Intu Properties falls into administration; shopping centres to continue trading

Intu Properties has confirmed that it has now gone into administration.

Following this morning’s announcement that it would “likely” be appointing administrators, the company has now confirmed that KPMG will be administrating for the business.

Intu owns shopping centres across the country, including the Metrocentre and Trafford Centre, and is in £4.5bn of debt.

The chain says that all shopping centres will continue to trade as they are held in separate operating companies.

It has not confirmed how many jobs could be affected by the administration.

Intu said: “Discussions have been ongoing with financial stakeholders to achieving standstill-based agreements.

“However, insufficient alignment and agreement in relation to the terms of such standstill-based agreements has been achieved with financial stakeholders ahead of the above deadline.

“As such, application is being made for the administrators to be appointed to intu and several other key central entities in the intu group.

“Underlying group operating companies remain unaffected and all shopping centres are continuing to trade.

“The intu group’s relationships with its tenants are with these operating companies, not the companies entering administration.

“The shopping centre operating companies have or are expected to enter into transitional services agreements with the administrators of the central entities to ensure continuity of service provision by the central entities to the individual shopping centres.”