The demise of the UK department store sector had resulted in House of Fraser, BHS, and Debenhams all going into administration in Telford, leaving 20438 sq m – almost a quarter of the shopping center – to be let.
Following an active asset management strategy led by Sovereign Centros, new occupiers have now been found for all three stores. The 8361 sq m former Debenhams has been leased to the UK’s leading indoor adventure park operator Flip Out, which has taken a 15-year lease on 6967 sq m, while competitive socializing brand Boom Battle Bar has signed for 1393 sq m, also on a 15-year lease.
The 7432 sq m House of Fraser store has been leased to Frasers on a 15-year lease to house a number of retailers including Game, USC, and Evans Cycles. Meanwhile, Danish retailer Jysk, Poundstretcher, and inflatable park operator Inflatanation have between them taken 4645 sq m on 10-year leases at the former BHS unit.
In addition, fashion retailer Vanilla is to open an 8772 sq m store, Pavers have signed a 10-year lease for 295 sq m and Paperchase has taken a 102 sq m unit. As a result, customer footfall has now reached its highest level in two years at the center as shoppers and leisure-goers return to experience the new offer found at the center.
Matt Elgey, Senior Asset Manager at Sovereign Centros, said: “The collapse of the UK department store sector has been well-reported but I am pleased to say that Telford has fared incredibly well. The reletting of these stores to a variety of retail and leisure operators underlines Telford Centre as a major regional retail and leisure destination.”
Orion Capital Managers acquired the Telford Centre in 2014 and has most recently invested £55m on creating a new 7432 sq m fashion quarter at the center, which opened in 2019.
Sovereign Centros was advised by Wright Silverwood and Lunson Mitchenall.