Probably the biggest news effecting Newbury from a retail perspective is that the John Lewis Partnership has announced it will not reopen eight John Lewis shops to “secure the business’s long-term future and respond to customers’ shopping needs”. Their store in Parkway, extending to around 40,000 sq.ft, is one of the eight.
Oxford, thought to be at risk of not opening, will now reopen on 30 July along with the Swindon outlet. However, the 59,000 sq.ft store at Mannington Retail Park in Swindon will not open.
John Lewis said: “Prior to the pandemic, the eight shops identified were already financially challenged and the pandemic has accelerated the switch from shopping in-store to online. Before the virus struck, 40% of John Lewis sales were online. This could now be closer to 60 to 70% of total sales this year and next.”
This is a big blow for Newbury to lose John Lewis. Whilst the store opened for trade reasonably well, we are led to believe it tailed off after two years and hasn’t made a profit since. It was not helped by the restrictive covenant in favour of Debenhams that prevents John Lewis from selling fashion items.
It will be interesting to see who, if anyone, is interested in the store when they vacate. There will undoubtedly be calls for Primark but we expect the town will be considered too small. However, if Primark can be convinced, it will make life very difficult for those fashion operators still trading.
Casual Dining Group, which owns the Bella Italia and Café Rouge brands in Newbury, has also confirmed that they will not re-open their units in the town which will leave further vacancies.
We understand that Northbrook Street may lose another retailer to Newbury Retail Park in the coming months, with a deal having been agreed for a relocation. We will let you know more in due course.
A national gym operator is rumored to be taking the former Staples/Office Outlet unit on Greenham Road.
New Look, currently on the retail park, have asked landlords to accept turnover rents only, or they will close the store, but no further detail on what they actually turnover has been given. As such, we believe they are looking at another administration process to further reduce their estate and debt obligations.
We believe a retailer has been secured on a temporary basis in the Kennet Centre for the former Debenhams unit but that the entrance will be external and not from inside the scheme.
Retailers currently looking for space in Newbury include Home Bargains, McDonalds, Costa and Aldi. If anyone has any sites or properties they feel might be suitable, then please let us know.
We have a very knowledgeable retail team with national contacts so if you need any advice, either as a landlord or tenant, then please do get into contact with us here at Orb Property Consultants
