Hammerson downgraded to hold by Deutsche Bank as coronavirus crisis hits landlords

Home UK Hammerson downgraded to hold by Deutsche Bank as coronavirus crisis hits landlords
Hammerson downgraded to hold by Deutsche Bank as coronavirus crisis hits landlords

Hammerson PLC (LON:HMSO) was downgraded to hold from buy by Deutsche Bank as the coronavirus crisis hits retail landlords.

Analysts cut the target price to 180p from 200p, arguing dividend cuts could put the status of real estate investment trust at risk.

READ: Hammerson dealing with rent waiver requests on a case-by-case basis[hhmc]

According to the bank, like-for-like retail rent could decline by 10-13% if shopping centres around the country remain shuttered for at least a quarter.

In that scenario, landlords are estimated to bear around half of the rent loss or deferrals.

The recovery is expected to come in 2021 when deferred payments flow in.

Hammerson announced earlier on Monday that Read More – Source

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