finance

Shopping centre confirms worst fears



Braehead shopping centre will remain open despite its heavily indebted owner intu going into administration this afternoon.

The landlord which also owns Manchester’s Trafford Centre and Newcastle’s Metrocentre confirmed Robert Tucker, Michael Robert Pink and David John Pike of KPMG are to be appointed as joint administrators.

Intu earlier admitted talks with creditors over a waiver on its debt repayments had collapsed. The commercial landlord owes £4.5 billion and income from retail tenants’ rents has dried up during the Covid shutdown.

Its venues in England have reopened and Braehead is due to open fully on 13 July when government restrictions are lifted.

Intu said today: “Underlying group operating companies remain unaffected and all shopping centres are continuing to trade. The intu Group’s relationships with its tenants are with these operating companies, not the companies entering administration.

“The shopping centre operating companies have or are expected to enter into transitional services agreements with the Administrators of the central entities to ensure continuity of service provision by the central entities to the individual shopping centres.”



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