Securities vows to press on with Trinity vision after chief quits

But the company said it is keen to press ahead with Mr Salway’s vision for the project, which is now 66 per cent let or in solicitors’ hands a year ahead of opening.

London managing director Robert Noel will take over as chief executive on a salary of £680,000.

Portfolio director Gerald Jennings, who heads Land Securities’ Leeds office located above the rapidly-rising Trinity Leeds development, said that although the economic downturn has been deeper and longer lasting than predicted, the company has confidence in Leeds.

“Time and again Leeds has shown its resilience in the face of challenging conditions,” he said.

Talking about take-up of space at Trinity Leeds, he said: “To be almost two-thirds let a year ahead of opening is phenomenal.”

In November, the centre was 60 per cent let, but recent talks with 15 retailers and restaurant chains have proved successful.

The company will announce the new tenants once contracts have been signed.

“In the current economic climate, the phrase ‘location, location, location’, coined by Lord Harold Samuel, who founded Land Securities in 1944, is more relevant than ever for our customers, the retailers and, therefore for us also,” said Mr Jennings.

“They are having to be very selective about where to make their investments and prime pitch in a top five city or shopping centres with a proven track record, is where they want to be.

“We can offer both in Leeds, with the opening of Trinity on schedule for spring 2013 and our flagship White Rose Shopping Centre continuing to chart a steady course despite the choppy waters.”

On Boxing Day, White Rose, which celebrates its fifteenth anniversary in March, set an all-time record, with almost 70,000 customers through its doors.

During Christmas week, footfall was four per cent higher than the same period for 2010.

Trinity Leeds, is the largest retail-led scheme under construction in the UK and will be the only major development of its kind to open in the next two years.

“Trinity Leeds and White Rose will be complementary, ensuring that shoppers have greater choice and less reason to travel far,” said Mr Jennings.

“It’s all about having the right offer at the right time and in the right location.”

Land Securities is continuing to invest in White Rose in response to demands from existing tenants who want more space and new entrants.

“New Look has quadrupled in size to 16,000 sq ft and we have been granted planning permission for a further 40,000 sq ft to accommodate the expansion of other existing retailers, while at the same time enhancing our food offer,” said Mr Jennings. Much of the interest has come from restaurants.

“Since opening in March 1997, the demand for space at White Rose has always outstripped supply and, even in these times where some retailers face an uncertain future, we know that any space that comes available will be in demand,” said Mr Jennings.

In a third-quarter trading statement yesterday, Land Securities reported steady progress in difficult economic conditions.

It added that Mr Salway, 54, will depart on March 31.

JP Morgan analyst Harm Meijer said: “The decision to appoint Noel was expected but the timing was unexpected.

“We would have expected him to have proved himself delivering the London pipeline first. I think Francis just wanted to move on after eight years.”

Mr Noel said he would inject more “pace” into the company, which Mr Meijer said many investors would like to see.

Mr Meijer said: “More asset rotation and quicker transactions is something he may able to bring to a large cap given his mid-cap background at Great Portland Estates.”

Land Securities signed £7.1m of lettings in the last quarter of 2011 and voids in the portfolio were 3.1 per cent, versus 3.3 per cent the previous quarter.

It also signed a new £1.05bn credit facility, which the company said would help it buy property being offloaded by banks.

Land Securities is co-developing the 38-storey Walkie Talkie skyscraper in London’s City financial district, but has no major letting to lower the scheme’s financial risk.

Mr Salway said lettings are taking longer to complete due to the global economic uncertain- ty.

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