Posts from July 2023

Vacant shops, takeaways, and bookies could be turned into new homes under Government proposals announced on Monday. The Prime Minister Rishi Sunak said that the Government will meet its manifesto commitment to build one million homes this parliament. The proposals involve prioritising building in inner city areas, rather than in the countryside. Michael Gove, the secretary of state for levelling up, housing, and communities, said: “Most people agree that we need to build more homes – the question is how we go about it. “Rather than concreting over the countryside, we have set out a plan today to build the right homes in the right places where there is community support – and we’re putting the resources behind it to help make this vision a reality.” The Government has also announced plans to regenerate three major cities: Central London, Leeds, and Cambridge. The proposals have garnered support from institutions such as AstraZeneca, Darktrace, and the Royal Town planning institute. However, shadow levelling up secretary Lisa Nandy was critical of the proposals, describing them as a “drop in the ocean compared to what is needed to fix the housing crisis”. “We don’t need more reviews or press releases, we need bold action to...

News

KickX football makes Addlestone debut

The “world’s first hybrid football arena” has opened its doors at AddlestoneOne in Surrey, marking a debut location for the leisure experience. KickX has been fitting out the 14,000 sq ft multi-storey venue at the Addlestone scheme, which is part of Runnymede Council’s plans to bring jobs and businesses to the south of the borough, for the past three months. The experience offers five different activities across 11 courts, including virtual reality, and will look to draw football enthusiasts in from across the South East. AS Retail are AddlestoneOne’s leasing agents. Andrew Shepherd, director, said: “We are absolutely thrilled to welcome KickX to the development. They have chosen Addlestone owing to its strategic location allowing them to reach football enthusiasts, families, community football clubs and schools across the region. Sitting alongside The Light Cinema, Nandos and Smith & Western they help consolidate AddlestoneOne as the leisure destination to visit in the region.” The Addlestone scheme will also be welcoming gaming café Geek Retreat at around the same time as the KickX opening. Opening in 2018, AddlestoneOne is home to the leisure centre as well as a cinema, a Premier Inn hotel, a small format Waitrose, and 214 residential apartments.

Deals

The North Face expands Regent Street flagship

The North Face has agreed to expand its global flagship store on Regent Street, increasing its retail space at the store by a third. The outdoor clothing brand has signed a 10-year lease to bring the size of its Walmar House flagship to 10,000 sq ft. The North Face has traded at Walmar House since 2015. The Grade II-listed building is owned and operated by Great Portland Estates (GPE) and houses 56,500 sq ft of retail space across seven floors. GPE has also announced the signing of designer fashion brand JOSEPH, which has also signed for a Regent Street store at the nearby Kingsland House. It will become the brand’s sixth standalone London store. JOSEPH’s signing marks the completion of GPE’s retail repositioning at Kingsland and Carrington House, after TUMI, Russell & Bromley, Pret A Manger, and The Body Shop completed lease signings last year. Sarah Goldman, head of retail at GPE, said: “We’re delighted that two of our Regent Street properties have been selected as the location for these global stores. With footfall growing at our West End properties, and visitors to our capital on the rise, the expansion of The North Face and the presence of JOSEPH further boosts...

Deals News

Manchester Arndale welcomes UK’s largest Asian supermarket chain

The UK’s largest Asian supermarket chain, Oseyo, is set to join Manchester Arndale, bringing Korean food and drink to the scheme. Taking a 12,580 sq ft unit on a 15-year lease, Oseyo will be opening its second Manchester store, having already established itself at Oxford Road. The supermarket will offer a range of Korean and Asian groceries and products, including snacks, sauces, and fresh produce. The signing of Oseyo continues a strong run of lettings at Manchester Arndale, which is overseen by joint asset managers M&G Real Estate and Global Mutual. Recent arrivals include Moss, Gilly Hicks, Nike, Manchester City, Clarks, Flying Tiger, MINISO, Tommy Hilfiger, Kick Game and Kurt Geiger. Oseyo will also join other new food and beverage offerings the scheme including Black Sheep Coffee, Krispy Kreme, and Slim Chickens. Steve Gray, head of European retail asset Management at Global Mutual, said: “We place great importance on creating a mix that caters to the city’s diverse taste and we are certain Oseyo will fit the bill. With such exciting leasing activity taking place it’s clear there is continued demand for well-placed retail units, and we are delighted to see confidence in Manchester Arndale’s long-term performance; we hope to...

Deals News

BOSS opens upsized Liverpool ONE store

BOSS has opened its new-look space at Grosvenor’s Liverpool ONE, having announced its relocation and upsizing last year. The 13,500 sq ft store on Paradise Street represents an increase in size to 130% of its previous trading area at the Liverpool scheme. BOSS’s new Liverpool ONE store stocks the luxury retailer’s range of menswear and womenswear alongside seasonal collections, and offers made-to-measure services, click-and-collect facilities, and personal styling appointments. The retailer joins other premium brands on Paradise Street, including Charlotte Tilbury and Goldsmiths. Rob Deacon, senior asset manager, Grosvenor, said: “BOSS’s considerable upsize is another great endorsement of Liverpool ONE’s position as one of Europe’s leading retail and entertainment destinations. We are proud to welcome the brand’s new elevated store and to continue to home one of BOSS’s best-performing locations in its portfolio, further enhancing Liverpool ONE’s line-up of leading international brands alongside local independents.” The news follows the recent opening of Hollister and Gilly Hicks at Liverpool ONE, with the two Abercrombie & Fitch brands operating under the same roof in the city for the first time. The retailers will be joined by Red Run, which is set to launch its flagship store at the centre later this year. Metis and...

Deals News

What is retail?

What is retail? Simply put, its the sale of products or services from a business directly to a customer. It can be anything, really. If you can take a product and sell it directly to a customer – that’s retail. Seems simple enough – but no two retailers are the same. That’s why it’s important for new businesses to understand the market before they get started. The history and evolution of retail Retail dates back thousands of years when local markets served as hubs for trade and commerce. In ancient civilizations, merchants would gather in marketplaces to sell their wares to local residents. Over time, the concept evolved, and with the Industrial Revolution traditional shops transitioned into larger stores. In the 70s the first shopping centre in the UK was opened, bringing various retailers under one roof and offering convenience and variety to consumers. Then the rise of technology in the 80s and 90s gave birth to e-commerce, which revolutionized the landscape. The rise of giants like Amazon, and eBay changed the way people shopped, enabling them to purchase products with just a few clicks from the comfort of their homes. The landscape is still changing rapidly. Many businesses were...

Advice

Leegate shopping centre to make way for over 500 homes

Lewisham Council has approved plans to knock down a 1960s-era shopping centre in South East London to make way for over 500 homes. Plans to demolish the Leegate Centre in Lee Green were approved by members of the planning committee on Thursday (20th), with Galliard Homes set to build a number of tower blocks containing 562 homes. A gym, medical centre, and small supermarket are also set to be constructed on the 1.92-hectare site. Plans to redevelop the shopping centre, which has been described by some as an ‘eyesore’, were originally tabled in 2015. However these hit a number of obstacles including debates around affordable housing, as well as some commercial businesses taking an interest in the site. The site was sold by Knight Frank’s residential team to Galliard Homes in early 2021, before the real estate company’s planning team took the latest set of proposals to councillors. The Leegate Centre is enclosed by Burnt Ash Road, Eltham Road, Leyland Road, and Carston Close. Existing shops and residents will now have to vacate the site, although returning businesses are being offered 12 months of rent-free tenancy. Simon Welch, director of land at Galliard Homes said: “We welcome Lewisham Council’s decision,...

News

Summer sales give Scottish retail a boost

Retail sales in Scotland rose year-on-year by 11.3% in June, according to data from the Scottish Retail Consortium (SRC) and KPMG. The increase in spending was credited to increased discounting and purchases made in preparation for the summer holidays, making clothing and footwear “the star of the non-food category”. Non-food sales on the whole increased by 7.5% in June compared to the same month in 2022. The overall increase in sales was higher than the three-month average of 10.5% and the 12-month average of 8.5%. Director of the SRC, David Londsdale, said: “Retailers found consumers focused their spending on items in the sales, with there being little desire to spend more for in-season or full priced stock,” “That continues the trend of shoppers keeping their discretionary spending laser-focused on what they need right now, which was corroborated by a weak month for larger or homeware purchases.” Paul Martin, UK head of retail at KPMG, added: “Positively, retail sales growth has remained steady at around 9% every month in the first half of this year,” “However, the growth comes against a background of much higher inflation levels resulting in reduced margins and profitability for operators across the sector.” Adjusted for inflation,...

Insights News

Profits tumble at Liberty department store

The Liberty department store in London saw its operating profit fall to just £22,000 for the year ending 28 January 2023, down from £2.4m in 2021/22. The Regent Street store suffered exceptional costs, having been hit by an impairment reversal of around £11.5m the previous year. However, sales increased by 42% as the store was closed for three months during 2021/2022 due to COVID restrictions. Liberty’s earnings (ebitda) also saw a reversal in fortune, reaching £3.96m, up from a loss of £3.53m in 2022. Its Ecommerce business also grew over the year despite falling online shopping rates across the market. The department store said trading was “more representative of pre-pandemic levels”, referring to higher footfall levels. It also said its festive performance showed resilience “resilience” despite high inflation and rising living costs. Liberty said that all its categories had “performed well”, adding that its own-brand products performed better than third party brands.

News

Egyptian street food restaurant seeks new locations

An Egyptian street food restaurant is seeking new locations as it looks to continue its expansion. Koshari St. is looking to bring traditional Egyptian street food to “every corner of the UK”, and has plans to open 10 new stores over the next two years. Founded in 2013, the street food restaurant claims to be the first in London to sell Egypt’s number one national dish: Koshari, which has its origins back to the 14th century. Koshari St. has approval to open two sites in the second half of 2023, with a further six in Central London lined up in 2024. The restaurant has plans to expand outside of London, in locations such as Birmingham, Manchester, Liverpool, and Brighton. It is looking for spaces between 600 and 1000 sq ft in size with lots of natural lighting. Ideal locations would be on streets with high footfall and low car traffic. Richard Wassell of twentyretail has been appointed to find suitable locations for Koshari St.

Requirements

UK consumer confidence drops for first time in six months

GfK’s Consumer Confidence Index saw a downturn in July, ending a run of six consecutive months of increasing scores. The index fell six points to -30, with all measures falling compared to June. The long-standing index is measured in five categories, which are each given scores. Of those surveyed, opinions on personal financial situation over the last 12 months decreased by five points to -20, while personal financial situation for the next 12 months fell six points to -7. Consumer opinions on the general economic situation over the last 12 months decreased by four points to -58, while feelings about the next 12 months dropped eight points to -33. The major purchase index, which measures consumer likelihood to make larger, discretionary purchases, also fell, recording a dip of seven points to -32. The savings index, which does not contribute to the overall score, was the only measure to increase, up by one point to 26. This may be seen as a reflection of high interest rates putting people off saving and encouraging saving. Joe Staton, client strategy director for GfK said: “For the first six months of 2023, UK consumer confidence improved despite the headwinds of the cost-of-living crisis, with double-digit...

Insights News

Superdrug unveils largest North-West store at Trafford Centre

Superdrug has opened its largest store in the North West at Manchester’s Trafford Centre. The 8,095 sq ft store was officially opened by TV personality Charlotte Dawson and represents a greater investment into the region by the beauty retailer. The store offers the retailer’s range of health and beauty products, including Superdrug’s new own-brand cosmetics line Studio London. It will also feature a ‘Beauty Studio’ area, which houses two nail bars and eyebrow threading and piercing services, as well as a fragrance counter. Simon Layton, centre director at Trafford Centre, said: “Superdrug is a much-loved high-street giant and extremely popular with our customers, so we’re delighted that the brand has invested in a new, larger unit. We’re sure visitors will be impressed by the stunning, new-look store and wowed by the impressive range of health and beauty brands on offer.”

Deals News

Virgin Money to cash in on almost a third of its branches

Virgin Money is set to permanently close 39 branches, cutting the size of its estate by almost a third. The lender cited “changing customer demand” and said it was not handling enough transactions to justify having a large estate. Virgin Money said that some staff would be at risk of redundancy but added it would try to relocate them to nearby branches if possible. This follows on a number of closures within the banking and lending industry over the last few months, with HSBC opting to close 114 branches while Lloyds and NatWest previously announced their intention to shut 81 locations. The increase in online and mobile banking has seen demand for high street lending locations plummet over the last few years. The closures, which are expected to be completed by the end of the year, will leave Virgin Money with 91 branches. The company said: “Each store was assessed on an individual basis, with careful consideration of the impact on the local area, as well as the needs of vulnerable customers and the accessibility of alternative services such as free-to-use ATMs and Post Offices. “Each store closing is less than half a mile from the nearest Post Office, which...

News

Cinch backs out of £465m Lookers takeover

Cinch has withdrawn its interest in a £465m takeover of car dealership chain Lookers, and said it will vote against the move. The car dealership platform, which owns a majority 19.2% stake in Altrincham-based Lookers, has backed out of plans which would see Canadian group Alpha Auto take control of the chain. The deal, which was announced in June, valued Lookers at around £465.5m. At the time of the announcement, Lookers said the deal had the backing of shareholders TDR Capital, Artemis Investment Management, J O Hambro, and Schroders. If completed, the deal would be passed through Alpha Auto Group’s subsidiary Global Auto Holdings. In a statement released on the London Stock Exchange on Thursday morning, Lookers said: “The Lookers directors now believe that shareholders representing in excess of 25% of the voting rights of the company intend to vote against the resolutions and therefore that the resolutions are not capable of being passed.” The group said that if the resolution failed to pass, its directors would still “continue to pursue constructive engagement with all shareholders, including Cinch”. The owner of WeBuyAnyCar and Cinch bought the 19.9% stake in Lookers in January this year. Lookers was founded in 1908 and operates...

News

Plans for Worcester arts venue reconsidered as costs spiral

Councillors in Worcester are to be asked to reconsider proposals to create a new arts venue at the Scala Theatre as costs spiral. Worcester City Council’s Policy and Resources Committee will be asked next week to scale back the proposals, reducing the seating capacity of the venue from 500 to 300. This comes amid rising construction costs for the project, exacerbated by high inflation, leaving the council with a £3.5m hole in its funding for the development. The council will be asked to support a revised plan which will reduce costs while still creating a venue for live music, entertainment, comedy, and more. David Blake, Worcester City Council managing director, said: “Rising costs are having an impact on every aspect of our lives and unfortunately the council’s ambitions for the Scala are no exception. “We have had to reconsider our plans and work out how we can still provide Worcester with a popular and attractive new arts venue, one that will become a popular hub for live entertainment and the arts in the very heart of our city. “There are still many issues to be addressed, including the development of a viable business plan for the venue and agreeing construction...

News

Luxury Leisure completes line-up at Walsall scheme

Luxury Leisure has signed a lease with Real Estate Investors (REI) agreeing to join a Walsall scheme and completing the line-up at the site. The gaming and slots provider has agreed to open in a 9,500 sq ft unit at 9-11 Park Street on a ten-year lease. The agreement is one of three recently secured by REI at the scheme, with leases also signed at 86 and 87 Bradford Street. Santander renewed its lease in December for a further five years, meaning the scheme is now fully let for the first time since REI’s purchase in November 2017. Jack Sears, asset manager at REI, said: “This deal was a long time in the making, since July 2021. It was subject to us obtaining vacant possession from the previous occupier and Luxury Leisure being granted the necessary licences from the local authority. “We are delighted to have agreed these three deals, and signed a new lease with Santander, given that retailing is Walsall at present and this really breathes some life into the local high street marketplace. “It also highlights the benefits of a well situated scheme at the prominent end of Park Street and Bradford Street.” Scott Robinson at Creative...

Deals

Consultation launched on former Sainsbury’s Selly Oak site

A joint venture between Galliard Homes and Apsley House Capital has begun a public consultation regarding the future of a former Sainsbury’s site in Selly Oak, Birmingham. The Galliard Apsley Partnership is seeking to transform the vacant property into student accommodation along with 14,000 sq ft of commercial elements. Over 10,000 sq ft of medical space is also set to be constructed. The site, which is bounded by Chapel Lane, Harborne Lane, and Bristol Road, was acquired earlier in the year and has lain vacant since 2018. The joint venture is aiming to create a scheme that delivers an expected gross development value of £160m. The partnership is also aiming to create a total of around 2,250 new homes in the city. Between 18 July and 1 August, local residents have been invited to provide their views on the proposed developments. A drop-in session at the Sense TouchBase Pears community centre is also being held on 25 July. The comments will be considered before the Galliard Apsley Partnership submits its formal plan to Birmingham City Council.

News

M&S Oxford Street demolition plans knocked down by Michael Gove

Marks & Spencer’s plans to demolish its flagship Oxford Street store have been rejected by the secretary of state Michael Gove. M&S boss Stuart Machin branded the decision as “utterly pathetic”. “We have been clear from the outset that there is no other viable scheme”, he said. “So after almost a century at Marble Arch, M&S is now left with no choice but to review its future position on Oxford Street on the whim of one man.” Westminster City Council had previously approved proposals for the retailer to knock down the historic store to make way for a new shop, a café, a gym, and offices. However communications secretary Michael Gove delayed the ruling after facing pressure from heritage and environmental campaigners who wanted to save the art deco building. M&S then threatened to shut down its flagship store at No.458 if its rebuilding plans were refused. The plans were rejected on the grounds that the public benefits would not outweigh the harm to local landmarks, including the Selfridges department store and a number of conservation areas. A large carbon footprint and that the failure to reuse existing buildings were also listed as reasons for refusal. M&S chair Archie Norman said...

News

Asda co-owner criticised after fuel price questioning

Asda co-owner Mohsin Issa has been criticised by the chair of a committee of MPs for “wasting” time and ignoring questions after being quizzed about fuel prices and employment practices. Darren Jones MP described the hour-long hearing with Issa and Asda’s chief people officer Hayley Tatum as an “extraordinary session”. “You’ve not answered any of our questions’, he added. “I’m just very sorry that we’ve spent an hour going round in circles and you’ve not been complying with the questions from this committee. “It’s not in order and I think actually you’ve suffered to the detriment for the brand of Asda to your customers and your suppliers.” Issa, who owns Asda along with his brother Zuber, was called to the hearing to clarify apparent inconsistencies in his remarks to the committee last month. He defended his supermarket’s fuel price strategy from a report by the Competition and Markets Authority (CMA), which saw Asda fined £60,000 for “failing to provide information in a timely manner” regarding the investigation into fuel prices. The report found that customers are now paying an extra six pence per litre of fuel as a result of increased supermarket fuel margins. It also revealed that Asda’s pence...

News

Tax-free shopping debate to head to Parliament