Mike Ashley’s retail empire, Frasers Group, has acquired a major shopping centre in Lancaster.
St Nicholas Arcade has been snapped up by the Derbyshire-headquartered listed giant in a move which it has described as “further strengthening the group’s commitment to physical retail in the UK”.
Frasers Group added that the 160,000 sq ft shopping centre is a “key retail destination in the historic heart of Lancaster and home to major UK high street tenants”.
The giant added that St Nicholas Arcade has an annual football of almost 4m visitors and that the deal “reinforces Frasers’ focus on expanding the group’s real estate portfolio in the UK and provide excellent retail and leisure destinations across the country”.
Frasers Group eyeing ‘long-term value
Michael Murray, CEO of Frasers Group, said: “At Frasers, we have always been strong believers in physical retail, and this acquisition demonstrates our ongoing commitment to supporting brick-and-mortar in the UK.
“By acquiring key retail sites, we are able to unlock new growth opportunities and revitalise high streets across the country, delivering unparalleled shopping experiences for consumers.
“This acquisition is also another step in developing our property segment, which is set to deliver significant long-term value for the group.”
Frasers Group was advised by James Keany, executive director, head of national agency at CBRE.
The deal comes after Frasers Group continued its acquisition spree with an investment into the Australian retail and distribution firm Accent.
The retail empire snapped up a 14.65 per cent stake in the company in a move it hopes will further its footprint in Australia and New Zealand – identified as a key market for the group’s expansion ambitions.
As part of the deal Accent said it plans to offer Frasers Group the opportunity to propose a director to join its board.
In its latest financial year, the Australian group achieved £821m in sales across around 900 stores and websites.