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LAND - Land Securities News Story

953.2p 12.8  1.4%

Last Trade - 06/12/19

Sector
Financials
Size
Large Cap
Market Cap £7.07bn
Enterprise Value £10.83bn
Revenue £757.0m
Position in Universe 126th / 1840

UPDATE 1-Land Securities posts loss as UK store closures bite

Tue 12th November, 2019 8:15am
(Adds details on earnings, retail background)
    Nov 12 (Reuters) - British property developer Land
Securities Group  LAND.L  reported a pretax loss for the first
half, hit by a raft of store closures as retailers face the
impact of slack consumer sentiment and the shift to more online
selling.
    Land Securities, which manages and operates office, retail
and leisure segments, is offloading assets to focus on its
profit-generating London portfolio, hoping it would offset the
impact of a crumbling retail market. 
    The company, which owns the Bluewater shopping centre in
southeast England, pointed to high number of company voluntary
agreements (CVA) by retailers, like its peer Intu Properties
 INTUP.L  last week, and said it expected the trend to continue.
 urn:newsml:reuters.com:*:nL3N27M226
    Many retailers are closing stores to cut costs and focus on
online sales in a tough British economic environment, with
Mothercare  MTC.L  shutting all its British stores.
    The British economy, hurt by years of uncertainty over its
exit from the European Union, is gearing up for a snap poll next
month which will decide the nation's future and would also
affect UK Plc.
    "With a general election next month and the UK's proposed
exit from the EU further delayed, we remain alert to market
risks. However, Landsec enters the next six months with
confidence", Chief Executive Officer Robert Noel said. 
    The company's EPRA net asset value (NAV)-  a key industry
metric that reflects the value of a firm's buildings, was down
3.2% to 1,296 pence.
    However, Land Securities said its vacancy rates were
relatively low.
    The FTSE-100 company recorded a loss of 147 million pounds 
($188.10 million) for the six-month period ended Sept. 30,
compared with a profit of 42 million pounds, a year earlier.
 urn:newsml:reuters.com:*:nRSL0342Ta

    ($1 = 0.7815 pounds)

 (Reporting by Samantha Machado and Pushkala Aripaka in
Bengaluru; Editing by Bernard Orr and Shailesh Kuber)
 ((Samantha.machado@thomsonreuters.com; Within UK +44 20 7542
1810; Outside UK +918067499956; Reuters Messaging:
Samantha.machado@thomsonreuters.com))
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