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Bloomberg
Land Securities Group wrote down the value of its UK shopping centres by 11.7 percent as rental income declined and battered retailers shuttered more stores.
Britain’s second-largest real estate investment trust lost about 10 million pounds ($13 million) of rent from retailers in the financial year that ended on March 31. That was outweighed by rising rents in the office business, according to a company statement.
The rise of online shopping, tax and wage hikes and a sluggish economy have conspired to cripple dozens of traditional retailers in recent years. Debenhams Plc is among the household names closing stores and trying to negotiate lower rents for their remaining locations. That’s led to record low sales of shopping malls and retail properties and pushed Land Securities below warehouse owner Segro Plc in the list of the most valuable publicly traded landlords.