The aristocratic family behind Cadogan Estates, which owns swathes of Chelsea, shared £58.3 million in dividends last year helped by retailer demand for new shops, it has emerged.
The amount paid to Earl Cadogan’s family was more than doubled from 2017. That was partly in preparation for a large recurring 10-year inheritance tax charge on the owning trusts.
Previous years were also lower owing to big investments into the estate such as the new Belmond Cadogan Hotel.
New accounts show Cadogan Estates’ retail property arm had good growth in 2018: up 1.6% to £3.1 billion. The company, which runs Chelsea in Bloom, cheered retailer demand and a spate of fashion lettings, including to Balenciaga and Slowear.
Chief executive Hugh Seaborn said: “Changing consumer spending habits have led to a rapid change in retail, which impacts upon all retail property owners. Over several years, we have adapted by strengthening our responsiveness to shopper preferences and working more closely with retail partners to refine our offer.”
He added: “We aim to deliver compelling and vibrant destinations through careful curation to attract leading fashion and lifestyle brands, with international luxury flagships alongside independent artisans, complemented by great food, drink and unique events.”
The total property empire was flat at £6.2 billion, with retail helping offset the residential arm being hit by Brexit.
Group operating profits, stripping out property revaluations and one-off costs, increased 4.6% to £98.1 million. Turnover rose 5.3% to £169.4 million.
Seaborn said: “The business has proved resilient in 2018, despite the backdrop of political and economic adversity.”
