British Land has posted profits for the second half of the year thanks to improved rent collection.
The firm posted post-tax profits of £8370m, which was up from a £730m loss a year earlier.
Chief executive Simon Carter said: “Demand is firmly focused on the very best (office) space, with an emphasis on sustainability, wellness, shared and flexible space and excellent transport connections.”
Richard Hunter, Head of Markets at interactive investor, said: “As the property landscape evolves and with specific challenges in London, British Land is redesigning its portfolio to reflect the new environment.”
“The first relates to the inexorable rise of online shopping, boosted further during the pandemic, and the scarring this may leave on physical shopping centres and, indeed, the high street in general in future years. In addition, the longer term impact of hybrid working is yet to wash through, with staff at some companies not returning to the office at all and others on a limited basis.”
“These shadows have forced a redefinition of British Land’s strategy and there are some encouraging signs that the group is beginning to move ahead of the curve,” he added.
