Last checked at 19 Nov 2012 15:30
FOR IMMEDIATE RELEASE 19 November 2012 LONDON& ASSOCIATED PROPERTIES PLC: INTERIM MANAGEMENT STATEMENT
London & Associated Properties PLC ("LAP" or "the Company"), the specialist retail investor, today releases its Interim Management Statement for the period from 19 May 2012 to 18 November 2012.
Economic conditions remain tough for retailers and property companies. However, as shareholders know, we sold most of our ex-growth shopping centres between 2005 and 2008. Our remaining Centres are strong performers where we have invested significantly over the last few years. As a result, vacancy levels throughout our portfolio remain extremely low at less than 2% by rental value.
Retail is undergoing one of the greatest structural changes it has ever faced. The growth of alternative channels for shopping such as the internet and m-retail means that shopping centres must more than ever offer compelling reasons to persuade shoppers to visit apart from the simple distribution of goods. We believe that our principal centres meet this need as they are are part of major city centres or attractive, successful towns. Consequently, we are confident they will continue to perform well with relatively high occupancy levels for the foreseeable future.
As we have stated previously, cash flow management remains a high priority. We continue to progress the renewal of our £44m revolving credit facility with the Royal Bank of Scotland which expired in September 2012. None of our other term loans expire within the next 12 months and LAP remains within its banking covenants.
Our asset management subsidiary, London & Associated Management Services, is continuing to successfully manage assets on behalf of third parties. In August it was appointed by Lloyds Bank to asset manage a portfolio of 4 shopping centres in the North West of England. We are also commencing a number of management initiatives and will update shareholders on progress there in due course.
In October, we exchanged contracts to sell a shopping centre and other retail assets in Ealing, West London, on behalf of NAMA. We achieved a strong price having applied our asset management skills over the previous 18 months. LAMS will receive a fee for this work.
Ends.
Contact:
London& Associated Properties PLC Tel: 020 7415 5000
John Heller, Chief Executive
Robert Corry, Finance Director
Baron Phillips Associates Tel: 020 7920 3161
Baron Phillips
XLON