Hammerson, the owner of Brent Cross and the Bullring shopping centres, has warned that retailers will struggle to pay rents in the face of the economic headwinds in 2011. However, they felt that their tenants were sufficiently strong and diverse so as not to adversly effect their portfolio. Well they would say that wouldn't they!
Retailers in areas where there are thin pickings already will find it difficult. This will be particularly true of parts of the country that are expected to suffer due to the high level of public sector job cuts. Research by Experian showing a declining footfall in the North lend credence to this argument. Manchester is expecting high levels of public sector lay offs and in Blackpool over half of the office workers are employed by government.
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