Palace Capital Plc - Update on rent collection
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PALACE CAPITAL PLC
("Palace Capital" or the Company)
Update on rent collection
Palace Capital (LSE: PCA) the Main Market listed property investment company that has a diversified portfolio of UK commercial real estate in carefully selected locations outside of London, provides the following update on rent collection for the 12 months to 31 December 2020 and the first quarter of 2021:
· 86% of Q1 2021 rents have been collected or are expected to be received under monthly payment plans (78% cash collected, 1% concessions agreed, 7% monthly rents not yet due). The collection rate is expected to improve further over the coming weeks.
· Our two leisure assets continue to be closed to the public and excluding the related arrears in respect of these assets, the rest of the portfolio rent collection totals 94% for the current quarter, once monthly payments not yet due and concessions are included.
· 92% of all rents due in the 12 months to 31 December 2020 have been collected (96% excluding the two leisure assets). Agreed concessions represent just 4% of the rent due for the year.
· In respect of the 4% of rent outstanding for 2020, ongoing discussions and active management opportunities are expected to further improve either the income or capital position of the portfolio.
Neil Sinclair, Chief Executive of Palace Capital commented:
" We are pleased to provide shareholders with a further positive rent collection update today with total rents received across 2020 amounting to 92% of rents invoiced and concessions agreed for a further 4%. We anticipate collecting the vast majority of the outstanding balance in due course. Our Q1 2021 rent collections of 86%, including concessions and monthly payment plans, continue to be robust and cash collection is in line with the same figure for the previous quarter. Excluding our leisure tenants, we expect to have over 94% of rent due collected by the end of the quarter. "