Neil Woodford-backed shopping centre giant NewRiver REIT boosts profits as consumers splash cash outside London

 
Shruti Tripathi Chopra
Follow Shruti
Shop West End VIP Weekend - Sponsored by American Express
NewRiver boasts a portfolio of 8m square feet of retail and leisure assets comprising 33 shopping centres (Source: Getty)

NewRiver REIT, the third largest shopping centre owner in the UK, has boosted its profits by 24 per cent to £58.2m for the full year to 31 March.

The FTSE 250 firm, which moved from Aim to the London Stock Exchange’s main market last year, said "strength of consumer spend outside of London" helped lift net property income by 33 per cent to £89.7m.

Its assets under management increased by 14 per cent to £1.3bn while occupancy hit 97 per cent, up three per cent since its debut on Aim eight years ago.

Read more: London's West End wins big on Easter shopping splurge

Acquisitions stood at £158.4m including the £120m acquisition of Broadway shopping centre and retail park in Bexleyheath, south east London.

Founded in 2009, the Neil Woodford-backed shopping centre firm boasts a portfolio of 8m square feet of retail and leisure assets comprising 33 shopping centres, 22 retail warehouses, 15 high street units and 344 pubs.

Read more: High Street bounces back as shoppers seek leisure and dining

David Lockhart, chief executive, told City A.M.: "Last year's EU referendum has not had an effect on the occupational market so far. Looking ahead, consumers will cut back on luxury non-essentials first but because our focus is more on non-discretionary items such as clothing and groceries, we will not be impacted.

"In fact, we founded the business in 2009 and the years that followed were hit by recession. Consumers did cut back but it had very little impact on the space we operate in."

Related articles