Shares in two of Britain’s largest commercial landlords rose as shoppers flocked back to London’s West End.
Shaftesbury and Capital & Counties (Capco) – who jointly own large swaths of Covent Garden, Soho, Chinatown and Carnaby Street – warned that the value of their estates had plummeted as rising interest rates wreaked havoc on the real estate market.
Shaftesbury saw the value of its portfolio fall 3.6 percent to £3.2 billion in the six months to September.
Shaftesbury and Capital & Counties – which own large swaths of Covent Garden, Soho, Chinatown and Carnaby Street (pictured) – warned their estates had fallen in value
Capco’s valuation fell 2 percent to £1.8 billion in the three months to September.
But stocks rose — with Shaftesbury up 2.23 percent and Capco 2.71 percent — as the prospects on the ground seemed brighter than feared.
Shaftesbury ushered in the West End’s first summer with no Covid restrictions, boosting shoppers and visitors.
Rental activity remained stable for the six months to the end of September, the group added.
Meanwhile, Capco was optimistic about visitor numbers and sales in Covent Garden. It has brought in £3 million in contracted revenue since June and signed 35 new leases and renewals, including jewelery brand Mejuri and premium sportswear brand Hoka.
In addition to the launch of a collaboration with Dolce & Gabbana, two other Capco-signed stores will open before Christmas.
Shaftesbury boss Brian Bickell praised the group’s portfolio’s ‘strong operating performance’ despite economic uncertainty and higher interest rates.
The landlords plan to complete a £3.5bn mega-merger in the first quarter next year if the competition watchdog approves.
Stock Watch – Jadestone Energy
Jadestone Energy rose following the completion of its acquisition of a stake in an oil project off the coast of Western Australia.
The AIM-listed group bought BP’s 16.67 percent stake in four oil fields for £17.4 million.
About 650,000 barrels of crude oil will be sold from the oil fields later this month, giving Jadestone “significant cash proceeds” by the end of the year, the group added.
Boss Paul Blakeley said the fields will be an ‘important asset’. Shares gained 5.9 percent, or 4p, to 71.8p.
The FTSE 100 rose 1.29 percent or 91.63 points to 7186.16 and the FTSE 250 rose 1.71 percent or 305.97 points to 18195.9.
Mining stocks gained on rising metal prices, a weaker dollar and hopes China could ease its zero-covid policy. Glencore was up 4.86 percent or 24.3p to 523.8p, Anglo American 6.06 percent or 158p to 2766.5p and Antofagasta added 4.72 percent or 55.5p to 1,231p.
Ukraine-focused miner Ferrexpo warned it was stockpiling its iron ore products to supply customers.
Shares fell 4.41 percent, or 4.5p, to 97.6p after the news.
Retail and leisure stocks were at the forefront as the better mood in the markets pushed stocks that have spent much of the year on the slide soaring.
Asos gained 9.49 percent, B&M rose 4.77 percent and Sainsbury’s rose 2.67 percent, while pub chain Mitchells & Butlers rose 9.38 percent.
Pest control and real estate care group Rentokil again posted double-digit sales growth.
The FTSE 100 company reported an 18.9 percent increase in total revenues to £901.3 million in the third quarter. But shares fell 4.3 percent, or 23.4p, to 521p.
IWG fell 0.08 per cent, or 0.1 pence, to 131.9 pence after it said profit for the year would be at the lower end of market expectations between £304 million and £380 million.
Meanwhile, online electronics retailer AO World rose 8.5 percent, or 3.8 pence, to 48.5 pence after putting Pret A Manger’s global chief digital officer on its board.
Aston Martin has appointed two representatives of Saudi Arabia’s Public Investment Fund (PIF) to its board of directors.
The move came after the Saudis took an 18.67 percent stake when the British carmaker raised new funds this summer – making them the second-largest shareholder behind executive chairman Lawrence Stroll.
Ahmed Al-Subaey, chief of Saudi Arabia’s national shipping company, and Frederick Robertson of PIF joined as non-executive directors yesterday.
Shares of Aston Martin rose 0.09%, or 0.1p, to 105.7p.
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