The owner of London’s Westfield shopping centre has reported improving sales in the third quarter of the year driven by the reopening of its locations in continental Europe.
Property giant Unibail-Rodamco-Westfield (URW) said Thursday that tenant sales at its continental European centres were up 6 percent compared to a year ago, and 92 percent above 2019 levels. Footfall was still down though, at 80 percent of 2019 levels.
The company said its recovery in the US continues to improve, with tenant sales at 102 percent of 2019 levels, and non-CBD flagship centres at 108 percent. It said it continued to streamline its US operations, which included the disposal of Palisade for a premium to GMV.
In the UK, third-quarter footfall was at 75.2 percent of 2019 levels, while tenant sales were at 80.1 percent.
Overall rent collection improved to 88 percent in the third quarter, up from 78 percent for Q1 and 80 percent for Q2.
Meanwhile, overall vacancy levels improved in to 7.9 percent, compared to 8.3 percent at FY-20 and 8.9 percent at H1-2021.
But turnover for the first nine months of the year was still down 16.5 percent to 1.98 billion euros, with the company citing the pandemic, particularly the restrictions applied in the first half, and the impact of disposals.
URW chief executive Jean-Marie Tritant commented: “Considering the positive momentum in Q3, the gradual lifting of restrictions, and the ongoing progress of vaccination programmes in our regions, the group expects Q4 to reflect a continued return towards more normal levels of pre-Covid activity, allowing our tenants to capture the key holiday trading period.”
The company said it now expects full-year adjusted recurring earnings of at least 6.75 euros per share, slightly above 2020, adjusted for disposals.