TCS optimistic as rent collections rise

Edward Ziff

Property investor, Town Centre Securities has said that it has collected 76% of the rent and service charges it has billed for the latest Quarter which was payable on 25 December 2020 and 1 January 2021 and that it has agreed to defer payment of a further 10%.

The Leeds-based firm has confirmed this is inline with it collections for previous quarters in 2020 but that it expects “collection levels to rise as we have seen improvement in each successive quarter previously”.

The firm however it states that “unexpectedly” Premier Inn which is owned by Whitbread and operates a site on Whitehall Road in Leeds, has unexpectedly only paid of half of its rent for the latest quarter leaving £0.1m outstanding.

The total rent collected for the latest period equates to £3.9m, with over half a million pounds (£0.6m) of deferred payments which will remain outstanding, bringing the total agreed to £4.5m against a bill of £5.2m.

Speaking to at the end of 2020 the chairman and chief executive of the firm, Edward Ziff stated that landlords just “want to be paid for the service we provide – which is providing people with premises to trade from, whether it’s an office, shop or a storage locker”.

He also highlighted that as a business TCS has a vested interest in the success of its tenants and wants to proactively work with them to achieve this. He explained although property businesses missing out on rents can’t continue forever he believes landlords and tenants can share the burden.

The investor and developer has backed up its words by agreeing to waive £500,000 of rent due this quarter.

However, there remains £200,000 due and under discussion for this latest period – including the £100,000 not paid by Whitbread.

Ziff commented on today’s figures stating: “We continue to experience a consistent and reassuring level of rent collection, despite the ongoing level of disruption as a result of Covid-19.”

He added of the future that “once restrictions lift, particularly following the disposals made at the start of this financial year” that he believes the business will be in “a strong position to continue its programme of reset and reinvigoration”.