REG - NewRiver REIT plc - First Quarter Company Update

Newriver ReitAnnouncement

Thu 07:01

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RNS Number : 2842T  NewRiver REIT PLC  31 July 2025

 

NewRiver REIT plc

("NewRiver" or the "Company")

 

First Quarter Company Update

 

Strong start with continued outperformance

 

Allan Lockhart, Chief Executive, commented: "We have made an excellent start
to the new financial year. Consumer spending growth across our portfolio is
robust and continues to outperform the national average which has supported
another strong leasing quarter, reflecting the quality of our portfolio. This
follows on from a transformational year in which gross assets increased by
65%, net assets by 35%, and, most importantly, Underlying Funds From
Operations rose by 25%.

 

During the quarter, we capitalised on increasing investor demand for UK
shopping centres by completing the successful sale of the Abbey Centre in
Belfast for £58.8 million, in-line with March 2024 and 2025 book values. We
will continue to selectively recycle capital to realise value and reinvest
into opportunities with greater income and capital growth potential. Our
balance sheet remains in an excellent position to support our core objective
of delivering sector-leading earnings growth."

 

Continued consumer spend outperformance

 ●    UK consumer remains strong; total UK retail and supermarket spending +4.5%
      year-on-year in six months to June 2025
 ●    NewRiver portfolio continues to outperform the UK average; in-store spend
      +6.7%
 ●    NewRiver Shopping Centre in-store consumer spend +6.0% and Retail Park +9.0%
 ●    Occupational cost ratio as at 30 June 2025 of 8.1%

 

Strongest Q1 leasing performance post Covid

 ●    Completed 252,200 sq ft of new lettings and renewals (Q1 FY25: 147,300 sq ft)
 ●    Long-term transactions secured £2.0 million of rent (Q1 FY25: £0.9 million);
      +15.5% vs ERV, best performance vs ERV since Q2 FY22; +20.2% vs prior rent
 ●    Consistently high portfolio occupancy of 94.9% and retention rate of 92%

 

Successful sale of 320,000 sq ft shopping centre at book value

 ●    Completed the disposal of the Abbey Centre, Newtownabbey in Northern Ireland
      for £58.8 million in-line with both March 2025 and March 2024 book values
 ●    Having acquired the asset in 2014, NewRiver completed a number of successful
      initiatives, including the creation of a new 44,000 sq ft flagship store for
      Next, re-anchoring the scheme through the delivery of an upsized Primark into
      a former BHS unit and the completion of a refurbishment programme including
      the entrance, car park and a revitalised food court

 

Balance sheet positioned to support earnings growth

 ●    Following Abbey Centre disposal, LTV as at 30 June 2025 (using March 2025
      portfolio valuation) reduced to 38%, back within LTV guidance of <40%
      giving capacity to redeploy into accretive opportunities, supported by strong
      Net debt to EBITDA and Interest Cover ratios
 ●    Cash increased to c.£120 million; generating a 4% return on the majority of
      cash holdings pending partial deployment
 ●    Predominantly unsecured balance sheet with interest rate fixed at 3.5% on
      drawn debt and no maturity on drawn debt until January 2027

 

For further information

 

 NewRiver REIT plc                             +44 (0)20 3328 5800
 Allan Lockhart (Chief Executive)

 Will Hobman (Chief Financial Officer)

 

 

 FTI Consulting        +44 (0)20 3727 1000
 Dido Laurimore

 Eve Kirmatzis

 

About NewRiver

 

NewRiver REIT plc ('NewRiver') is a leading Real Estate Investment Trust
specialising in buying, managing and developing resilient retail assets
throughout the UK.

 

Following the completion of its acquisition of Capital & Regional in
December 2024, NewRiver has a £0.8 billion UK wide portfolio covering 7.9
million sq ft, comprising 27 community shopping centres and 13 conveniently
located retail parks occupied by tenants predominately focused on essential
goods and services. In addition, we manage 21 shopping centres and 18 retail
parks on behalf of Capital Partners, taking our total Assets Under Management
to £2.4 billion. Our objective is to own and manage the most resilient
retail portfolio in the UK, focused on retail parks, core shopping centres
and regeneration opportunities to deliver long-term attractive recurring
income returns and capital growth for our shareholders.

 

NewRiver is listed on the Equity shares (commercial companies) category of the
Main Market of the London Stock Exchange (ticker: NRR). Visit www.nrr.co.uk
for further information.

 

LEI Number: 2138004GX1VAUMH66L31

 

 

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