Hammerson's Brent Cross swamp: Labour steps in

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"Labour London Assembly Member for Barnet and Camden Andrew Dismore AM has written to the Leader of Barnet Council Cllr Richard Cornelius with a series of questions after the plan to expand Brent Cross Shopping Centre was delayed by the developer, Hammerson.

"Mr Dismore said:

"It is vital that Barnet Council get a grip on what this will mean for them, the wider scheme and for the local community. Brent Cross is the biggest regeneration scheme in the borough, and the Council’s finances are dependent on the Council Tax and Business Rate revenues projected from it. If there are real problems with Brexit next year, the delay could be for years, if not lead to the termination of the project altogether."

"Childs Hill Councillor Anne Clarke said:

"I would like to know what the best possible outcome is for residents, who are already unhappy about the lack of involvement in the process, and the prospect of years of misery with vehicle movements, roadworks, traffic and pollution. Also, what are the long-term plans for the waste transfer site [,along] with [the] aggregate [site] and Donoghue? Residents need answers on these pretty quickly."

Inside Croydon: "Brent Cross takes a £1.4bn hit as Hammerson signals a go-slow"

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"High Street closures and Brexit uncertainties mean that retail landlord Hammerson is getting cold feet over redevelopment schemes for its shopping centres around the capital.

"Hammerson has shelved its plans for the £1.4billion redevelopment of its Brent Cross shopping centre, and doesn't seem in any great hurry to pursue the regeneration of Croydon town centre, including its own Centrale mall.

"The multi-billion property company released its half-year report to the Stock Exchange yesterday, and made it plain that what one newspaper called 'the nightmare climate engulfing UK retailer'” is making it take a very long, hard look at how the business spends its development cash."

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Also:
"Financial Times predicts Hammerson will sell stake in Croydon"

The Guardian: "Hammerson's grand self-assessment isn't shared by its investors"

"Following the Intu humiliation the company’s CEO breezed on as if nothing had happened"

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"A note of humility would have been order from Hammerson's board after the humiliation of the non-takeover of shopping centre rival Intu, a £3.4bn deal that had to be abandoned because the group's own shareholders were in revolt. Instead, chief executive David Atkins & co breezed on as if nothing had happened. Hammerson is a 'best-in-class' and 'dynamic' property company, apparently, and is now adopting a 'decisive' strategy of flogging all its out-of-town retail parks.

"... Shrinking the presence of department stores within the shopping centres by 25% sounds like a case of following retailing trends that are happening anyway. Meanwhile, a planned extension to the Brent Cross centre in north London is being put on hold, which is presumably an example of the board sitting decisively on its hands, or being encouraged to do so by development partner Aberdeen Standard Investments."

Evening Standard: "Investors could push for Hammerson's break-up, says Russell Lynch"

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"Hammerson boss David Atkins went shopping at Brent Cross with his mum when the centre first opened in 1976, but the chances are that he'll be pushing 60 before the extension to north London’s shopping hub is finally open.

"The 52-year old's decision to 'defer' the £1.4 billion project looks like good sense in the current climate of caterwauling retailers, administrations and rent-slashing CVAs but investors will be looking askance at the rest of the strategy he unveiled today.

"Let's not forget Atkins had some work to do here after one of the most humiliating corporate retreats in recent times, when it abandoned its planned merger with Intu and even told its shareholders to vote against a deal it was proclaiming from the rooftops just weeks earlier."

The whole squalid plan comes crashing down! Evening Standard: "Retail woes force Hammerson to halt Brent Cross expansion"

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"The nightmare climate engulfing UK retailers on Tuesday forced property giant Hammerson to put on ice its £1.4 billion plans to extend north London’s vast Brent Cross shopping centre.

"The plans to enhance the centre — which opened in 1976 and has around 15 million visitors a year — have been in the pipeline for over a decade but have been put on hold by the company, which owns Brent Cross with Standard Life.

"The decision comes after an annus horribilis for retailers including the failure of chains like Maplin and Toys'R'Us and desperate moves by players such as House of Fraser to slash their rental bills through so-called creditor voluntary arrangements, hitting landlords in the pocket. Costs have also been rising due to soaring business rates and the national living wage increases."

Thu 12 July: Consultation in 1-12 Cricklewood Lane