real estate firms issued eight profit warnings in the second quarter this year,
on top of the 16 recorded in the first quarter of the year. This is nearly five
times the number issues in the equivalent period in 2019. All warnings this
year cited the impact of Covid-19.
Helen Pratten, EY strategy and transactions partner, said:
“Profit warnings decreased in Q2 compared with Q1 but remain high. Covid-19 has
been cited in all real estate profit warnings as the pandemic exposed
underlying structural weaknesses and exacerbated existing challenges.
Vulnerable real estate sectors, such as retail, have seen accelerated