Occupancy above target at Hammerson in third quarter

11th Nov 2013 07:02

- Occupancy remains above target at 97.1 per cent- 'Ongoing signs of recovery', particularly in UK- Footfall down in UK and FranceRetail property group Hammerson said it is on course to hit earnings guidance after seeing 'ongoing signs of recovery' in the third quarter.The firm, which owns 20 shopping centres across the UK and France, said that occupancy was 97.1% by September 30th, down from 97.4% at the end of the first half but still above its target of 97%.Some 94 new leases have now been signed in 2013, representing £9.1m per annum, 13% ahead of previous passing rents.The company said it is growing income by securing high-quality tenants and through creative marketing, such as its loyalty 'app' launched across some of its sites in October which gives customers exclusive offers tailored to their preferences. The firm said that usage of the app has been above its expectations.However, the firm noted that footfall in the UK and France fell in the third quarter by 2.1% and 2.8%, respectively. In the UK, tenants experienced weak sales of ladies fashion, while French shopping centres were affected by refurbishment works.Chief Executive David Atkins said the company is seeing "ongoing signs of recovery in our markets, particularly the UK, where improving retailer confidence is generating increased demand for our retail space". "We are capturing this momentum by advancing developments, refreshing our assets and pushing ahead with multichannel initiatives to enhance the shopper experience at our centres. We are well positioned to capitalise on opportunities in our markets."BC