The 2000's | Capital Shopping Centres

Over a third of Liberty International’s share capital is repurchased including the remaining 29 per cent belonging to former parent, Standard Bank/Liberty Life, outmanoeuvring a competitor, British Land, to whom this strategic stake had been conditionally sold. This drama is followed by a merger with Capital Shopping Centres to reduce two London listings to one.
The year also sees the final exit from residual financial services activities.

The Chimes, Uxbridge, opens in March and the group steadily assembles a significant development programme including MetroCentre Red Mall, Oxford and Cardiff.
In the US, the group purchases the Serramonte Center in San Francisco.
The collapse of the US equity bubble and ‘9/11’ overshadow sentiment.

Shareholders’ funds increase to £2.7 billion after a £177 million (5 per cent) revaluation surplus and a £158 million capital raising in difficult market conditions.
The extra capital finances a £157 million investment, increasing ownership of the Victoria Centre, Nottingham, to 100 per cent.
Contracts are exchanged with Lend Lease to develop Chapelfield, Norwich.

A 21 per cent rise in share price to 682p, as a £341 million (10 per cent) revaluation surplus takes aggregate investment properties through the £5 billion mark and net asset value per share to 906p.
The development programme reaches £1.3 billion, underpinning the group’s future growth prospects.

Lakeside’s modernisation works complete in July to a very favourable response while the MetroCentre Red Mall extension opens in October, restoring its position as Europe’s largest covered shopping centre.
Net asset value climbs through the £10 mark to 1017p while the share price rises 42 per cent to 971p. The annual dividend is increased by 6 per cent to 26.5p per share – this represents a growth multiple of some six times in 20 years from the 4.55p per share declared in 1984. Shareholders’ funds reach £3.25 billion.

Sir Donald Gordon retires as Chairman in June on his 75th birthday; he is appointed President for Life.
Sir Robert Finch is appointed Chairman.
John Abel retires as Managing Director of CSC; Kay Chaldecott appointed.
Joint venture with Prudential adds material interests in Manchester Arndale and the Mall, Cribbs Causway, Bristol to the shopping centre portfolio.
Chapelfield shopping centre, Norwich opens, and major progress made in developing St. David’s 2, Cardiff (joint venture with Land Securities) and Westgate, Oxford. Record property revaluation gain of £565 million.
A 19 per cent total return for the year achieved.

Greenwich town centre site in Stockwell Street acquired for development.
Capital & Counties disposes of its Kingsreach complex on London’s Southbank for £80 million.
London’s Covent Garden acquired for £421 million.
John Saggers retires as C&C’s Managing Director and Ian Hawksworth appointed.
An agreement with Provogue to develop shopping centres in India is signed.
It is decided to adopt Real Estate Investment Trust (REIT) status from 1 January 2007.
Total investment properties valued at £8.2 billion, increased from 7 billion in 2005. Dividend per share increased to 31p.

Real Estate Investment Trust (REIT) status from 1 January 2007.
GIC RE, the real estate investment arm of the Government of Singapore, acquired a 40 per cent share in CSC’s interest in the MetroCentre, Gateshead for £426 million. CSC continues to manage the MetroCentre.
The Great Capital Partnership, a 50:50 joint venture with Great Portland Estates plc (’’GPE’’), was formed to own, manage and develop a number of Central London properties . GPE is responsible for day-to-day asset management of the partnership properties. Partnership assets valued at £654 million at 31 December 2007.
Acquisition of a 50 per cent interest in EC&O Venues (Earls Court & Olympia Group) for £54 million. The group owns and manages the Earls Court and Olympia Exhibition Centres in West London and the Brewery, Chiswell Street, London EC2.
Investment in Covent Garden increased to £1.4 billion by 31 December 2007.
Total investment properties valued at £8.6 billion, increased from £8.27 billion in 2006. Dividend per share increased to 34.1p.

Aidan Smith resigns as Finance Director in March and Ian Durant is appointed in his place.
The Great Capital Partnership announces a new £225 million credit facility to provide financial resources for asset repositioning and investment projects in March.
Lesley James retired as a Non-Executive Director and Richard Cable resigned as an Executive Director in April.
Sir Robert Finch retires as Chairman in July and Patrick Burgess is appointed Chairman.
Capital & Counties completes a 50:50 Joint Venture with Land Securities of its holding in Empress State, Earl’s Court in August. The half share was acquired for £107.75 million. Simultaneously, the Partnership refinanced the holding through a joint £159 million facility with Abbey UK Corporate Banking and Eurohypo.
John Abel and Robert Buchanan retire as Non-Executive Directors in December.
The programme of disposals of non-core assets is continued with £200 million realised in 2008. A further £160 million is anticipated in early 2009.
Due to adverse economic conditions a deficit of £2,051 million on revaluation of investment properties is recorded, an overall reduction of 22.5% for the year. Dividend per share restricted to 16.5p.

A Firm Placing and Placing and Open Offer of 200 million New Ordinary Shares at 310 pence in April raises gross proceeds of £620 million to assist with reducing net indebtedness, increasing the available cash and undrawn committed financing facilities, improving financial ratios and increasing financial flexibility.
Andrew Strang and Andrew Huntley are appointed as Independent Non-Executive Directors in July.
St. David’s Limited Partnership agrees a £290 million debt facility against the St. David’s shopping centre, Cardiff in September. The facility is for a five year term.
A Placing of 56.1 million New Ordinary Shares at 500 pence in September raises gross proceeds of £280.5 million to enable investment in prime UK regional shopping centres and London assets following 12 months of turmoil in the property and financial markets.
Ownership of Earls Court & Olympia is increased to 100% after acquiring the partners’ interest in December.
A deficit of £732 million on investment property revaluation was recorded for 2009, an overall reduction of 10.6% and a marked improvement on 2008. Dividend per share remains at 16.5p.

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