Fraser Group, owner of brands such as Sports Direct and Flannels, is negotiating the purchase of outlet schemes in York and the East Midlands (UK) from Aviva Investors. Both assets are operated by McArthurGlen Group and are considered well-established destination retail locations.
York Designer Outlet comprises approximately 350,000 sq ft and hosts leading brands such as Nike, H&M and Marks & Spencer. Meanwhile, East Midlands Designer Outlet offers approximately 230,747 sq ft of retail space, with more than 65 designer brands. The scheme, developed in 2002, is located on Normanton Road near Mansfield.
The potential deal follows Frasers Group’s acquisition of Swindon Designer Outlet, also managed by McArthurGlen, which reportedly completed in December for around £144.5 million. The transaction marked a significant step in the group’s strategy to expand its physical retail footprint and support brand partners such as Adidas and Hugo Boss through strong outlet platforms.
Founded in 1982 by Mike Ashley and rebranded in 2019, Frasers Group has become one of the most active investors in UK retail real estate, targeting large-scale shopping centres, retail parks and outlet destinations.
Advisory roles on the transaction are being handled by CBRE for Frasers Group and Morgan Williams for Aviva Investors. All parties declined to comment.
The proposed acquisition underscores continued investor confidence in outlet retail formats, particularly assets that combine strong tenant mixes with opportunities for long-term value creation.
(ps)
