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CLS Holdings PLC on Monday said it signed fewer leasing deals in 2024 but secured higher rental income, as it navigated valuation declines and rising vacancies. The London-based commercial property investment company said annual rent for the year ended December 31 increased 7.1% to £16.6 million from £15.5 million in 2023, despite signing 112 leasing deals, down from 130 a year prior. Rental income was secured at an average of 6.8% above December 2023 estimated values. Total vacancies rose to around 13% from 11% at the end of 2023, as newly refurbished properties in the UK and France became available for lease. However, underlying vacancy, excluding refurbishments and disposals, marginally declined to 10%. CLS said its property valuations fell 5.8% in local currency terms, though it sees signs of stabilisation, particularly in Germany and France, where valuations remained flat in the second half of the year. The UK saw an 8.3% decline, partly due to a shortening lease term on a major asset leased to the National Crime Agency. Looking ahead, CLS expects leasing momentum, with interest from government departments and mid-sized businesses. Chief Executive Officer Fredrik Widlund said: ‘With good progress on the redevelopment opportunities in the portfolio, property values bottoming in the second half of 2024, and positive leasing activity since the start of the year, we are confident of delivering improved shareholder value over the near term.’ Shares in CLS Holdings were up 0.1% at 72.30 pence in London on Monday morning. Copyright 2025 Alliance News Ltd. All Rights reserved.
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