NewRiver looks to spend as occupancy hits all-time high
NewRiver said it has built up its cash position to capitalise on future opportunities, as the real estate investment trust (REIT) records an all-time high occupancy rate.
Allan Lockhart, NewRiver’s chief executive, said the REIT had been building cash reserves for “some time”, adding that “growth opportunities are now starting to emerge”.
The REIT said its cash reserves had increased to £138m by the end of September, up from £111.3m in March, bolstered by the completed disposal of the Napier Joint Venture.
NewRiver has also refinanced a £100m undrawn revolving credit facility to extend its maturity to November 2026 at a reduced cost.
This comes as the REIT – which operates a portfolio of 26 shopping centres and 12 retail parks – releases its results for the first half of the 2024 financial year. During the six months ending 30 September, NewRiver saw its occupancy rate climb to 97.7%, the highest figure the company’s 14-year history.
During the period, NewRiver said it had completed 361,800 sq ft of leasing transactions, and recorded a rent collection rate of 98%, unchanged from the same point last year.
Allan Lockhart said NewRiver’s occupational market “is in the best position it has been for five years”.