Intu Properties PLC (LON:INTU), the struggling shopping centre owner, has predicted rental collections will total just £97mln in the second half of the year.
In a presentation to bondholders, the property group said it expects to collect £310mln in rent for the year compared to £491.6mln in 2019, but on a net cash basis the second half will see heavy falls in collections at all its main centres including the Trafford Centre in Manchester and Metro on Tyneside.
For 2020 overall, the Trafford Centre owner expects rental income to drop by 37%, with another modest fall projected for the following year.
Last month, the property group said it was trying to reach a standstill agreement with its creditors until the end of 2021 to stabilise its position and these numbers assume some leeway on its loan covenants.
Cash holdings at the year-end of 2020 will be £24.1mln, Intu added, compared to £160mln at the June half-year though the cash position recovers to £62.6mln by the end of 2021 on its forecasts.
Intu has drawn down a revolving loan facility of £573mln and it has assumed this is rolled over.