Tenants in the Westfield London shopping centre in Shepherd’s Bush beware: rents are set to increase.
That was the message from the Australian parent today as it set out ambitious plans to deal with stagnant revenue growth over the past six months. Westfield’s UK malls recorded flat operating profit in the half year ending in June.
Co-chief executive Peter Lowy said he wanted to see a 5% rise in those profits for the full year. “Sales have been very strong,” he told Bloomberg. “The retailers at Westfield London have had five years of trading now. They’ve been doing very well, and now it’s time for the rents to catch up to the sales revenue.”
Westfield also confirmed it was proceeding with plans to extend the White City mall after winning planning consent for more than 500,000 square feet of space including a department store and smaller shops.
First-half sales at Shepherd’s Bush rose 1.9% to £970 million against the previous six months while Stratford City sales grew 7.3%.
