(Alliance News) - Great Portland Estates PLC had collected 84% of rent due for its 2021 financial year, with rent collections in the final quarter ahead of all four previous quarters, the property developer and investor said on Wednesday.
London-based Great Portland Estates said 84% of the GBP89.4 million of rent billed for the financial year ended March 31 had been collected. This is a substantial improvement when compared with the 63% of rent collected within seven days for March quarter of 2020 although below the 2019 pre-pandemic level of 99%.
For the fourth quarter, 79% of rents due were secured within seven working days, compared with the similar figure of 68% in the previous quarter. Fourth quarter collections now have risen to 81%, the company said. Collections in the final quarter were ahead of all four previous quarters.
Great Portland also announced the completion of 10 new lettings during the quarter, generating annual rent of GBP4.4 million.
Annual results are expected to be released on May 19.
The easing of lockdown restrictions is expected to boost rent collection and letting activity further, the company said.
"The most recent Covid-19 lockdown has disrupted the activities of many businesses across London, resulting in a number of occupiers still being unable to meet their rental commitments," said Chief Executive Toby Courtauld.
"However, the ongoing vaccination programme and government roadmap to easing lockdown restrictions is supporting renewed optimism, which we are seeing reflected in improved rent collection, greater letting activity and increased enquiry levels on available space.
"In particular, prime offices and best in class flexible spaces continue to be highly sought after and in relatively short supply, both trends which we expect to persist.
Great Portland Estates shares were up 0.3% at 693.62 pence each in London on Wednesday morning.
By Will Paige; willpaige@alliancenews.com
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