Ikea acquires former iconic Topshop site on London’s Oxford Street
The Ikea owner bought Topshop’s former flagship store on London’s Oxford Street for £ 378million ($ 521million).
The Swedish company will purchase 239,000 square feet of retail and office space in the building, which spans seven floors, and houses current long-term tenants Nike and Vans.
Following the collapse of Sir Philip Green’s business empire, the agreement to purchase the long-term lease on the building is expected to be finalized in January after the signing of a conditional purchase agreement.
The new Ikea store is slated to open in fall 2023 and will focus on home furnishings. It will be the brand’s second smallest store format after opening its site in Hammersmith this winter.
Watch: IKEA Reports Record Full-Year Retail Sales
The move is part of Ikea’s strategy to open downtown locations and bring the business closer to customers. He also described the move as a vote of confidence in the London property market.
The store will focus on home furnishings, with the full line available for purchase for home delivery. It is expected to create around 150 new local jobs.
Read more: Topshop sale set to bring Sir Philip Green’s family £ 50million
Peter Jelkeby, Head of Ikea UK and Ireland operations, said: “Even though online shopping continues to accelerate at a rapid pace, our physical stores (large and small) will always be a problem. essential part of the Ikea experience – as places of inspiration and expertise, community and engagement.
“Bringing Ikea to the heart of Oxford Street – one of the most innovative, dynamic and exciting retail destinations in the world – is a direct response to these societal changes and an exciting step on our journey to become more accessible. “
Krister Mattsson, Managing Director of Ingka Investments, a subsidiary of Ikea’s parent company, said: Ikea for our clients.
“This property offers great potential for retail space, and we strongly believe in the long-term value of the London property market.”
The Arcadia Group, which owned Topshop, took office in November last year, and its various other brands were also auctioned off, including Evans, Burton and Dorothy Perkins.
He officially filed for administration, a form of bankruptcy, after last-minute bailout talks failed, ending Sir Philip Green’s reign as King of the Main Street.
Watch: ASOS Takes Topshop, Other Arcadia Brands