House of Fraser’s flagship store on Oxford Street has narrowly avoided closure after Mike Ashley, who acquired the business earlier this month, agreed on a deal with landlords and suppliers to keep the store open.
Ashley, who owns the sports retail chain Sports Direct, pledged to keep 47 of House of Fraser’s 59 stores open. The original plan before the acquisition was to close 31 stores.
Real estate services and investment firm BCRE was appointed by Ashley immediately after the acquisition to begin necessary negotiations to keep the store open.
James Keany, head of national agency at CBRE, said: “All parties realised it was better to keep the store open and fully operational. It was a real case of landlord and tenant genuinely working together and at great speed. Everyone was sensible about the terms of the transaction.”
Sports Direct’s head of elevation, Michael Murray, said: “Oxford Street was meant to close in January and now it’s safe, which is great news for all parties. Everyone must remember it was a bust business and we need landlords, councils and brands to pull together to save House of Fraser on the high street,”