Posts from November 2022

Primark is reported to be planning a store at Teesside Park as part of a £140m investment in its stores. The expansion plans are set to create around 850 jobs across the UK and increase the brand’s UK selling space by 160,000ft. The new store will be the third new addition to Teesside’s line-up this year, after welcoming The Works last month and Tim Hortons earlier this year. Other new sites are planned at Bury St Edmunds, Craigavon and Salisbury, according to The Sun. Plans are also in place for a Victoria’s Secret branch to open a ‘store within a store’ inside the next location.

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H&M relaunches Regent Street Flagship

Despite H&M Group closing several of its UK stores, the retailer has reopened its Regent Street flagship with new services to enhance its estate. Customers of the ‘new’ and improved shop will enjoy an immersive shopping experience in a “warmer, more welcoming interior and relaxed environment,” according to H&M. The store will now offer “a host of new circular and customer services” including its Beauty Bar and the debut of its rental concept. H&M Rental allows members to rent clothes, shoes, bags, and accessories from selected collections for a maximum of seven days from its Regent Street store. The new offer is part of the company’s sustainability features which also includes its Garment Collection and Recycling service. The service allows customers to donate clothes from any brand in-store to be recycled instead of going to landfill. In exchange H&M will offer points and digital vouchers. Meanwhile the Beauty Bar, in partnership with Dashl, gives customers access to nail, brow and lash treatments “adding to the customer value in-store”.

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Superdry confirms £70m refinancing talks with American lenders

Clothing retailer Superdry has confirmed talks with American lending provider Bantry Bay Capital Limited regarding the replacement of its £70m asset-backed lending (ABL) facility, as it looks to pay off debts due in 2023. Superdry’s current ABL facility is provided by BNP Paribas and HSBC, however this deal expires in January. In statement responding to media reporting released this morning, Superdry confirmed negotiations with the lending providers, owned by US hedge fund Elliott Advisors, following reports in The Sunday Times at the weekend. The retailer said there was no certainty in whether an agreement would be reached, and added that it remains in discussions with other lenders. Superdry said a further announcement will be made when appropriate. In October, the retailer warned of a “material uncertainty” around its ability to continue trading, should it fail to refinance its ABL facility. However, Superdry said it remains confident the business would remain cash positive, following a strong year in which they saw a return to profit. As with many others, Superdry is not immune to the difficult economic state retailers find themselves in, with company chair Peter Sjölander acknowledging in their annual report that: “the challenges emerging from the war in Ukraine...

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The O2’s Icon Outlet hires new leasing team

Icon Outlet at The O2, developed by AEG and Crosstree Real Estate Partners, has announced the appointment of KLM Real Estate as its retail leasing partner, working alongside CBRE. Icon Outlet is anchored by the likes of adidas, Calvin Klein, Nike, Superdry, Ted Baker, and Tommy Hilfiger. The scheme has welcomed a number of brands such as murmur and Superdry within the last year, and will soon be seeing the opening of Luke 77, Raging Bull, and TOG 24. This announcement follows the recent debut of multi-brand watch store Henry Richards, as well as retailer Reiss, who will be at the outlet until January. iFly Indoor Skydiving also announced The O2 for its debut location, due to open in February 2023. KLM Real Estate will work in conjunction with CBRE under the leadership of Louisa Dalgleish, leading director at Icon Outlet, along with food & beverage and leisure leasing agent Lunson Mitchenall. Dalgleish said: “To maintain its momentum and success, we need the right team on board, and the experience, reach and passion demonstrated by KLM is the perfect combination with CBRE and Lunson Mitchenall”.

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Liverpool ONE launches debut size? store

Grosvenor has announced the opening of footwear and apparel retailer size?’s debut store design concept at Liverpool ONE. The 2,734 sq ft, two-storey size? will be the third JD Group retailer to join the Liverpool shopping centre, alongside JD Sports and Tessuti. The store will take inspiration from Liverpool’s industrial heritage, incorporating deep grey interiors offset by size?’s signature orange tone. size? Liverpool ONE features several digital installations including integrated kiosks. Alison Clegg, managing director at Grosvenor, said: “Having size? launch their brand-new store concept design at Liverpool ONE is another marker of confidence in the destination from the JD Group. The experiential nature of the store aligns well with increasing consumer demand for 360-degree shopping opportunities and highlights our commitment to adapting our leasing strategy in line with evolving trends. The store also adds yet further diversity to Peter’s Lane’s premium offering, as well as the wider destination itself.” The debut of size? at Liverpool ONE follows the arrivals of retailers including Inditex owned Stradivarius and footwear retailer Kick Game. Metis and CBRE acted on behalf of Liverpool ONE, while size? acted independently.

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Waitrose appoints new customer director

Waitrose has announced the appointment of Nathan Ansell as its new customer director, replacing Martin George who leaves after five years with the company. Beginning his tenure in the new year, Ansell will be responsible for furthering the development of Waitrose’s multi-channel customer strategy through a focus on quality, value, service and sustainability, the retailer said. Ansell has over 20 years experience in retail and fast-moving consumer goods, having worked at M&S for 10 years, most recently as marketing director. He has also held various marketing roles for brands including Heinz, Birds Eye, and Red Bull. Commenting on the appointment, executive director for Waitrose, James Bailey, said: “We see huge potential to grow the brand and reach new customers. I’m delighted to welcome Nathan who shares our values and brings a broad set of skills and experience to this critical role.” Ansell added that he was a lifelong admirer of the Waitrose brand and aims to “get started further strengthening the brand and helping to build lifelong customer loyalty.”

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Savills: Oxford Street retail space on chopping block as office schemes proposed

Research from Savills has revealed that 1.32m sq ft of new office schemes on Oxford Street are proposed for delivery within the next five years. Savills said the conversion of former retail space would account for 72% (960,000 sq ft) of all new office space, as the prestigious street evolves into a mixed-use space. Demand for 100,000 sq ft+ offices has never been higher, said Savills, with Palantir, Conde Nast, and Evercore all in the market. Key schemes along Oxford Street include: Sirosa’s 163,000 sq ft at Emporium Henrietta Place, the former House of Frasers, available from the third quarter of 2024 Ramsbury & Capital Real Estate delivering 280,000 sq ft at the former Debenham’s Store 334 Oxford Street from the fourth quarter of 2024 Derwent London granted planning for 150,000 sq ft at Holden House 54-68 Oxford Street (expected in 2027) and 80,000 sq ft at a former Next store at The Ribbon, Wells Street, being delivered by M&G in the first half of 2024. Savills says the attractiveness of Oxford Street lies in its strong amenities and cultural offers, along with improved accessibility with the newly opened Bond Street Elizabeth Line station. Andrew Wedderspoon, director in the West...

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JYSK results resilient despite global challenges

Danish furniture retailer JYSK has posted strong financial results, despite challenges from increasing inflation and the War in Ukraine. In its annual report for 2021/22, the retailer posted a pre-tax profit of 4.538bn Danish Krone (c. £525m), an increase of 1% from the year before. JYSK also recorded an increase of 11.2% in turnover to 36.277bn Danish Krone (c. £4.1bn). JYSK has over 3,000 stores worldwide in 48 countries, including 27 in the UK. Jan Bøgh, president and CEO of JYSK, said: “With inflation on the rise, consumer trust in decline and many other challenging global factors, the latest financial year has exceeded even the past few years, which were turbulent on their own.” Bøgh spoke of the war in Ukraine as one of the factors affecting the business. JYSK initially closed all 86 of its Ukrainian stores when war broke out in February, although most are now open again to customers. The retailer also made the decision to close all of its stores in Russia. However, JYSK has managed to open a total of 135 new stores in Europe, with plans to launch in Turkey in spring 2023. Bøgh also announced his departure from the company, with deputy president...

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Frasers Group acquires Savile Row tailors

Mike Ashley’s Frasers Group has announced its acquisition of Savile Row tailors Gieves & Hawkes. “Welcome to the Group @gieveslondon”, Frasers posted on Instagram. All five of Gieves and Hawkes’s UK stores will be part of the deal, including its flagship shop at Number 1 Savile Row. The tailors was put up for sale earlier this year after its Hong Kong-based owner collapsed into liquidation. Gieves and Hawkes was formed under its current name in 1974, but the origins of its tailoring labels go back to the late-eighteenth century. Gieves and Hawkes has held royal warrants for the late Queen Elizabeth II, King Charles III and the Duke of Edinburgh. It has also dressed some of the most important figures in British History, including Sir Winston Churchill and Lord Nelson. Savile Row, synonymous with high-quality menswear, has seen a reduced customer base since the pandemic as working habits have changed and the need for bespoke suits has fallen. Frasers – formerly known as Sports Direct International – has in recent years acquired a number of High Street brands, including Jack Wills, Evans Cycles and Agent Provocateur. It bought online fashion retailer Missguided for £20m in June, and more recently looked...

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Mixed-use destination approved for ex-Debenhams Guildford site

Property developer Native Land has received approval to transform the ex-Debenhams site in Guildford into a 300,000 sq ft mixed-use destination, to be called St Mary’s Wharf. The new site will comprise of 185 new homes, 21,000 sq ft of retail and restaurant space, and almost an acre of riverside public realm. Native Land says the buildings will be all-electric and net zero carbon in operation. The Guildford project is part of a wider strategy by Native Land to reposition former retail assets in fundamentally strong UK towns and cities. The development will comprise of two buildings, designed by architects Squire & Partners, as well as a new civic square, a park, and a riverside walk with access to the High Street. Native Land has committed £1m to riverside infrastructure spend, which could see a new footbridge constructed over the River Wey. The development looks to repurpose brownfield land and offer a range of 1-3 bedroom homes. Native Land anticipates strong demand for St. Mary’s Wharf. Robert Harris, managing director acquisitions at Native Land, said: “Our plans for St. Mary’s Wharf will inject new life into Guildford town centre by transforming a redundant retail asset into a vibrant mixed-use destination....

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Packaging expert reveals top tips for sustainability in business

Sustainability is fast becoming one of the most important aspects of running a business. Many companies are increasingly focusing on meeting ESG (environmental, social, and governance) targets and for retail businesses, ensuring your products are sustainably sourced can be a great drawing point for eco-conscious customers. Roger Wright is waste strategy and packaging manager at Biffa, a waste management company, and has given seven steps for businesses to consider when choosing products to purchase: Packaging’s origin storyIs the packaging necessary in the first place? Don’t be afraid to challenge your supplier and refuse to accept extra packaging if it’s unnecessary. Any extra packaging should be sustainably sourced. The product or serviceMake sure to check the credentials of the product being packaged. You don’t want to get caught out for exaggerating any eco-friendly claims. The supply chainWho has physically made your packaging? Are they fairly treated? How far has the packaging travelled? Is the finished product under or over packaged for the channel it’s being sold in? Retail therapyHow does the packaging feel? Does it make you happy? Would a customer feel incentivised to keep it, rather than throw it away? Try to understand customer psychology when picking your product. FunctionalityHow...

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Mothercare appoints new CEO as profits slump

Mothercare has announced the appointment of Dan Le Vesconte as its first CEO in two years, as it released its interim results which revealed a drop in profits of £3.2m. The parenting and young children brand has suffered from its withdrawal from Russia, following the invasion of Ukraine. Mothercare estimates this has cost them around £2.9m in earnings. However, international retail sales from its partners increased by 15% over last year, excluding sales from Russia. Mothercare is taking steps to recover lost profits, and said it had successfully completed a refinancing of the business without further equity dilution. The appointment of Le Vesconte is hoped to reinforce the product, brand, E-commerce and distribution skills within the executive team. Le Vesconte has held senior leadership positions at companies such as Abercrombie and Fitch, Hollister, Dr Martens, and the Wolverine Worldwide group of brands. Clive Whiley, chairman of Mothercare, said: “Our results demonstrate the strong foundations and resilience we have created in the business over recent years. Furthermore, we have generated both profit and cash despite the impact of Covid-19 and the war in Ukraine. Our immediate priority now remains to support our franchise partners as we together navigate out of this...

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Demand for energy efficient products powers up Kingfisher

DIY retailer Kingfisher, the parent group of B&Q and Screwfix, has recorded a third quarter sales increase of 1.7% to £3.3bn, with the retailer saying that demand for energy efficiency was supporting DIY sales. In the three months to October 2022, Kingfisher, who also operate stores in France and Turkey, recorded sales were significantly above pre-pandemic levels, with an increase of 15.3% on a three-year like-for-like (LFL) basis. The retailer also recorded a strong start to the fourth quarter, with a 16.2% increase on a three-year LFL basis for the three weeks leading to November 19. Kingfisher said Screwfix, who have opened two debut stores in France, had made significant gains in market share. TradePoint, B&Q’s trade-focused banner, saw a 29.5% increase in sales on a three-year LFL basis. However, UK & Ireland sales were down 2.3% in the third quarter on a LFL basis, with Kingfisher citing abnormally warm October weather and the funeral of Her Majesty Queen Elizabeth II as reasons for a poorer sales period. Thierry Garnier, CEO of Kingfisher, said: “While the market backdrop remains challenging, DIY sales continue to be supported by new industry trends such as more working from home and a clear step-up...

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New Arbroath retail park welcomes Home Bargains

Home Bargains has received planning permission to anchor the new Arbroath retail park development. The new plan proposes a 10,000 sq. ft garden centre, over 40,000 sq. ft of retail space, 400 parking spaces and 13 EV charging points, anchored by a 30,000 sq. ft Home Bargains. Parent company TJ Morris spoke before Angus Council with plans for the 3.3-hectare site at Elliot Industrial Estate. It is the second retail park proposal for the former factory site. The previous scheme was approved in 2019 but was not progressed. Planners insisted councillors should give the green light, despite the development contradicting the local development plan. Chief planning officer Jill Paterson said: “The council has previously determined that large-scale retail development at this location represents a significant departure from development plan policy.” “However, the council has also previously determined that large-scale retail development at this location is acceptable as it would improve the retail offer in Arbroath and would deliver significant economic benefit.”

Deals

Cricket makes flagship signing at Liverpool ONE

Grosvenor has announced that luxury boutique retailer Cricket is set to join Liverpool ONE. The retailer will launch its flagship 21,000 sq ft store positioned at the head of Peter’s Lane. Spanning three floors, the anchor store will sell designer menswear, womenswear and children’s collections, alongside bags, shoes and accessories from brands such as Balenciaga, Saint Laurent and Valentino. This signing follows a busy year for the 1.65m sq ft Liverpool ONE, with the recent arrivals of designer retailer Tessuti, footwear retailers Kick Game and Russell & Bromley, and the opening of the first Charlotte Tilbury store outside of London. Cricket will become one of over 170 stores in the centre. Metis and CBRE acted for Liverpool ONE, while Cricket dealt directly.

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Trio of openings at Elephant Park

Real estate company Lendlease has announced the opening of three new venues at Elephant Park. Cyber esports cafe SideQuest, Asian restaurant OISOI, and Taiwanese tea specialists YiFang have taken an interconnected 6,000 sq ft unit facing onto New Kent Road. This news follows the openings of Mexican-inspired restaurant Cheeky Chicos, Korean-Japanese eatery Kokoro, and community pub the Rosy Hue, at the centre. Elephant Park is a £2.5bn regeneration project in Elephant & Castle in cooperation with Southwark Council. When complete, it aims to have opened 50 new retail and leisure units, as well as the completion of 3,000 new homes and 50,000 square feet of workspaces, all centred around a two-acre park. Guy Thomas, head of place assets at Lendlease, said: “Consumers expect more from destinations post-pandemic and increasingly the right tenancy mix is one that blends traditional retail with one-off venues and experiences.” Nash Bond, CF Commercial, and Shelley Sandzer represent Lendlease.

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Three British independents join O2’s Icon Outlet

Icon Outlet at the O2 has announced the signing of three independent British retailers, adding to the outlet shopping destinations lineup of over 60 retail brands. Located on the lower level, outerwear brand TOG24 will be taking a 1,707 sq ft store, set to open in 2023 and becoming one of over 60 locations for the retailer in the UK and Ireland. Joining Icon Outlet’s upper level are contemporary lifestyle brand Luke 1977 and sportswear brand Raging Bull, both set to open on December 1 and taking 1,722 sq ft and 1,612 sq ft units respectively. This news follows the opening of luxury watch retailer Henry Richards as well as fashion retailer Reiss, who will be at the venue until January 9. Anchor tenant Superdry also opened at Icon Outlet in the run up to the destination’s fourth birthday in October. Icon Outlet is developed by AEG and Crosstree Real Estate Partners. CBRE and KLM Real Estate represented Icon Outlet at The O2.

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Aldi plans new store in Coventry