Shopping centre group, Intu Properties has announced its trading update for the period from 1 July 2015 to 6 November 2015.
The firm is on target for a return to like-for-like net rental income growth for the year as a whole (H1 2015: -1%) through improved lettings and rising occupancy.
The period has seen continued improvement in retailer demand with 84 new long term leases agreed for £18m of new annual rent, 11% above previous passing rent.
Occupancy increased by 40 basis points since 30 June 2015 to 95.5%, and year-on-year footfall to date is marginally up in the UK and up 5% in Spain.
The UK development pipeline is on track with £60m of developments completing at intu Victoria Centre and intu Potteries, where the cinema and restaurants are fitting out for their scheduled openings in December 2015. Also, there are restaurant developments at intu Eldon Square, intu Metrocentre and intu Bromley.
Way finding and offers app have been successfully trialled at the recent student nights before its national launch across all intu centres.
David Fischel, Chief Executive, commented, “The economic recovery is now more obviously rippling out from London and the South East to other regions of the UK and our prime centres across the country are seeing strengthening underlying retailer sales performance.
'As this translates into improved demand for space and rising occupancy, we look forward to a return to like-for-like net rental income growth for 2015 and are well positioned for a more meaningful uplift next year.
'We have successfully completed development projects in Nottingham and Stoke-on-Trent in the period and our investment programme continues to gather momentum both in the UK and Spain.”