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The UK’s retail-heavy property funds face exodus — regulators should act

FCA can learn from the US, where ‘bricks and mortar’ property funds only allow redemptions monthly or quarterly

Friday 14 February 2020 at 00:01

The serious challenges facing the UK retail sector should come as no surprise, with many established high-street names disappearing or restructuring.

This in turn is creating a rolling crisis in real estate funds investing in high-street properties. Bankrupt tenants pay no rents, and even when retailers restructure via company voluntary arrangements (CVAs), they usually aim to pay less.