Landlord Hammerson collects 31% of its Irish rents in current quarter

Hammerson is best known here as the owner of half of Dundrum Town Centre (pictured here in June). Photo: Collins Dublin

Hammerson, Ireland's largest retail landlord, said its Irish properties had a busy Christmas but has so far collected just over 30% of the rents due in this first quarter, lower than its performance in France and in Britain.  

In an update, the stock market-listed property firm said Christmas footfall was particularly strong in Ireland before the full level five restrictions were imposed in January, and that "market conditions have remained challenging" amid the Covid-19 crisis.

Hammerson is best known here as the owner of half of Dundrum Town Centre, which is the country's largest shopping mall, and half of the Swords Pavilions. 

It also controls the Ilac centre in Dublin city centre, as well as the nearby 1916 battlefield site, and also has a significant minority stake in the Kildare Village, and completed the sale of the Abbey Retail Park in Belfast early last year.

In Britain, it is best known as the owner of Brent Cross in London and Birmingham's Bullring, and also owns large retail properties in Paris and Barcelona. 

It said that across the group it had struck agreements with its retail tenants to collect 31% of rent due in Ireland in the first quarter. 

That compares with 41% in Britain and 46% in France, according to its figures.    

Footfall rose sharply in Ireland and France over the Christmas period but has since "declined with the introduction of new restrictions, particularly across UK flagships and Ireland", Hammerson said. 

In the update, it said that the tighter restrictions in January in the UK mean that a quarter of its retail tenants are open, including essential traders or offering click and collect and takeaway services.

In France, under a national curfew, its major properties close at 6pm. 

"Following the Irish Government's temporary ban on click and collect for non-essential retail, around a quarter of occupiers continue to operate," Hammerson said.

In December, for the eurozone, Hammerson also listed its shares on the Irish Stock Exchange.

Its shares fell 2.25% in the latest session to bring their losses from a year ago to 81%. Shares in many of Europe-listed retailers have also fallen sharply amid the Covid crisis.       

The stock market values Hammerson at £930m (€1bn).