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U'lil

OTZ's new CEO Paul Idzil< agreed this week to tal<e a cut to his £400,000 salary as part of 'painful and difficult but necessary' cost­cutting initiatives in the UI<. 'For those that tal<e part in this programme, we are targeting a minimum 10% reduction from directors and a minimum 5% reduction from associate directors for a 12-month period,' the company said . • Paul Idzik profile, p24; leader, p33

Land ecurities sets up shops • Landlord to act as 'venture capitalist' backer to retailers

BY LAURA CHESTERS presence here and then grow the brands in the Like many other landlords of retail space, UK by opening branches. Shops will be leased Land Securities has been left with voids from

LAND SECURmES IS DRAWING UP PIONEERING to the new company. failed retailers, which can create a negative plans to fund and open shops in joint ventures Ronan Faherty, Land Securities' commercial perception in shopping centres and reduce with retailers. director, who was drafted in from Irish retailer their appeal for shoppers.

Under the initiative, Land Securities will Arnotts in 2007 to improve relationships with The new venture will help the landlord's become a venture capital-style backer for retailers, said: 'We are looking to identify vacancy problem by adding new brands, as retailers that want to launch in the UIC retailers who will succeed in this current well as driving footfall and attracting more

It will target overseas retailers considering market, but retailers that will not compete customers to its centres. expansion in the UK, as well as brands that with current retailers we have. Faherty said: 'The initiative will bring more have yet to open shops. 'Each will bring their knowledge to the people to the centres. This initiative is about

Land Securities will invest up to f5m in the venture, but we will make sure the brand the longterm, notjustfilling spacein the venture, which will operate as a separate brings their full ethos to the market. It will short term. We are doing it because we take company with a separate board. not be a watered-down version ofthe brand.' the longer-term view. We are not just looking

It will be led by a CEO with a background in He added: 'We still have a lot of work to for a temporary solution.' retail and a team offour people, who will be do. We are talking to international brands, as The initiative, led by Faherty and Richard recruited once the CEO is in place. The CEO well as young fledgling brands and internet Akers, managing director of Land Securities' could be appointed within the next month. brands. Many of these businesses find it very retail portfolio, is thought to be one ofthe most

The new company will either partner or challenging, so this opportunity should innovative steps by a REIT and shows how it can licence brands that do not already have a help many brands.' be entrepreneurial in harsh economic times.