After a “transformative” fiscal 2024, Hammerson said Wednesday (26 February) the commercial property giant is now “repositioned to drive growth”. With key destinations in the UK, France and Ireland (including 10 city locations ranked in the top 20 of all retail venues across its geographies), it was “another record year” of leasing, up 56% and 13% over estimated rental value (ERV).
Bullring
Occupancy also improved to over 95%, with few leasable units in most locations, “driving rental tension across our portfolio”.In the year, 262 leases were signed on 1m sq ft of space generating annual headline rent of £41m, “another record performance” on a like-for-like basis.
It also described occcupier demand as “robust” with £8.6m of headline income already exchanged in 2025, 10% above previous passing rent and 11% ahead of ERV. There is also “good visibility and a strong pipeline for the remainder of 2025, underpinning our confidence in the outlook”, it stressed.
And performance in key trading periods stood out. It said Black Friday, Christmas Eve and New Year’s Eve all saw year-on-year increases of 10-12% for all its flagship destinations. For instance, its Westquay mall had 112,000 visitors on the Saturday of Black Friday weekend, its highest number since November 2017.
There was also good footfall momentum to report in the final quarter, “reflecting new openings and seasonal events”, with UK footfall up 17% quarter-on-quarter, also up 16% in Ireland and by 5% in France. That meant hosting 170 million visitors across its destinations (+600,000).
Investment in its Bullring and Dundrum centres has also paid dividends, generating £184 million of rent “benefiting from [the] halo effect of repositioning”.
This included the repositioning of Cabot Circus and The Oracle in 2024, already securing £52 million of rent contracted. Investments will see marquee openings in 2025 such as M&S at Cabot Circus, and TK Maxx at The Oracle.
Rita-Rose Gagné, chief executive of Hammerson, said: ‘In landing the pivotal sale of Value Retail and completing our non-core disposals, we have generated £1.5 billion of cash proceeds over the last four years, materially strengthening our capital structure, and enabling investment for growth in our high-quality portfolio.
She added: “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. 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.
“The physical experience has become more relevant for consumers and our brand partners, with at least 80% of all retail transactions touching a store.”
And its FY25 outlook? “We will see marquee openings in Cabot Circus and The Oracle as we bring major new uses to each of these assets, matching our experiences and building momentum at Bullring and Dundrum.
“We have already secured £8.6m of leases in 2025, the pipeline is robust, and discussions are progressing on other acquisitions.
“Notwithstanding the uncertainty in the macroeconomic environment, our portfolio is well positioned to drive rental growth and earnings from the high demand for scarce, relevant space where brands are consolidating.”
