NewRiver praises strong tenant trading as occupancy increases
Real estate investment trust (REIT) NewRiver has credited the strength of its portfolio as its tenants continued to trade well into the Christmas period.
The REIT also cited its retail occupancy rate as a reason to be confident, increasing to 96.5% from 96.3% in September 2022 and 95.6% in March 2022.
Leading retailers in NewRiver’s portfolio include B&M, Sainsbury’s, M&S, JD Sports, and Poundland.
NewRiver said that above-expected Christmas trading for multi-channel retailers reflected the importance of a physical store network and suggested that the UK consumer is perhaps more resilient than expected.
The REIT also said that it had agreed 673,300 sq ft of new lettings and renewals for its 2023 financial year (FY23), including the appointment by M&G Real Estate to manage a retail portfolio including 16 retail parks and one shopping centre in the UK.
The agreement with M&G is for a term of three years and will bring the total number of retail parks under NewRiver’s management to 31.
NewRiver added that 180,100 sq ft of new lettings had been agreed in the third quarter of FY23.
Allan Lockhart, NewRiver chief executive, said: “Our focus on resilient retail, alongside our best-in-class operating platform and the strength and flexibility of our balance sheet, means we continue to feel well positioned despite the challenging economic backdrop.”