Occupancy levels rise at Capital & Regional
PROPERTY asset manager Capital & Regional, which owns the Great Northern leisure and office complex in Manchester, has seen occupancy levels across the group rise in the four months since June.
It said occupancy at its Mall, Junction and X-Leisure centres rose from 94.1% at June 30 to 94.8% at September 30.
Administrations at these locations have been “minimal” since the half year, said the company.
Rents rose by 0.4% during the period and letting activity has also picked up, particularly at the Mall in Blackburn which has recently had a 200,000 sq ft extension.
Chief executive Hugh Scott-Barrett said: “Our focus has been on driving improvements in operational performance. Interest in space from retailers is holding up and is reflected in a number of lettings which have driven occupancy and income levels higher.
“We are now beginning to see the expected increase in supply of investment opportunities. We are actively pursuing a number of situations which exploit our skills in managing complex assets and which we believe will deliver attractive returns.”
There was no word about the future of the Great Northern which is wholly-owned by Capital & Regional. The 450,000 sq ft complex, whose current tenants include AMC Cinemas, Virgin Leisure and the Manchester 235 casino, has been on the market for two-and-half years.
Last year a £75m sale to Manchester City Council was close, but these discussions eventually fell apart. In the past year Capital & Regional completed the sale of the Manchester Evening News arena – a joint venture it owned alongside GE Commercial Finance – for £62.2m, and the disposal of its Mall shopping centre in Preston for £87m.
