Covent Garden Market Authority has reported a pre-tax loss of £2.2 million for the year to 31 March 2012 as a result of £3.9m of redevelopment costs.
The statutory body, which runs New Covent Garden Market on behalf of DEFRA, saw its operating profit, before the feasibility costs associated with the market redevelopment, rise by 11 per cent and the market’s total turnover increase by almost eight per cent year on year to £604 million.
CGMA chief executive Jan Lloyd said: “After taking the project feasibility costs into account, CGMA reports a loss before tax of £2.2m compared to a loss of £2.7m in the previous year. While income from rent was down slightly, by the year end occupancy levels were recovering, finishing above the exit rate of last year. The small fall in rent was offset by an increase in income from parking.”
The figures reveal that the occupancy rate for trading areas rose to 85 per cent from 82 per cent of the year to 31 March 2011.
Some 82 per cent of tenants rated the service they receive from CGMA as being as good as or better than last year, although this figure was down slightly on the 84 per cent recorded in 2011.
Chairman of the market, Baroness Brenda Dean, steps down in September after seven years at the helm. Her appointment was twice extended to allow her to see the redevelopment project through its procurement phase. She said although she was “pleased” that the outline planning application for redevelopment had been submitted and a development partner selected during this reporting period, she “regrets” that a claim has been filed against CGMA for its selection of Vinci St Modwen as that development partner since the end of the reporting period in March.
