Land Securities' fears are growing over sluggish pace of Brexit talks
The UK’s biggest property firm Land Securities hit out at glacial Brexit talks on Tuesday as Britain’s looming departure casts a shadow over the market.
LandSecs had a solid first half, pushing up trading profits 5% to £203 million in the six months to September 30.
It was bolstered by new tenants at its Nova scheme in Victoria and a major pre-let to Deutsche Bank.
But chief executive Rob Noel also said rents were softening and tenants are cautious, while EU talks are moving “more slowly than businesses would have hoped”.
He added: “If you talk to anyone from Canada they’ll tell you that their bilateral deal on butter took seven years to negotiate, so sorting our terms of trade could take many years.”
Commercial property prices also look vulnerable, he added. “There is pretty much £8 billion of property for sale in the City of London property market at the moment. I can’t remember a time when there was more for sale either officially or unofficially... I suspect not all of that will sell.”
The firm has appointed London chief Colette O’Shea and retail boss Scott Parsons to the main board. Both are likely contenders to replace Noel when he steps down.
