The success of London’s West End has had a significant positive impact on commercial property giant Shaftesbury. With an extensive portfolio of 600 buildings spanning 6.4 acres in the heart of the capital, Shaftesbury greatly benefits from the performance of retail in central London. The festive period from 1 October to 31 December proved to be particularly lucrative, with buoyant trading and increased footfall leading to positive results for the company. Shaftesbury experienced sustained demand from occupants across all sectors and witnessed robust rental values that outperformed both the wider West End and the rest of the country.
This strong performance is evident in the average turnover of occupants, which rose by 6% compared to 2019 levels and an impressive 42% ahead of the 2021 period, which was heavily impacted by pandemic restrictions. Although there was a slight decrease in the valuation of its overall properties to £3.11 billion at the end of the December quarter (compared to £3.19 billion in the prior quarter), Shaftesbury affirms that leasing activity remains robust across all sectors.
Shaftesbury’s CEO, Brian Bickell, highlights the company’s confidence in the resilience and long-term prospects of its exceptional portfolio, which includes carefully-curated and ever-evolving destinations in London’s West End. These distinctive locations have shown great resilience, even during challenging times, and continue to attract visitors and occupants.
In addition, Shaftesbury is currently preparing for its merger with Capital & Counties Properties (Capco), a move that is anticipated to create a combined estate worth £5 billion. Notable sites such as Covent Garden, Carnaby Street, and Soho will be part of this merger. An update on the progress of this merger is scheduled to be announced on 22 February.
In a separate statement, Capco reported positive trading conditions across its Covent Garden estate. The successful Christmas period saw customer sales surpass pre-pandemic levels, further signaling the strength of the West End retail market.
All in all, Shaftesbury’s strong performance during the festive season reinforces the resilience and appeal of London’s West End as a premier commercial and retail destination. With their carefully-curated portfolio and ongoing leasing activity, Shaftesbury and its merger with Capco are well-positioned for long-term success in the heart of the capital.
Useful links:
– Shaftesbury Official Website
– Capital & Counties Properties Official Website
