**Workspace Group PLC Second Quarter Business Update Summary (Period Ending 30 September 2025)**
Workspace Group PLC, Londons leading owner and operator of sustainable, flexible workspace, provided a second-quarter business update highlighting progress in its **Fix, Accelerate, and Scale** strategy. Key highlights include
### **Strategic Progress**
1. **Fix (Stabilise and Rebuild Occupancy)**
Completed **326 lettings** in the quarter, with a total rental value of **ยฃ7.3m per annum**.
Like-for-like occupancy declined by **2.3%** to **80.0%**, primarily due to large customer vacations at The Centro Buildings in Camden. Excluding these, occupancy would have been **81.7%**.
Delivered **ยฃ2m in annualised efficiencies** by streamlining support functions.
2. **Accelerate (Optimise Portfolio and Platform)**
Disposed of **ยฃ52.4m** of low-conviction assets, part of a **ยฃ200m target**, at a combined net initial yield of **3.5%**.
Completed pilot capital-light upgrade projects at The Leather Market and Vox Studios, with positive customer feedback, and expanded the program to other high-conviction buildings.
3. **Scale (Innovate for Accretive Growth)**
Advancing plans to offer specialised workspace solutions for fast-growing industries in high-conviction locations, aiming to expand the addressable market.
### **Operational and Financial Highlights**
**Like-for-like rent per sq. ft.** increased by **0.1%** to **ยฃ47.55**.
**Like-for-like rent roll** decreased by **3.2%** to **ยฃ107.1m**.
Robust balance sheet with **ยฃ167m** in cash and undrawn facilities, and a proforma LTV of **35%**.
### **Customer Activity**
**Enquiry-to-letting conversion rate** improved to **16%** (up from **14%** in Q2 2024/25).
Marketing campaigns drove a **22% uplift** in website-booked viewings compared to the prior three-year average.
### **Portfolio Activity**
Completed sales of The Shaftesbury Centre, Morie Street Studios, Chocolate Factory (Part), and Castle Lane, totalling **ยฃ30.3m**.
Ongoing refurbishment projects, including The Biscuit Factory and Atelier House, will add new space by late 2025.
### **Financing**
Net debt increased by **ยฃ20m** to **ยฃ833m**, partly offset by disposal proceeds.
### **Outlook**
CEO Lawrence Hutchings emphasised progress in stabilising occupancy, optimising the portfolio, and scaling the business, despite challenges in an uncertain environment. Workspace remains confident in its strategy to deliver shareholder value.
**Half-year results** will be published on **19 November 2025**.
*Workspace Group PLC manages 4.2 million sq. ft. of sustainable workspace across 64 locations in London and the South East, supporting 4,000 businesses.*
Below is an HTML table comparing the key financial and debt metrics year-on-year based on the provided text:
### Notes:
1. **New Lettings and Total Rental Value**: Compares Q2 2025/26 to Q2 2024/25. 2. **Like-for-like Metrics**: Reflects changes in occupancy, rent per sq. ft., and rent roll year-on-year. 3. **Total Rent Roll**: Shows the decrease from ยฃ139.4m at 31 March 2025 to ยฃ134.0m at 30 September 2025. 4. **Net Debt and LTV**: Net debt increased by ยฃ20m, while LTV remained stable at 35%. 5. **Cash and Undrawn Facilities**: Only provided for Q2 2025/26, so no comparison is available. This table provides a clear comparison of key financial and debt metrics between the two periods.