Merrion owner looks forward to arena boost

In a trading update for the first five months of 2013, the Leeds-based company said its performance for the financial year as a whole is in line with expectations.

The group said its investments in the core cities of Leeds, Manchester, Edinburgh and Glasgow, have stood it in good stead.

Chairman Edward Ziff said: “We have a broad tenant base. Only three tenants have more than two leases, comprising just two per cent of our rental income and hence we do not have an over reliance on any tenant or group of tenants.

“Rent collection was again strong with over 99 per cent of our quarter day rents collected within five days of the quarter dates.”

During 2013 three tenants went into administration or liquidation. TCS said the most significant was Jessops at its Edinburgh development although the retail unit has been assigned to Bradford-based Morrisons, which will open it as a convenience store.

At the Merrion Centre work has started on site to create seven new retail and leisure units and to refurbish the Merrion Centre multi-storey car park. Pure Gym will be the first occupier and is due to open in the autumn.

In March the group sold a property in York let to Lloyds TSB Bank for more than book value.

TCS is looking for opportunities to expand its property portfolio and car parking business.

In the car parking business it has invested in IT and marketing to allow it to benefit from changing consumer purchasing behaviour and payment technologies.

Mr Ziff said: “We continue to perform in line with our expectations. Our strong asset management capabilities and focus on the value for money retail sector continue to serve us well.

“We are looking forward to the Leeds Arena opening in July and to the significant impact it will have on Leeds and the Merrion Centre in particular.

“Our high occupancy level continues to underpin our rental income and we continue to work with tenants to provide them with opportunities to grow their profitability, recognising that they operate in a difficult economic climate.”