Latest Retail News

Dunelm enters ROI market with acquisition of soft furnishings retailer

20th November 2024

Dunelm has entered the Republic of Ireland market for the first time with the acquisition of an Irish soft furnishings retailer. Homefocus Group – which trades under the ‘Home Focus at Hickeys’ brand – operates 13 stores in the ROI alongside home delivery and click-and-collect services. The brand specialises in fabrics, with a focus on home categories such as curtains and bedding. Dunelm said the acquisition provides an “attractive opportunity” to connect with more customers by entering a new geography, which it said has a homewares market worth over £1bn. The acquisition provides the retailer with coverage across the ROI, through Home Focus’ portfolio of smaller stores, which are all less than 10,000 sq ft in size. Earlier this year, Dunelm said it was “increasingly confident” in its smaller format stores. The retailer said it sees potential to offer a broader range of products in Home Focus stores, in line with its existing smaller format stores in the UK. Dunelm added that it sees an opportunity to introduce a more comprehensive online proposition and in time will assess new store opportunities across Ireland. Nick Wilkinson, CEO of Dunelm, said: “In Home Focus we have found a high-quality and complementary business, […]

British Land: Retail park exposure “paying off”

20th November 2024

The chief executive of British Land Simon Carter has said the real estate investment trust’s high exposure to retail parks is “paying off”. This comes as the group releases a report for the six-month period ending 30th September 2024, during which it made £456m of non-core disposals and invested £711m into retail parks. These disposals included British Land’s sale of its stake in Meadowhall, completed in July. During the period, the REIT recorded an underlying profit of £143m, a year-on-year increase of 1%. The group’s retail park occupancy rate is now at 99%, and its retail park portfolio valuation has increased by 5.1% since April. Since the period end, the group has also raised £301m via an equity placing. Simon Carter said: “We are pleased the operational and financial momentum in our business continues. Strong levels of leasing ahead of ERV and sustained cost discipline enabled us to grow profits again, despite significant development activity, which will be a key driver of future profit growth. Our values were up 0.2%, with a particularly strong performance in retail parks offsetting residual yield movement in campuses. “Since April, we have disposed of £456m of non-core assets and rapidly deployed £711m into retail...

News

Dozens of Homebase stores hit the market following administration – full list

20th November 2024

Administrators have placed 74 leasehold Homebase stores on the market following the DIY retailer’s collapse into administration. Teneo Financial Advisory has appointed Harvey Spack Field to market the properties, which range in size between 15,455 sq ft and 1.19m sq ft. Unconditional premium offers have been invited in respect of individual sites, with multi-site or portfolio offers considered. Potential buyers have been given until 29th November 2024 to submit an offer. This comes after The Range acquired 75 Homebase properties in a pre-pack deal. Here are the locations of the properties placed on the market:

Deals

Darlington shopping centre completes over 30,000 sq ft of deals in 2024

20th November 2024

The Cornmill Shopping Centre in Darlington, County Durham has announced a number of lease renewals, with the scheme having welcomed a total of over 30,000 sq ft of renewals and new lettings in 2024. Leading brands including HMV, Tesco, Superdrug, The Works, H. Samuel have all recommitted to the scheme, alongside new arrivals Shoezone and Stride Footwear. These renewals demonstrate a confidence in the shopping centre, which this year so far has welcomed over 2.7 million visitors. Zoe France, centre manager at the Cornmill Shopping Centre, said “The continued loyalty of our long-standing retailers demonstrates their confidence in the Cornmill and the opportunities it provides. We’re thrilled to welcome new tenants who will diversify our offerings and enhance the shopping experience for our visitors. This is an exciting time for the Cornmill as we prepare for a busy Christmas season with free, family-friendly events to support the community and drive footfall.” David Reisner, director of Davlea Estates, asset manager of the Cornmill Centre, added “The Cornmill Centre is a prime example of a well-managed retail destination that continues to evolve and thrive despite challenges in the wider retail sector. National retailers staying with us shows the strength of Darlington’s market, […]

PROPERTY OF THE WEEK

Completely Retail

14 Halewood Way

The unit is prominently positioned on Halewood Way and benefits from an extensive corner frontage. The properties forms part of the new Beam Park community, close to an array of other essential services and amenities that add to the neighbourhood feel, from the on-site medical centre and shops, to the nearby school (opening September 2025). The property comprises a new build convenience store arranged over ground floor. The upper floors, which do not form part of the sale, contain contemporary apartments sold separately via private treaty.

Requirements

Padel Social Club appoints agents to support nationwide expansion

14th October 2024

Padel Social Club has appointed leisure real estate advisory business Stärka as sole agents to support its nationwide expansion. The social padel concept – which launched its first site in Earl’s Court and recently opened at The O2 – is targeting indoor and outdoor spaces ranging between 10,000 sq ft and 40,000 sq ft. The operator takes a flexible approach with its locations and formats, which range from multi-court barns to pop-up or permanent turn-key court installations and activations. Stärka is seeking locations which suit Padel Social Club’s target demographic, and is also looking to secure regional firsts in some of the UK’s most iconic locations. The brand’s concept welcomes players of varied experience, with some venues coming with social and wellness areas, rooftop bars, meeting rooms and co-working spaces, as well as cafés and retail spaces selling specialist equipment and clothing. David Bell, co-founder of Stärka, said: “Our partnership with Padel Social Club has come as a direct result of our previous success in acquiring locations for a number of operators, both established and up-and-coming. Our expertise very much lies in the bespoke and collaborative approach we take with landlords, as well as our ability to truly understand the core nature […]

Insights

Revitalising the high street: challenges, opportunities, and the need for bold reform

29th October 2024

Ahead of the Autumn Statement, Jason Tann, partner at Howard Kennedy, looks at the challenges facing our high streets, and how we can address them.

Advice

Finding the right retail property for you

20th March 2024

Every business is unique, and for those who want to enter the world of physical retail, finding the right property is no different.

Starbucks brews up The Centre Livingston opening

20th November 2024

Starbucks is set to open a new café in Livingston after signing a 15-year lease at The Centre. Opening in February 2025, the coffeehouse chain has agreed a deal to take 3,174 sq ft of space across units 305a and 305b. The signing follows the recent news that The Centre, Livingston is set to expand its leisure offering with the arrival of bowling operator Hollywood Bowl. Neil Woodward, asset manager for The Centre, Livingston, said: “We’re thrilled to welcome Starbucks to The Centre, Livingston. Their arrival highlights the attractiveness of the Centre as a key retail and leisure hub. Starbucks will undoubtedly enhance the visitor experience, offering a great spot to relax and recharge while enjoying world-class coffee.” Rakesh Joshi, director at LCP, added: “This deal reflects our commitment to attracting high-quality brands to our properties. Starbucks is a fantastic addition that aligns perfectly with our strategy of providing a diverse mix of tenants to meet the needs of the local community. We look forward to seeing their success at The Centre, Livingston.” EYCO acted for LCP.

News

Hotel Chocolat to open concept store at Newcastle’s Eldon Square

20th November 2024

Hotel Chocolat is set to open a new concept store and café at Eldon Square in Newcastle. The 3,128 sq ft store will stock a range of the retailer’s premium chocolates, whilst the ‘Velvetiser Café’ will offer a range of hot chocolate alongside other hot drinks. The new concept is indicative of the brand’s investment into immersive experiences, allowing customers to try the product whilst also having a personalised experience. Hotel Chocolat joins Eldon Square’s range of premium shopping brands, including John Lewis, All Saints, and Fenwicks. Matthew Beddow, senior director of asset management at Eldon Square, said: “The addition of Hotel Chocolat to Eldon Square is further evidence that our 2024 leasing strategy is proving to be a success. We are thrilled to continue to welcome market leading brands that add to our diverse retail and dining mix and have no doubt Hotel Chocolat will be enthusiastically met by Eldon Square shoppers.” Hotel Chocolat’s arrival follows a number of recent openings at Eldon Square, including Wingstop and Sephora. Eldon Square is managed by Pradera Lateral and Savills.

More Latest Retail News

Over 80 retailers say Budget could cost industry £7bn

19th November 2024

A group of 81 retailers have written to the Chancellor Rachel Reeves warning that the Government’s Autumn Budget could cost the retail industry an additional £7bn in 2025. The letter – submitted by the British Retail Consortium (BRC) – highlighted “significant concerns about the impact of the budget and the economic consequences for inflation, employment and investment”. Signatories included retailers from many different sectors, including grocery, fashion, DIY, department stores, sporting goods, and convenience, amongst others. Changes announced in the Budget include an increase in National Insurance Contributions (NICs) from businesses from next April. Employer NICs will begin at a lower threshold of £5,000 (previously £9,100), whilst the rate will increase from 13.8% to 15%. The BRC said this will cost retailers £2.33bn a year. The national living wage is also set to increase from April, whilst a new packaging levy will be introduced in October. The BRC’s letter said this would cost the industry an additional £2.73bn and £2bn respectively. The BRC added that, as things stand, retailers’ business rates bills will increase by £140 million in April 2025 due to the inflationary uplift and a reduction in the existing retail discount for those businesses that receive it. The group […]

Sephora targets 20 UK stores in expansion drive

19th November 2024

The boss of Sephora has said the cosmetics retailer is looking to ramp up its UK expansion over the next few years. Speaking to The Times, Sephora’s CEO Guillaume Motte said the retailer was looking to have “at least 20 stores in the UK” over the next two to three years. Owned by LMVH, Sephora has over 3,000 stores across 35 countries. This includes six in the UK, where it re-entered the physical market last year following an 18-year absence. The retailer currently operates stores in Westfield Stratford, Westfield London, and Manchester, as well as two in Newcastle and one in Birmingham, where it opened last week. Sephora is also set to launch new stores at Bluewater and Liverpool ONE over the coming months. The former is due to open this winter whilst the latter will open in early 2025. Motte told The Times: ”I know that sometimes we say that retail, and especially retail in the UK, has been doom and gloom. “My answer to this always ‘boring retail is dead but exciting retail is alive and really thriving’.” The French retailer originally made its UK debut in 2000 in Kent, before exiting five years later after facing a combination...

Tresspass relocates Norwich store to Castle Quarter

19th November 2024

Tresspass has relocated its existing store in Norwich after opening at Castle Quarter shopping centre. The outdoor wear retailer has signed a five-year lease for a unit located at the scheme’s White Lion Street entrance. Founded in Glasgow in 1938 under the name Jacobs & Turner, Tresspass is a producer and retailer of clothing and equipment for outdoor pursuits, such as skiing and hiking. The brand now operates over 300 outlets globally. The opening of Trespass looks to strengthen the occupier line-up at Castle Quarter, which has seen a repositioning towards social, leisure, and lifestyle options whilst retaining a traditional retail core. It joins retail brands such as TK Maxx, Boots, Flying Tiger, and The Entertainer, alongside competitive socialising operators including Boom Battle Bar, Putt Putt Social, and Escape Hunt. This shift in strategy has seen improvements repositioning across footfall, dwell time, car park usage and occupier turnover, with at least 75% of occupiers at Castle Quarter reporting higher year-on-year trading figures. Will Ashdown, asset manager at RivingtonHark, said: “Trespass is a premium UK brand, and as such it is hugely exciting to see it choose to relocate to Castle Quarter from its existing Norwich store. While we have worked to […]
Deals News

Reading shopping centre changes hands for £16m

19th November 2024

A shopping centre in a Reading suburb has been sold by Federated Hermes in a deal worth around £16m. St Martin’s Centre in Caversham comprises 92,000 sq ft of commercial accommodation including 19 shops, and is anchored by a 40,000 sq ft Waitrose and a 13,000 sq ft Iceland. Other notable tenants include Costa Coffee, Boots, and Superdrug. The scheme produces an annual net income of around £1.3m and has a weighted average unexpired lease term of 7.6 years to expiry (at time of marketing). St Martin’s Centre – which sits on a four-acre site – is supplemented by 254-space car park, and is also home to Caversham Health Club as well as 10 flats and one office suite. The scheme was refurbished in 2017, with the introduction of new cladding, shop-fronts, signage, paving, and lighting. Further asset management opportunities are available at the centre, including the potential development of mixed-use retail and residential accommodation, reletting or residential conversion of certain retail units, and the construction of a decked car park. Rob Dales, partner at KLM Real Estate, which represented Federated Hermes, said: “The pricing and level of interest achieved on this sale shows that the shopping centre market continues […]
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