- Lighthouse Properties reports strong operational performance in Q1 2023, with a 17.2% increase in sales and 12.9% rise in footfall.
- Noteworthy developments include full occupancy at Torrecárdenas and strong sales growth at Forum Coimbra.
- Hammerson plc announces positive developments and cost reduction strategy to enhance financial position.
Lighthouse Properties p.l.c. (JSE share code: LTE), a leading real estate investment company based in Malta, has announced a voluntary market update ahead of its interim results for the six months ending on 30 June 2023. The company’s directors, referred to as the Board, provided shareholders with an overview of the operational performance of Lighthouse during the first quarter of 2023.
Lighthouse’s portfolio demonstrated robust growth during Q1 2023, with sales across the portfolio averaging 17.2% higher than the same period in 2022. Footfall, a key indicator of customer traffic, increased by an impressive 12.9%. This improvement in footfall can be attributed to the successful addition of popular retailers such as Lidl at Docks Vauban, Biltoki Market at Docks 76, and Action at Saint Sever.
One of the noteworthy developments in Lighthouse’s portfolio is the progress made at Torrecárdenas. VIPS, a renowned restaurant chain, opened a 375 m2 restaurant at the location in March 2023 and has been performing well. Furthermore, lease agreements have been finalized with Casa and Mi Factory, with both stores set to open in the second half of 2023. These recent lettings will ensure that the mall is fully occupied and reinforce its dominant position in the city of Almeria. Sales for Q1 2023 at Torrecárdenas increased by 15.9% compared to the same period in the previous year, and the majority of leases are subject to a 5.7% indexation during the first half of 2023.
Forum Coimbra, another property in Lighthouse’s portfolio, continues to deliver strong sales growth. The food court upgrade, completed in 2022, has contributed to the mall’s success. In Q1 2023, sales at Forum Coimbra increased by 17.4% compared to Q1 2022. The majority of leases at this location are subject to an 8.4% indexation during the first half of 2023.
Sales at Planet Koper also saw a significant boost, with a 17.2% increase in Q1 2023 compared to the previous year. Most leases at this location have experienced a 10.3% indexation during the first half of 2023.
Negotiations at Docks Vauban in Le Havre are progressing well, aiming to introduce new retailers to the upper level of the mall. Starbucks is currently in the process of fitting out its new store and is expected to open for trade in August 2023. Across Lighthouse’s French malls, the majority of leases experienced an average indexation of 5.8% during the first half of 2023.
Exciting developments are also underway at Saint Sever. Primark, a well-known fashion retailer, has taken beneficial occupation of its 6,709 m2 flagship store and plans to open in Q4 2023. The landlord has completed works on the 1,400 m2 New Yorker store, with beneficial occupation scheduled for the end of June 2023 and an opening planned for September 2023. Additionally, ONLY, a European female fashion retailer, is scheduled to open a 300 m2 store in September 2023. Negotiations are underway with key international fashion retailers to occupy the remaining vacant space in the mall following Go Sport’s closure of its 1,655 m2 store due to a nationwide insolvency procedure.
Docks 76 in Rouen has experienced a remarkable increase in footfall following the addition of Biltoki Market in 2022. Footfall for Q1 2023 at Docks 76 increased by an impressive 22.2% compared to the same period in the previous year.
Looking ahead, Lighthouse Properties is planning to commence the expansion of Rivetoile mall in Strasbourg in September 2023, which will improve access and flow within the mall. Negotiations are underway with key international fashion retailers to expand their existing stores in the mall to larger flagship formats.
In other news, Hammerson plc, a partner company of Lighthouse, announced significant positive developments during H1 2023. Hammerson disposed of its share of Italie Deux and the Italik extension for EUR 164 million, as well as selling its share in the Croydon Partnership, which formed a significant part of its development pipeline. These moves have helped Hammerson reduce leverage and development exposure. Additionally, Hammerson confirmed its commitment to substantially reducing operating costs.
Lighthouse Properties is scheduled to release its interim results for the six months ending 30 June 2023 on Monday, 14 August 2023. Shareholders can look forward to a virtual presentation of the results on Tuesday, 15 August 2023 at 9:00 am (CET/SAST).
Please note that the financial information provided in this update has not been reviewed or reported on by the Company’s auditors.