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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

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. 

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