Posted by: FSPRetail , 21 December 2008
Assessing the reliability of retail rental income, always important for asset managers and property investors, is now critical. FSP has developed a Rental Risk Index (RRI) that quantifies the quality of rental income and is using its RRI to reduce rental risk particularly in shopping centres. The premium attached to rents in a shopping centre lies in the centre’s ability to control its environment and tenant adjacencies, unlike the situation in most high streets. The current pressure to take on any retailer without regard for tenant fit, simply to maintain the immediate income stream, will erode this premium. It is not true that any retailer who will pay the rent is good enough. read more…
Tags: GEOFF'S VIEW