4. Leasing and vacancy
URW has seen a continued recovery in leasing activity with 518 deals signed in Q3, bringing the total letting activity
YTD to 1,736 deals, +23% vs. 2020 and broadly similar to 2019 (1,783), for a total Minimum Guaranteed Rent of
€239 Mn.
The proportion of long-term deals (above 36 months) signed in Q3 improved compared to H1-2021, at 59% vs. 44%.
As in H1-2021, the uplift on long-term deals signed in Q3 remained positive, while the reduction in MGR on short-term deals10
, in particular in the US, is expected to be at least partly compensated by increased sales-based rent.
For Continental Europe, the total MGR uplift on short-and-long-term deals YTD was close to the prior passing rent
(-1.3%).
The lettings included:
• Food Society (an innovative food hall concept) in CNIT;
• Fusalp (a luxury ski-wear brand) in Westfield Parly 2;
• Tommy Hilfiger in Toison d’Or;
• Sephora in Westfield Mall of Scandinavia;
• Peloton in Westfield Garden State Plaza, Westfield Topanga, Westfield Galleria at Roseville, and Westfield
Old Orchard;
• Allbirds in Westfield Century City and Westfield Garden State Plaza; and
• Gucci in Westfield Galleria at Roseville.
In addition, the Group saw several key store openings in Q3, notably including the largest Zara store in France in
Westfield Les 4 Temps (after the opening of the largest Bershka in Western Europe which opened in Westfield
Forum des Halles in H1), AliExpress in Westfield La Maquinista and Parquesur in Spain, and Saint Laurent Paris in
Westfield Galleria at Roseville.
Supported by the letting activity, EPRA vacancy overall improved in Q3 to 7.9% from 8.9% at H1-2021, below the
8.3% vacancy as at year end 2020, with vacancy being most improved in the US and remaining at a very controlled
level in Continental Europe:
Within Continental Europe, vacancy decreased slightly as a result of improvement in Spain (4.2% vs. 6.0%), Central
Europe (4.9% vs. 5.6%) and The Netherlands(7.8% vs. 8.0%), while vacancy remained relatively stable at lower levels
in France (3.8%) and Austria (1.8%).