Thu, 02 Apr 2020 | COMMERCIAL PROPERTY
Fashion retailer Next has put its head office and three warehouses up for sale, as it looks to raise funds following the temporary closure of its stores and website.
The company has engaged property agent Savills to find a buyer for the Leicester head office, while Acre has been tasked with the disposal of the Doncaster warehouses, which will then be leased back.
It is forecast that the sale-and-leasebacks could generate tens of millions of pounds for the retailer, with the company saying last month that it could raise up to £100 million from its properties.
The sale-and-leasebacks form part of a mitigation strategy as Next looks to protect its balance sheet during the coronavirus pandemic.
The company has worked out three scenarios in which sales could be down by up to £1 billion next year, with annual profits potentially falling from £594 million in the year to January 2020, to £55 million next year.
It has also slashed investment plans by £45 million and suspended its share buyback scheme as part of phase one of its coronavirus survival plan. The sale-and-leasebacks are part of phase 2.
Next has also said it is considering delaying a £147 million shareholder dividend and that it is seeking rent cuts of around 40 per cent on 53 stores with leases up for renewal in the coming year.
One of the best ways to find properties below market price is to look at recent administrations.
This is a well established and well used local post office situated in a densely populated area of East London. The area surrounding the business is extremely busy through the week and weekends due to the travel links and leisure facilities close by.
LEASEHOLD
Offers an extensive selection of quality products, including pitched and flat roof windows, composite and uPVC windows and doors, and roofing products. Works with leading manufacturers to supply premium, branded products, many of which are exclusive...
FREEHOLD
The company has established a respected brand, offering an extensive selection of e-cigarettes, vapes, refills and accessories, with all ingredients, flavours and e-liquids being made the UK. Benefits from a loyal and long-standing customer base, pre...
LEASEHOLD
|
15
|
|
Jan
|
Buyer sought for portfolio of pubs | BUSINESS SALE
Five pubs that formerly operated under the Authentic Alehous...
|
14
|
|
Jan
|
Acquisitive RSK Group completes trio of deals | BUSINESS SALE
Cheshire-based technical services consultancy RSK Group has ...
|
13
|
|
Jan
|
Heat transfer equipment manufacturer falls into administration | ADMINISTRATION
Coventry-based Covrad Heat Transfer has fallen into administ...
Sign up to receive our acquisition alert emails to get your FREE guide
|
15
|
|
Sep
|
Next agrees joint venture with Victoria’s Secret | BUSINESS SALE
Fashion retailer Next has agreed a joint venture deal for th...
|
03
|
|
Jul
|
Next completes sale and leaseback of head office and warehouses | COMMERCIAL PROPERTY
High street fashion retailer Next Plc has confirmed the succ...
|
12
|
|
Feb
|
Victorian hotel set in Devon estate up for sale | COMMERCIAL PROPERTY
The Highbullen Hotel Golf and Country Club, which is set on ...
Business Sale Report is your complete solution to finding great acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources