Ikea is to buy the flagship Oxford Circus retail store occupied by Topshop in a £385m deal pursuing the collapse of Sir Philip Green’s retail empire.
It will give the Swedish home furniture chain a existence at the heart of London’s procuring district amid booming demand for its products and solutions since lockdown was lifted.
Topshop fell into administration previous November after many years of declining profits. The brand name was subsequently acquired by Asos, which announced options to dispose of all physical stores.
The offer is not the to start with time the Swedish home furniture chain has attempted to move to Oxford Circus. Ikea earlier sought to get over British Dwelling Stores’ location on Oxford Avenue, and experienced also enquired about a web-site at a nearby redevelopment on Cavendish Square.
The offer brings Topshop’s fifty six-calendar year tenancy on the avenue to an finish. It moved to Oxford Circus in 1965.
Administrators took over the company which owns the web-site previous November following the collapse of Sir Philip’s Arcadia fashion empire. They explored both sale and leasing possibility right before the offer with Ikea was agreed, according to Respond News.
Mike Ashley’s Frasers Group experienced also been intrigued in the web-site. But talks stalled because Nike, an current tenant in the making which will hold its retail store open, has a clause in its lease prohibiting a competitor from running in the previous Topshop area.
Excellent Portland Estates, Criterion Money and Ramsbury all enquired about the web-site without the need of talks progressing to a critical issue.
Returns from the sale will be utilised to reimburse senior lender Apollo Money Management. Leftover resources will go intp plugging the £510m deficit in Arcadia’s pension plan.
The offer for the Oxford Circus retail store follows an agreement with US serious estate huge Trammell Crow for Arcadia’s previous warehouse in Milton Keynes, as a lot of Arcadia belongings are on the market place.
Ikea did not answer to a ask for for remark.