CSC plans development in Nottingham
Capital Shopping Centres (CSC) has reported revenue of more than £500m in its latest results - £300,000 of which came from Nottingham's Broadmarsh Centre.
The group, which also owns the Victoria Centre, said it plans to bring forward proposals for developments to upgrade both its centres in Nottingham, as well as the city centre overall.
The acquisition of Broadmarsh took place on 1 December 2011 for £73m. Had it taken place on 1 January 2011, the group's revenue would have been £521.2m with a profit for the year of £53m, CSC said.
For the year to 31 December 2011, revenue rose at the company by almost £100m rise to £516.1m, compared with £420.3m in 2010.
However, despite the reported rise in revenue, CSC reported a significant fall in pre-tax profit from £446.2m to £27.2m.
The business said this fall in profit was because of a "lower level of property valuation gain" and a higher non-cash charge linked to interest rate swaps.
Chief executive David Fischel said: "The results demonstrate CSC's considerable progress in 2011.
"While the UK economic environment is challenging, CSC is well positioned for growth with assets of uniquely high quality, a considerable capital base, a committed management team and a pipeline of future projects."
The company said it plans to "optimise the performance" of its existing assets in 2012, with progress on potential major extensions in Nottingham.
CSC also owns the Victoria Centre in the city, which has a market value of £333m.
The acquisition of Broadmarsh should "unlock the opportunity" for CSC to upgrade the retail offer of Nottingham city centre after what it called a long period of stalemate.
"Nottingham ranks sixth in the UK in terms of available comparison shopping expenditure but has suffered relative to other cities from a lack of modernisation of its shopping centre provision," CSC added.
"Following the acquisition of Broadmarsh in the last quarter of 2011, we are optimistic about the city's potential assuming a pragmatic approach by the local authority. We aim to bring forward proposals for complementary development to upgrade both centres and the city centre overall."
