The iconic Fenwick family is considering selling its renowned flagship store on Bond Street in London for redevelopment, potentially altering the landscape of department stores in the area. The future of the site is uncertain, as it remains unclear whether developers will choose to completely end department store retailing on the premises or utilize the existing planning permission for four floors of offices above the historic building. According to The Sunday Times, the market value of the store sits at £500 million, as a previous attempt to sell the entire Fenwick chain was disrupted by the pandemic.
Former chairman Mark Fenwick is reportedly presenting the site as a promising redevelopment opportunity. Located at a prime corner on New Bond Street, near Oxford and Regent Streets, the asking price for the property seems reasonable, given its size and the values of nearby real estate. Several potential buyers have expressed interest, including luxury group LVMH and renowned developer Sir Stuart Lipton, known for his work on the Broadgate development in the City.
The Fenwick department store group, originally established in Newcastle in 1882, has its headquarters and national flagship store in Newcastle itself. However, its Bond Street location has always been its most prestigious, attracting international tourists prior to the pandemic. Understandably, given the absence of high-spending international visitors and the ongoing recovery process, Fenwick has made the decision to sell the store. The company has faced challenges in recent years, particularly due to its late entry into the world of online retail.
The potential sale of the store could help Fenwick recover from recent losses and generate funds to address its pension fund deficit. However, the reported asking price has deterred some potential buyers from making an offer. It would be interesting to witness the site’s redevelopment, as department store retail space has been diminishing in London’s West End. For instance, John Lewis has obtained planning permission to convert the upper floors of its Oxford Street location into office space, while M&S has development plans for its branch near Marble Arch. Furthermore, House of Fraser and Debenhams have already closed down their department stores on Oxford Street, and Liberty has downsized its presence on nearby Regent Street.
Useful Links:
1. Fenwick Newcastle Store
2. Broadgate Development
