Landsec success heralds return to profit, launches new leasing partner model

By

Nigel TAYLOR

Published
May 17, 2022

Commercial property giant Landsec — which owns most of Bluewater — spoke of its strong financial and operational position Tuesday, “expecting to deliver material growth in income”. And that comes even with UK economic turbulence factored in.

Chief executive Mark Allan, in its results statement for the year ended 31 March, spoke of growth within its major retail destinations and “clear, substantive progress in growing our mixed-use urban neighbourhood portfolio.”
 
He added that the company is now setting out “ambitious targets to reduce embodied carbon through development as well as clear plans to enhance social mobility both in our industry and through the places where we invest.”

Landsec posted pre-tax profits of £875 million for the 12 months, swinging from a £1.39 billion loss the previous year. That was largely because its portfolio of stores and offices increased in value by 11% during the period, from £10.8 billion to £12 billion with the turnaround boosted by workers making their slow return to offices.
 
Meanwhile, it also said Tuesday it’s seeking “to redefine the traditional retail leasing agent model”, appointing a new leasing agent panel to work across its retail and hospitality portfolio. 
 
Following a competitive process, Landsec has picked five agents: CBRE, Bruce Gillingham Pollard, Colliers, Curson Sowerby Partners and Time Retail Partners. 
 
“Each appointed agent will work collaboratively with Landsec’s brand team to service new and existing retail customers whilst supporting the business in finding new brands to curate the right brand mix across its destinations”, the company said. 
 
Landsec added that the new panel “reflects efforts to drive performance and build a more customer-centric approach. It challenges the traditional, location-led agent structure and instead aligns newly selected partners to specific brands and sectors, creating a more transparent, sustainable model encouraging a partnership-led, portfolio wide approach”.
 
Brand sectors include Apparel & Accessories, Health & Beauty and Home.