Retail Property News

Hartlepool planning authority considers Middleton Grange takeover

24th November 2023

A local planning authority is considering the takeover of Middleton Grange Shopping Centre in Hartlepool as part of plans to regenerate the scheme. Hartlepool Development Corporation (HDC) is currently in negotiations for the long lease for the scheme, which is located at the heart of the town’s Development Corporation Zone. The deal – which is subject to approval from HDC’s board – would give the planning authority control over the centre. Current plans would see the scheme’s public spaces regenerated, new frontages installed, and the centre opened up to allow uses beyond retail. The acquisition is set to be part of the town’s wider masterplan, which includes creating 2,000 new jobs, building up to 1,300 new homes, and restoring the town centre and waterfront. If a deal is reached, Hartlepool Borough Council would retain the freehold for Middleton Grange Shopping Centre, whilst HDC would appoint asset and property managers to oversee the site. Tees Valley Mayor Ben Houchen, chair of HDC’s board, said: “Middleton Grange shopping centre has been at the centre of Hartlepool for decades – but it’s no secret that it needs some TLC. “This is a great opportunity to reposition the centre and make it a thriving […]

Travelodge targeting over 300 new locations

24th November 2023

Travelodge has said it sees significant growth opportunities in the UK, as it identifies 300 new target locations. The budget hotel chain expects to open six new hotels in 2024, but said this number will increase to 15-20 new sites a year once market conditions improve. Travelodge also said it will continue to review extension opportunities across its existing estate. This comes as the chain releases a trading update for nine months ending 30 September 2023 (Q1-Q3), a period during which it saw record performance during the third quarter. During the first three quarters, Travelodge recorded an year-on-year increase in revenue of 16.7% to £782m, whilst EBITDA profit was up 22.4% to £201.2m. The chain added that it had seen strong momentum in the fourth quarter, with the acceleration of its hotel refit programme, and plans to upgrade around half of its current estate by the end of 2024. Travelodge has previously said it is exploring further brand partnerships as part of its plans to reach more new locations. Jo Boydell, Travelodge chief executive, said: “I am pleased to announce a record performance for the quarter, reflecting continued demand from Travelodge’s diverse range of leisure and business customers who seek...

Greater London retail park handed £26m price tag

23rd November 2023

Goodmayes Retail Park in Greater London has been placed on the market, with offers for the scheme in excess of £26m considered. The 103,499 sq ft asset near Romford is home to retail tenants including Wickes, B&M, Currys, The Gym, Masala Bazaar, Costa, and Nandos. The scheme is located within the Crossrail Corridor Investment & Growth Area on the Elizabeth Line and offers opportunities for residential redevelopment. Goodmayes Retail Park has a total income of over £1.68m per annum and a WAULT of 5.7 years to expiry. Landlord break options are in place at the scheme to deliver vacant possession of the site within 4.8 years. Harvey Spackfield and JLL are jointly marketing the retail park on behalf of current owner Landsec.

NewRiver looks to spend as occupancy hits all-time high

23rd November 2023

NewRiver said it has built up its cash position to capitalise on future opportunities, as the real estate investment trust (REIT) records an all-time high occupancy rate. Allan Lockhart, NewRiver’s chief executive, said the REIT had been building cash reserves for “some time”, adding that “growth opportunities are now starting to emerge”. The REIT said its cash reserves had increased to £138m by the end of September, up from £111.3m in March, bolstered by the completed disposal of the Napier Joint Venture. NewRiver has also refinanced a £100m undrawn revolving credit facility to extend its maturity to November 2026 at a reduced cost. This comes as the REIT – which operates a portfolio of 26 shopping centres and 12 retail parks – releases its results for the first half of the 2024 financial year. During the six months ending 30 September, NewRiver saw its occupancy rate climb to 97.7%, the highest figure the company’s 14-year history. During the period, NewRiver said it had completed 361,800 sq ft of leasing transactions, and recorded a rent collection rate of 98%, unchanged from the same point last year. Allan Lockhart said NewRiver’s occupational market “is in the best position it has been for […]

Lone Design Club: Attracting Gen Z “biggest challenge” for landlords

23rd November 2023

Getting Gen Z consumers to spend time and money at retail destinations is the “biggest challenge” facing landlords, says Rebecca Morter, founder and CEO of Lone Design Club (LDC). “The data on shopping behaviours – especially from the Gen Z audiences – show that they need discovery and freshness from their physical retail and shopping”, she tells Completely Retail News. Launched in 2018, Lone Design Club – which opened its latest location at One New Change in London on Monday – utilises a pop-up format to bring online brands into physical spaces. Morter says the retail platform offers a chance for young consumers who interested in digital and social media-led brands to get away from “copy-and-paste high streets”. She cites brands such as Spanx, Charlotte Tilbury, and ASOS as part of a long list of retailers which are looking for a home on the high street. “Omnichannel is the future”, Morter explains, stating that some customers prefer to look online but convert in-store, whilst others prefer to browse on the high street but then actually purchase online. “Now what we’re seeing with these trends emerging is that brands have to be online and offline to have a proper relationship with […]

Fenwick pulls out of talks for former Guildford House of Fraser store

23rd November 2023

Fenwick has pulled out of discussions to take over the former House of Fraser store in Guildford. The department store chain had been in talks with landlord Canada Life for the 185,347 sq ft unit, following House of Fraser’s departure in September. However, Fenwick has now terminated discussions regarding the store on Guildford High Street, Retail Week has reported. Last year, Fenwick sold its flagship store on New Bond Street to Lazari investments for £430m. The department store retailer said it had shifted its focus to strenghtening its regional presence. The future of the Guildford building now remains uncertain. Past rumours have speculated that the upper levels of the six-storey building could transformed into residential accommodation, with the lower floors remaining as retail units. Following the closure of House of Fraser, the Surrey town has now been left with no department stores following Debenhams’ departure in May 2021.

Jollyes targeting retail parks in expansion drive

23rd November 2023

Jollyes is targeting retail parks as part of its continued expansion, as the retailer aims to open between 20 and 25 new stores in 2024. The pet retailer’s ideal units range between 5,000 and 7,000 sq ft in size at ground floor, located at retail parks or roadside locations across the UK. So far in 2023, Jollyes has opened 14 stores in the following locations: Jollyes has appointed Tim Hornor, Karl Norman and Sophie Wilson at Edgerley Simpson Howe to help find suitable locations to support its expansion plans.

Autumn Statement: Calls to extend rates relief for larger businesses

22nd November 2023

Industry figures have called on the Chancellor Jeremy Hunt to extend business rates relief to medium-sized and larger businesses following the Autumn Statement. In his address to Parliament, Hunt announced that the government will freeze the small business multiplier for a further year. He added that the 75% discount on rates (up to £110,000 per year) for retail, hospitality, and leisure businesses will also be extended. The chancellor said the extension will save the average independent shop and pub respectively over £20,000 and £12,800 next year. However John Webber, head of business rates at Colliers, said a lack of support for medium-size and larger businesses will be a “massive hit” to the high street: “The chancellor’s failure to support those retailers and hospitality companies with multiple stores or outlets, will lead to a hardship and do nothing to stem the trail of bankruptcies we have seen from such chains in recent years from Toys r Us and Carluccio to most recently Wilko. Last year 67,000 retail workers lost their jobs and 55,000 retail stores shut shop. The lack of support is astounding. “It’s pointless worrying about Capital Allowance benefits on empty shops” David Parker, head of rating at Savills, said […]

Landsec mixed-use Old Broad Street development green lit

22nd November 2023

Landsec has secured planning permission to redevelop 55 Old Broad Street, EC2, into a mixed-use development. The City of London Corporation has approved proposals to create an office-led scheme with 15,000 sq ft of retail, food and beverage, and cultural space. The site sits adjacent to Liverpool Street station, and is located nearby to local amenities including two new cultural venues at 65 Old Broad Street and the listed Victorian Bath House. Landsec said the development at 55 Old Broad Street is in response to market demand for sustainable workspaces. The building – which will include 270,000 sq ft of office space – is set to be achieve net zero targets in both construction and operation. The plans look to retain as much of the existing site as possible, whilst the finished building will utilise air source heat pumps and operate wholly using renewable energy. Oliver Knight, head of workplace at Landsec, said: “Demand for modern, sustainable workspace designed with wellbeing in mind is growing and there will be a significant constraint on supply over the coming years as other developers pause projects. “Alongside modern offices, retail space and greatly improved public realm around the building, this scheme has the […]

Mailbox in Birmingham handed £120m price tag

22nd November 2023

The mixed-use Mailbox development in Birmingham is set to go to market with a price tag in excess of £120m. The scheme – which is home to 80,000 sq ft of retail and leisure space – is being marketed by property agency JLL, Business Live has reported. Mailbox – which also comprises office space and apartments – is home to retail tenants including Tesco Express, Harvey Nichols, and James Lakeland. In total the scheme comprises some 1.07 million sq ft of space across 6.2 acres. Mailbox is also the current headquarters of BBC Midlands, although the broadcaster is set to move to The Tea Factory, also in Birmingham, by 2026. According to a marketing brochure, the complex currently has an annual rental income of £12m, and a vacancy rate of 4.6%. It reads: “The Mailbox is exceptionally well let, with a very low vacancy rate and benefits from significant asset management, value add and repositioning options in the immediate and longer term. “The Mailbox offers an established workplace and lifestyle ecosystem, with a balanced mix of office, leisure and cinema, retail and department store and car park uses.” The building’s owner, Mailbox REIT, recently delisted from the International Property Securities...

YouTuber restaurant Sides signs up for Manchester debut

22nd November 2023

Sides, the fried chicken restaurant launched by YouTube collective The Sidemen, is set to make its debut in Manchester. The concept has agreed to take a 1,222 sq ft unit at Manchester Arndale Shopping Centre on a 10-year lease. Sides Manchester Arndale will become the restaurant’s second location outside of London, after signing a deal with Dudley’s Merry Hill. The concept is aiming for 200 sites over the next decade. The Sidemen – which is headed up by the likes of YouTubers KSI, Miniminter, and Zerkaa – launched the Sides concept in 2021. It offers fried chicken along with seven signature sauces, and has seen success across various spaces in London including at BOXPARK in Wembley and Croydon. The signing follows recent additions to Manchester Arndale’s food and beverage line-up including Black Sheep Coffee, Krispy Kreme Doughnuts, Lazy Sundae, Slim Chickens and Tim Hortons. The scheme has also recently signed retail tenants such as The North Face, Sunglasses Hut, Nike, Manchester City, and Moss. Scott Linard, portfolio director for asset manager M&G Real Estate, said: “We are delighted to welcome Sides to Manchester Arndale. With its already substantial following, the fried chicken outlet will undoubtedly be the perfect addition to […]

Cushman & Wakefield to embed AI into transaction process

21st November 2023

Commercial real estate services firm Cushman & Wakefield has become the latest property company to embed artificial intelligence (AI) into its transaction process. The firm’s new digital transformation strategy, called AI+, aims to enhance client and employee outcomes. Cushman & Wakefield said it is digitally advancing operations, client delivery and data stewardship to create a new industry standard for commercial real estate (CRE) while enhancing its own productivity. The initiative looks to deliver a digital transformation at a large scale, with Cushman & Wakefield deploying a combination of AI products to increase both access and speed-to-market for its insights and expertise. Cushman & Wakefield said these advancements will empower brokers, services, and research professionals to support decision-making and other needs. The firm said AI+ will enable it to unlock new insights and operational efficiencies through cutting-edge partner technologies, including its AI marketing copilot Jasper, as well as large language models to bring to life curated and optimised data sets across the business. This is not the first foray into AI for Cushman & Wakefield, which introduced artificial intelligence to its business in 2018. Since then, the firm has recorded an 80% material reduction in its operational cycle time and a...