Unibail-Rodamco sees the impact of the pandemic extend into the second half of the year



Published on

Jul 28, 2021

Reuters – Commercial real estate group Unibail-Rodamco-Westfield (URW) said on Wednesday it expected the coronavirus pandemic to continue to weigh on results in the second half, after reporting a 26% drop of its half-yearly net rents.

The new Lantern gate at Part-Dieu, in Lyon – URW

“The development of new variants and the restrictions being considered to mitigate their spread add further uncertainty to URW’s business,” the company said in a statement, declining to commit to targets for 2021.
In the first half of the year, the group’s net rents fell to 785 million euros from 1.07 billion euros a year ago.

The Franco-Dutch group, however, said it had reopened its shopping centers in April and May after the gradual lifting of health restrictions linked to the coronavirus.

Unibail-Rodamco-Westfield, which notably manages the Forum des Halles in Paris, continues to focus on reducing its debt by selling part of its assets, limiting its investments and preserving its profits, the group said.

The company, which had decided to suspend the payment of the dividend for 2020, 2021 and 2022, also announced that it had made 1.7 billion euros in asset sales out of the 4 billion euros it is targeting by now. end of 2022.

The Klépierre group, a competitor of Unibail, said on Tuesday it saw the first signs of a recovery in the second quarter, but said it was unable to assess the potential impact of the pandemic on the rest of the year.

(Report Silvia Recchimuzzi, French version Anait Miridzhanian, edited by Jean-Michel Bélot)

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