NewRiver REIT posted a “strong operational performance” in the first quarter of its new financial year, with leasing transactions ahead of ERVs and occupancy and tenant retention rates remaining high.
In the reporting period, the company completed 147,300 sq ft of leasing activity, with long-term transactions +4.3% versus ERV with a weighted average lease Expiry of 7.3 years.
The company said it maintained occupancy at 97.3% across its portfolio with a leasing retention rate of 95%.
Allan Lockhart (pictured), chief executive of NewRiver REIT, said: “The strong operational performance delivered in our last financial year continued into the first quarter of FY25 with leasing transactions ahead of ERVs and occupancy and tenant retention rates maintained at elevated levels. Our portfolio continues to perform well underpinned by good occupational demand and the quality of our asset management.
“The acquisition of Ellandi, a high-quality asset and development management business, in early July accelerates the growth in our capital partnership business, where we have now established a meaningful platform. We now own or manage £2bn of retail real estate assets, collecting nearly £190m of annual rent from over 3,000 tenants. This scale provides us with an incredible insight into the consumer, retail and capital markets. Finally, our balance sheet is in a good position with cash up to £134m which provides us significant deployment optionality.”
In May this year, NewRiver REIT made a preliminary proposal to Capital & Regional’s majority shareholder Growthpoint Properties in relation to a possible offer in cash and shares for the entire issued, and to be issued, share capital of Capital & Regional. NewRiver REIT has until 5pm on 15 August to either announce a firm intention to make an offer for the company or announce it does not intend to make an offer.
