It was founded in the year 1971. The Photographers’ Gallery is about 1 mile far from Oxford Street; you can go there via St George Street, which will take about 5-7 minutes.

MADAME TUSSAUDS

Madame Tussauds is a wax museum in London; it has smaller museums in several other major cities. Wax sculptor Marie Tussaud founded it. It had a different spellbind and used to be spelled as “Madame Tussaud’s”; the apostrophe is no longer used. Madame Tussauds is very famous and is visited by a lot of tourists every year.

It showcases the waxworks of famous and historical figures, which includes popular movie and television characters. Madame Tussauds is about 1.5 miles away from Oxford Street. You can travel to this wax museum via Oxford St/A40 and Gloucester Pl/A41, and it would take about 8-10 minutes.

CONCLUSION

These are the 5 places you must visit while you are at Oxford Street. You can make your shopping trip an educational trip as well and why not roam the places nearby when you are visiting a different country. London is truly a traveler’s delight.

Have smartphones replaced laptops?

When laptops were first invented, people saw them as a thing that would replace desktop computers.

Of course, this did happen domestically although many people still use desktop computers for their offices and other gaming needs.

Since then, we have seen the rise of smartphones and just how attached the general public is to them. For this reason, we raise the question – have smartphones replaced laptops? Keep reading to find out what we think in this article below.

Social Media

Social media has come a long way over the years and now we are faced with some of the most popular channels including Instagram, Facebook and Twitter taking up space on our smartphones. While, in the past, people would update these channels on their laptops, they now are primarily accessed via smartphones. Some sites like Instagram for example, don’t even let you upload if you aren’t on the app!

Gaming

There are many different forms of gaming that you can enjoy from gaming consoles to PC games and mobile games – but which is most popular? Many people still play games on their laptops, but new mobile games have definitely shown that smartphones have a strong presence. Online casino games are now available on mobile devices meaning that players can open their smartphone and play Vikings Go Berzerk and other slot games. This suggests that smartphones may be taking over when it comes to gaming.

Creating Documents

One of the places that it doesn’t seem that smartphones are overtaking laptops is in creating documents. Many people prefer to type out a document with a full-sized keyboard and a large monitor. This is the case in offices and for those who are running their own businesses. While there are some services for creating documents on smartphones, it is not quite there in terms of technology.

Shopping

Another area to look at when comparing the popularity of smartphones and laptops is shopping. While some people prefer to see items for sale on a larger screen, others do all of their shopping on their smartphones. With apps like Instagram and Facebook now offering shopping features, this is set to become the norm in the future.

General Internet Browsing

Finally, you could say that smartphones are used a lot more for general internet browsing. It is so easy to pick up your mobile phone and perform a quick Google search to find out some information. People can even use voice search to get the job completed quickly and this is why many people don’t want to waste the time turning on their laptops.

Final Verdict

As you can see, smartphones are definitely the most popular choice for many different kinds of tasks. While office workers tend to use laptops or desktop computers, smartphones can be used for pretty much anything else. With technology constantly evolving – who knows what smartphones could be capable in the future. Keep an eye on this technology and how it starts to replace other products that we have been using for years.