London property giant Shaftesbury Capital has reported positive trading conditions and strong sales in its West End locations. The company, which owns extensive properties in key retail areas such as the Carnaby neighbourhood and Covent Garden, stated that customer sales are now 15% higher than 2019 levels as its tenant base recovers from the pandemic.

Following its merger with CapCo in March, Shaftesbury Capital has released its first financial results, revealing that the valuation of its wholly-owned portfolio remains unchanged at £4.9 billion ($6.22 billion) compared to December 2022 figures.

CEO Ian Hawksworth expressed his satisfaction with the performance of the newly merged company, highlighting their status as the leading central London mixed-use real estate investment trust. He emphasized the team’s successful efforts in delivering strong performance, with an increase in annual rent and a promising pipeline of demand for the second half of the year.

Despite the challenging macroeconomic backdrop, the valuations of Shaftesbury Capital’s properties have remained strong, reflecting the quality of their portfolio. Hawksworth pointed out that 220 leasing transactions were completed in the first half of the year, with rents averaging 5% higher than the Estimated Rental Value (ERV) in December 2022. This provides confidence in the potential for continued rental growth from their unique portfolio.

Shaftesbury Capital’s strong balance sheet and the benefits of the combined platform position them for further growth and returns in the coming years. In addition to the positive financial results, the company has also experienced a surge in customer sales due to increased footfall in the West End, driven by an influx of international visitors.

Out of the 220 leasing transactions, 89 were commercial lettings and renewals, amounting to £10.5 million, which is 6% higher than the ERV on December 31, 2022. The company’s success in both leasing and sales solidifies its position as a key player in London’s West End property market. With the ongoing recovery from the pandemic and the expectation of continuous growth, Shaftesbury Capital is well-positioned for future success.

Useful links:
Shaftesbury Capital Official Website
Official Website of the Mayor of London’s Office