Frasers Group buys freehold of New Look's Brighton store

05 Feb '21

1 min read

Pic: Shutterstock

The freehold of the New Look store in Brighton has been reportedly brought by Mike Ashley’s Frasers Group. New Look’s company voluntary arrangement (CVA) was officially approved in September last year after creditors approved the proposals with a majority vote in favour. No store closures were featured in the CVA, and all 11,000-plus jobs were saved.

It is the second CVA for New Look in two years. In 2018, creditors approved a CVA that led to 60 store closures and nearly 1,000 job cuts.

The fashion retailer would now switch more than 400 of its UK stores to a turnover-based rent model, a three-year rent holiday on its 68 remaining stores, and enhanced landlord break clauses.

Separately, Frasers Group—which owns Sports Direct and House of Fraser—announced recently that its Jenners department store in Edinburgh will permanently close on May 3, rendering 200 jobless, according to British media reports.

A Frasers Group spokesperson said the decision came about because it was unable to reach an agreement with the owner of the Jenners building, Anders Povlsen, to continue their tenancy. Jenners has occupied the same Princes Street location in central Edinburgh for more than 180 years.

Fibre2Fashion News Desk (DS)

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