Jessica Steevens, Associate Director, Retail Asset Management at DTZ in Bristol comments on quarter day:
“Despite pre-quarter predictions of blood on the high street early indications are that the quarter day will pass without the level of failures feared.
“Only one major retailer made arrangements via DTZ to pay rent other than in full on the quarter day, paying 2/3rds two weeks prior and 1/3rd two weeks after 29th September, an arrangement the majority of landlords accepted.
“In terms of rent collection, performance and comparison with the figures produced last September, the early indications would be that by direct comparison with September 2010 when 97.64% of rent charged was collected, it seems likely that there will be a year-on-year improvement based on much the same in terms of rent roll. Collection is ahead of the June quarter which proved to be such a tough time for retailers.
“There have been no reported failures to date, but this has to be seen against the demise in June of a number of ‘household’ names. It is also likely that companies are trading at the very limits at the moment and surviving on the strength of the anticipated Christmas and New Year spending flurries. February to June this year proved to be the most testing time for the retail sector and alarm bells will no doubt be ringing post-Christmas if sales do not materialise, or if the internet takes an even bigger slice of the traditional High Street spend.”
