The UK mall owner Intu – long a favourite of South African investors wanting offshore exposure – has had almost 30% of its value wiped out on Wednesday.
Intu's interm results as bad as expected. EPRA NAV fell 19%, UK asset values down 10.4%. Like-for-like net rental income was down 7.7%. Guidance for rental growth of -4% to -6%. LTV increased to 57.6%. Outlook remains grim.Intu is caught in a death spiral of negativity, says Garreth Elston, chief investment officer at Reitway Global, a specialist manager of global property investments.
"Then when you add in changes to consumer consumption patterns, including that more people are shopping online, and that large retailers have closed branches in some of Intu’s malls it becomes clearer how deep the company’s predicament is." Also, large chains have either gone out of business, or negotiated lower leases as part of insolvency agreements.
BISouthAfrica Who are those things called Investors. What did they do for our communities.whats important about them Looting ?
BISouthAfrica This type of negativity got to stop now. Day in and out our country be losing something...😪
BISouthAfrica Kusazonyeka moise emzantsi