A Week on the High Street | Insights Hub | the Local Data Company

A Week on the High Street - 6th February

Written by Local Data Company | Feb 6, 2019 2:21:56 PM

LEISURE

American sandwich company Quiznos, known for its toasted sub sandwiches is expanding its estate in the UK.  Founded in Denver, Colorado 30 years ago the chain now has franchises across 40 countries worldwide, UK sites in Bromley, Maidstone, Hounslow, Stratford and Luton as well as proposed sites in Lewisham, Wood Green, Wandsworth, Dartford, Glasgow, Guildford and Watford.

 

Mexican restaurant group Tortilla’s managing director, Richard Morris, has confirmed plans to extend their 36-strong portfolio by six sites this year. Five of the six planned sites have been secured, including one in Oxford and one in central London. The group is also looking to expand the ‘Baby’ Tortilla format that has been designed to cater for residential online orders and operates in around half the size of a regular Tortilla restaurant.

 

Namco, the entertainment centre company, and Rovio Entertainment Corp, the mobile game developer behind Angry Birds, have announced a new venture to develop a series of Angry Birds indoor adventure golf venues across the UK. The concept will see adventure golf alongside themed features and attractions based on the Angry Birds game. A minimum of five sites are planned over the next five years with negotiations for the first two already underway.

 

RETAIL

Fashion retailer, Oliver Bonas, has revealed plans to open eight new stores taking its total estate to 85 by the end of the year. The expansion plans will create at least 80 new retail jobs. The first will open at Gatwick Airport’s North Terminal and continues to see the core market in London, however, the retailer is looking at other markets across the UK following successful launches on high streets in Harborne, Exeter and Milton Keynes. 

 

Canadian retailer, Sunrise Records has bought HMV out of administration. Doug Putman beat Sports Direct founder Mike Ashley in the fight for the iconic British music and entertainment retailer that went into administration in December last year. Sunrise will acquire 100 of the stores, safeguarding almost 1,500 jobs but 27 underperforming stores will close resulting in 455 redundancies. The stores due to close include the London Flagship store in Oxford Street as well as Ayr, Bath, Bluewater, Bristol Cribbs, Chichester, Exeter Princesshay, Fopp Bristol, Fopp Glasgow Byres, Fopp Manchester, Fopp Oxford, Glasgow Braehead, Guernsey, Hereford, Manchester Trafford, Merry Hill, Peterborough Queensgate, Plymouth Drake Circus, Reading, Sheffield Meadowhall, Southport, Thurrock, Tunbridge Wells, Uxbridge, Watford, Westfield London and Wimbledon.

  

Following the withdrawal of ScS in the battle for Sofa.com, Mike Ashley has reportedly purchased the furniture retailer for a ‘nominal sum’. The purchase was agreed as Ashley intends to honour all outstanding customer orders and preserve the jobs of all the staff as opposed to ScS’s bid that was dependent on a pre-pack administration allowing them to leave behind its liabilities.

 

Following rumoured store closures over the last few months, Debenhams may now have to accelerate the store closure scheme amid increasing CVA speculation. 20 stores could be cut from the estate over the coming 12 months despite reportedly holding talking with various Wall Street hedge fund investors to obtain a fresh cash injection thus providing some breathing space from its financial commitments.

 

Rent-to-own specialist, Brighthouse has announced the closure of 30 shops with the loss of 350 jobs. The Financial Conduct Authority (FCA) last year announced plans to cap the amount of interest that rent-to-own retailers can charge their customers which is a contributory factor along with the tough conditions on the high street in general. 

  

PROPERTY  

Pub giant, Young’s has acquired 15 pubs from Redcomb Pubs for an estimated £34m. The estate comprises of five freehold sites, one part freehold/part leasehold site and nine leasehold sites located in London, the South East and South West. Investment is planned over the next couple of years which will impact on short-term profitability but should have a positive impact thereafter.

 

Daejan Investments, the Freshwater family’s investment arm has received planning approval for a major redevelopment in Oxford Street. Westminster City Council has approved the demolition and redevelopment of six buildings between Oxford Street, Berwick Street and Wardour Street creating a new seven storey block which will house 45,000 sq ft of offices, 30,000 sq ft of retail and a 9,000 sq ft night club.

 

In line with their continued investment in retail assets, Praxis have acquired The Forum shopping centre in Sittingbourne, Kent for around £7m. The 80,000 sq ft centre will be ‘rehabilitated and repositioned’ as part of a council-led town centre regeneration project. Praxis have invested in multiple retail assets over the last 18 months including the purchase of Blaydon Shopping Centre in Newcastle last October.