Hammerson, which owns shopping centres including Brent Cross, Bullring & Grand Central and The Oracle, has said it is a “repositioned business” going into 2025 following a “transformative and successful” year.
The landlord posted growth of 1.6% in like-for-like gross rental income year on year in 2024.
Hammerson said it hosted 170 million visitors across its destinations during the year and footfall rose 2% year on year across its portfolio. Footfall rose 2% in the UK, 4% in France and 1% in Ireland.
Hammerson also said occupancy hit more than 95% during the year, which drove “rental tension” across the portfolio.
Sales were up 5% in the UK and 3% in France thanks to “combined investments, new concepts and upsized stores”.
Across Black Friday, Christmas Eve and New Year’s Eve, Hammerson saw year-on-year increases of between 10% and 12% at all of its flagship destinations, with Westquay, Southampton, recording 112,000 visitors on the Saturday of the Black Friday weekend – its highest number of shoppers since 2017.
Hammerson said its pipeline for 2025 is “robust” with £8.6m of leases already secured across the group.
The landlord said it has “strong momentum” and its portfolio is positioned to “drive rental growth and earnings from the high demand for scarce, relevant space where brands are consolidating”.
Hammerson chief executive Rita-Rose Gagné said: “Following a transformative and successful year for Hammerson, we enter 2025 as a repositioned business. In landing the pivotal sale of Value Retail and completing our non-core disposals, we have generated £1.5bn of cash proceeds over the last four years, materially strengthening our capital structure, and enabling investment for growth in our high-quality portfolio.
“We have strategically realigned the business to benefit from structural market trends. First, cities are engines of economic growth and we have concentrated our portfolio on exceptional assets in some of Europe’s fastest-growing and most vibrant cities. Second, the flight to quality, where occupiers want fewer and more productive stores in only these locations, enables us to attract leading global and local brand partners. Third, the physical experience has become more relevant for consumers and our brand partners with at least 80% of all retail transactions touching a store.
“Investment in our destinations and our unique and specialist platform provides data-driven insights to curate the right product, placemaking and mix of brands. This platform is scalable and agile, driving tangible benefits with higher occupancy, leasing, footfall and sales above national benchmarks, while growing our catchment and market share. There is more to come.
“We are confident in our strategy and optimistic about the opportunity ahead for Hammerson. We continue to maintain a tight operational grip and are poised to deliver significant revenue and underlying earnings growth, with the full impact of our ongoing investments and acquisitions yet to be realised.”
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