Jump to content
DOSBODS
  • Welcome to DOSBODS

     

    DOSBODS is free of any advertising.

    Ads are annoying, and - increasingly - advertising companies limit free speech online. DOSBODS Forums are completely free to use. Please create a free account to be able to access all the features of the DOSBODS community. It only takes 20 seconds!

     

Bad news for high St retailers continues-getting grim out there.


sancho panza

Recommended Posts

As above.Quite who's going to occupy these shops in ten years,I don't know.

https://www.retailgazette.co.uk/blog/2018/11/mothercares-uk-sales-crash-restructure-yet-bear-fruit/

'Mothercare’s revenues have crashed by over 13 per cent in the last six months as its restructuring programme is yet to revive fortunes.

In the six months to October 6, the embattled maternity retailer saw total group revenues, including international sales, drop 13.1 per cent to £295 million.

It was a similar story on home turf, with Mothercare’s total UK sales dropping 14.3 per cent to £196.2 million, while like-for-like sales dropped 11 per cent.

This was split between a 13.8 per cent drop in UK retail store sales, and a 7.8 per cent drop in online sales.

Pre-tax losses narrowed slightly from £16.8 million to £14.4 million.'

https://www.retailgazette.co.uk/blog/2018/11/majestic-wine-swings-200000-loss/

'Majestic Wine’s profits have dive-bombed in its first half, swinging to a loss after a promising year.

The wine retailer posted a £200,000 loss in the six months to October 1, following a £3.1 million profit in the prior year.'

https://www.retailgazette.co.uk/blog/2018/11/moodys-downgrades-new-look-less-year-last-downgrade/

Influential credit ratings agency Moody’s has downgraded New Look’s corporate family rating and probability of default rating, almost one year after the retailer was last downgraded.

Moody’s said the latest downgrade was because of concerns about New Look’s ability to generate enough cash to continue trading.

It added that current debt levels were unsustainable, and that there was not enough internal cash flow generation to meet debts nor capital expenditure requirements.

The news comes less than a month after the fashion retailer unveiled a return to profitability in its first half, and while revenues and like-for-likes continued to dip, they were an improvement on the steep decline seen in previous trading updates.

New Look is also in the middle of carrying out its CVA scheme, which has so far seen the retailer exit the Chinese market completely as well as deliver cost savings of £70 million, with a further £8 million earmarked.'

 

 

Link to comment
Share on other sites

  • Replies 119
  • Created
  • Last Reply

only so much pointless stuff people can buy, then you add in these new build house sizes for DEBTslaves, less room for garbage in every corner of every room in every slavebox

 

cram a load of scumbags into an HMO? that's even less stuff they need

 

then you've got the no pets no pictures no blacks no irish no children leave it as you found it rules the scumbag DEBTjunkies like to employ on "their" tenants = less stuff

 

 

 

 

 

 

 

Link to comment
Share on other sites

Democorruptcy
7 minutes ago, zugzwang said:

The subStandard is bigging up this year's Black Friday sales as a salvation for harried retailers.

The day after Britons give thanks to Almighty God for the harvest, in case you'd forgotten.

https://www.standard.co.uk/business/russell-lynch-shoppers-in-shape-for-christmas-spree-a3997176.html

I knew it was only a matter of time, welcome to the dark side.

Link to comment
Share on other sites

4 hours ago, Democorruptcy said:

They will be turned into pod houses and let to people who get basic income tokens to spend on soylent green.

If it's anything like where I live they will become charity shops, although looking at what they are now trying to charge for their donations (£40 for a pair of secondhand shoes for example), it won't be long before they go the same way as Mothercare...I know their CEO`s have to have their high expense accounts (fine dining, 1st class travel, prostitutes etc) but that's ridiculous! :-)

Link to comment
Share on other sites

I wonder how long we have to wait until town centre commercial properties fall in value enough to become viable shop premises again? The has to be level at which they're worth buying as owner / occupier shop units I'd have thought.  Or will developers take them over and either hold them off the market as charity shops, or convert them into flats?

As a microcosm of the problem, the premises for the chandlery I worked at before it closed last year have been turned into a "common room" for the marina due to their lack of flexibility on the rent. The cost of the conversion must have been going on a couple of year's rent, and now generates no income for the marina or the council in business rates.. plus my job disappeared.

Any value the common room adds in terms of better facilities is negated by the fact the marina residents now have nowhere to buy their coal, gas, boat consumables and other gubbins. The marina manager's job is now marginally easier though. One wonders whether the council leaders think town centres would be nicer places and their jobs would be easier without all those shoppers cluttering up the place.

Link to comment
Share on other sites

2 hours ago, MvR said:

I wonder how long we have to wait until town centre commercial properties fall in value enough to become viable shop premises again? The has to be level at which they're worth buying as owner / occupier shop units I'd have thought.  Or will developers take them over and either hold them off the market as charity shops, or convert them into flats?

As a microcosm of the problem, the premises for the chandlery I worked at before it closed last year have been turned into a "common room" for the marina due to their lack of flexibility on the rent. The cost of the conversion must have been going on a couple of year's rent, and now generates no income for the marina or the council in business rates.. plus my job disappeared.

Any value the common room adds in terms of better facilities is negated by the fact the marina residents now have nowhere to buy their coal, gas, boat consumables and other gubbins. The marina manager's job is now marginally easier though. One wonders whether the council leaders think town centres would be nicer places and their jobs would be easier without all those shoppers cluttering up the place.

I think that's the key issue.What follows on from that is how much of the losses that are coming can the banking sector take?

I wonder how many small local EA's will be able to keep paying their £10k p.a when lettings fees get bumped?

Link to comment
Share on other sites

Democorruptcy
3 hours ago, MvR said:

I wonder how long we have to wait until town centre commercial properties fall in value enough to become viable shop premises again? The has to be level at which they're worth buying as owner / occupier shop units I'd have thought.  Or will developers take them over and either hold them off the market as charity shops, or convert them into flats?

As a microcosm of the problem, the premises for the chandlery I worked at before it closed last year have been turned into a "common room" for the marina due to their lack of flexibility on the rent. The cost of the conversion must have been going on a couple of year's rent, and now generates no income for the marina or the council in business rates.. plus my job disappeared.

Any value the common room adds in terms of better facilities is negated by the fact the marina residents now have nowhere to buy their coal, gas, boat consumables and other gubbins. The marina manager's job is now marginally easier though. One wonders whether the council leaders think town centres would be nicer places and their jobs would be easier without all those shoppers cluttering up the place.

Council busy buying shopping centres around here £20m for the most recent one:

https://www.placenorthwest.co.uk/news/cwac-takes-charge-with-winsford-retail-buy/

 

Link to comment
Share on other sites

There have been several controversial council "redevelopments" in Northumberland in the last couple of years.

Council paid £78m in 2016 for a complex of shops at Cramlington https://www.chroniclelive.co.uk/business/business-news/manor-walks-shopping-centre-set-11633850

Related news "But Coun Daley claims they were given less than an hour to consider the plans before being asked to make a decision." https://www.chroniclelive.co.uk/news/north-east-news/northumberland-council-chiefs-criticised-splashing-11641418 

The same council committed to £38m plans to demolish the existing council HQ to build an out of town shopping center (including a school with no parking - parents were to share a carpark on the new site with a pub/McD !), and build new HQ at nearby Ashington. Presentations by the council insisted the new out of town shops wouldn't take business from the existing high street - unbelievable. Police were on standby *inside* the council offices when the final vote took place "as a precaution". Building work was started then plans were shelved at unknown cost.  https://www.chroniclelive.co.uk/news/north-east-news/plans-unveiled-200-new-homes-12086636

Meanwhile, shops at Cramlington and Morpeth (including some trading for 100+ years) are closing and standing empty, business rates are being reported as the main reason for closure. The number of charity shops seems to be increasing.

 

 

 

Link to comment
Share on other sites

10 hours ago, sancho panza said:

I think that's the key issue.What follows on from that is how much of the losses that are coming can the banking sector take?

I wonder how many small local EA's will be able to keep paying their £10k p.a when lettings fees get bumped?

Life insurance company.

8 hours ago, Andersen said:

There have been several controversial council "redevelopments" in Northumberland in the last couple of years.

Council paid £78m in 2016 for a complex of shops at Cramlington https://www.chroniclelive.co.uk/business/business-news/manor-walks-shopping-centre-set-11633850

Related news "But Coun Daley claims they were given less than an hour to consider the plans before being asked to make a decision." https://www.chroniclelive.co.uk/news/north-east-news/northumberland-council-chiefs-criticised-splashing-11641418 

The same council committed to £38m plans to demolish the existing council HQ to build an out of town shopping center (including a school with no parking - parents were to share a carpark on the new site with a pub/McD !), and build new HQ at nearby Ashington. Presentations by the council insisted the new out of town shops wouldn't take business from the existing high street - unbelievable. Police were on standby *inside* the council offices when the final vote took place "as a precaution". Building work was started then plans were shelved at unknown cost.  https://www.chroniclelive.co.uk/news/north-east-news/plans-unveiled-200-new-homes-12086636

Meanwhile, shops at Cramlington and Morpeth (including some trading for 100+ years) are closing and standing empty, business rates are being reported as the main reason for closure. The number of charity shops seems to be increasing.

 

 

 

All the more reasons why Councillors should only be investing Council officers pension funds.

Link to comment
Share on other sites

8 hours ago, Andersen said:

There have been several controversial council "redevelopments" in Northumberland in the last couple of years.

Council paid £78m in 2016 for a complex of shops at Cramlington https://www.chroniclelive.co.uk/business/business-news/manor-walks-shopping-centre-set-11633850

Related news "But Coun Daley claims they were given less than an hour to consider the plans before being asked to make a decision." https://www.chroniclelive.co.uk/news/north-east-news/northumberland-council-chiefs-criticised-splashing-11641418 

The same council committed to £38m plans to demolish the existing council HQ to build an out of town shopping center (including a school with no parking - parents were to share a carpark on the new site with a pub/McD !), and build new HQ at nearby Ashington. Presentations by the council insisted the new out of town shops wouldn't take business from the existing high street - unbelievable. Police were on standby *inside* the council offices when the final vote took place "as a precaution". Building work was started then plans were shelved at unknown cost.  https://www.chroniclelive.co.uk/news/north-east-news/plans-unveiled-200-new-homes-12086636

Meanwhile, shops at Cramlington and Morpeth (including some trading for 100+ years) are closing and standing empty, business rates are being reported as the main reason for closure. The number of charity shops seems to be increasing.

The funny thing is, the council holds a rod of authority in such matters; if the retail park is worth £80m then they can easily go round and 'insist' on £10m+ worth of developments/improvements being done.  That way they'd get the redevelopment for free.  So this clearly isn't simply a way to redevelop -- it is just the council playing property developer, and is a consequence of the 'property can't lose' mentality that government policy has driven into everyone over the last 25 years.  IMO it'll take 25 years to drive it out of people, but that's a different story.

Link to comment
Share on other sites

Bricks & Mortar
19 hours ago, MvR said:

I wonder how long we have to wait until town centre commercial properties fall in value enough to become viable shop premises again? The has to be level at which they're worth buying as owner / occupier shop units I'd have thought.  Or will developers take them over and either hold them off the market as charity shops, or convert them into flats?

There doesn't really have to be.  And I suspect there isn't, for many.
It's not just the property you need to get cheap to compete with a tax-dodging, web-based outfit, employing underpaid illegal labour in their sweatshop warehouse.  Flats, I suspect.

Link to comment
Share on other sites

I'll be sad if NEWLOOK fold and take their website with them,  it's a good place to get cheap simple clothes. Next nowadays is so bloody expensive, there won't be many places left. 

Link to comment
Share on other sites

On 23/11/2018 at 01:05, Andersen said:

There have been several controversial council "redevelopments" in Northumberland in the last couple of years.

Council paid £78m in 2016 for a complex of shops at Cramlington https://www.chroniclelive.co.uk/business/business-news/manor-walks-shopping-centre-set-11633850

Related news "But Coun Daley claims they were given less than an hour to consider the plans before being asked to make a decision." https://www.chroniclelive.co.uk/news/north-east-news/northumberland-council-chiefs-criticised-splashing-11641418 

The same council committed to £38m plans to demolish the existing council HQ to build an out of town shopping center (including a school with no parking - parents were to share a carpark on the new site with a pub/McD !), and build new HQ at nearby Ashington. Presentations by the council insisted the new out of town shops wouldn't take business from the existing high street - unbelievable. iPlod were on standby *inside* the council offices when the final vote took place "as a precaution". Building work was started then plans were shelved at unknown cost.  https://www.chroniclelive.co.uk/news/north-east-news/plans-unveiled-200-new-homes-12086636

Meanwhile, shops at Cramlington and Morpeth (including some trading for 100+ years) are closing and standing empty, business rates are being reported as the main reason for closure. The number of charity shops seems to be increasing.

 

 

 

🙈 £58 million in cuts to public services so let’s spend £78 million on a shopping centre when retailers are in major financial difficulty and house/retail unit prices look like they are peaking.. 

who runs these councils Stevie Wonder? 😎

My guess like everything there will be many brown envelopes floating about, let’s not pretend it’s anything other than total corruption!

 

Welsh government sold land cheap.. 

Site at Lisvane, Cardiff, was sold £1.8m..!

value for housing was at least £39m..!  But it’s okay they said sorry.. 😡 prison would be a better apology.. 

its not possible to “accidentally” sell £39 million land for £1.8m.. 

https://www.bbc.co.uk/news/uk-wales-politics-35399951

 

 

Link to comment
Share on other sites

26 minutes ago, macca said:

🙈 £58 million in cuts to public services so let’s spend £78 million on a shopping centre when retailers are in major financial difficulty and house/retail unit prices look like they are peaking.. 

who runs these councils Stevie Wonder? 😎

My guess like everything there will be many brown envelopes floating about, let’s not pretend it’s anything other than total corruption!

 

Welsh government sold land cheap.. 

Site at Lisvane, Cardiff, was sold £1.8m..!

value for housing was at least £39m..!  But it’s okay they said sorry.. 😡 prison would be a better apology.. 

its not possible to “accidentally” sell £39 million land for £1.8m.. 

https://www.bbc.co.uk/news/uk-wales-politics-35399951

 

 

You refuse to pay taxes you ( eventually) go to prison, you knowingly misuse them and partake in fraud you don't...seems a little imbalanced there!...wonder if the tax man would accept a heartfelt apology?

Link to comment
Share on other sites

On 22/11/2018 at 16:47, Democorruptcy said:

I knew it was only a matter of time, welcome to the dark side.

Thanks, dc. Spent all year arguing with myself on TOS. D'oh!

Link to comment
Share on other sites

TheCountOfNowhere
3 hours ago, zugzwang said:

Thanks, dc. Spent all year arguing with myself on TOS. D'oh!

I see the trolls are trolling themselves over there now. I like to poke they with a stick bow and again.

Its lovely and peaceful here but we've had a couple of attacks which were promptly smacked down.

Welcome aboard.

Link to comment
Share on other sites

On 23/11/2018 at 09:26, spygirl said:

Life insurance company.

All the more reasons why Councillors should only be investing Council officers pension funds.

I’ve been a little slow but what seems to be happening is both sides (landlord and tenant) have worked out that certain commercial property looks ‘doomed’. On the landlord side think Next plc, and Mike Ashley they will be gunning for cheap rents (even free take it or i’ll Leave). On the commercial property side they’ll be thinking - how do we get the f out ? (Think Intu - 2nd attempt after Hamerson fell to bits , turn in to flats whatever ). 

Councils and some pension funds (could be council too) will provide a way out though I would expect investment advisors will be covering themselves! (Though I see even the BoE mentioned commercial property on the Brexit impact ).What’s worse is they might be speculative investments financed through borrowing. Then it’s probably interpretation of the accounting rules - my gut says this will go big time tits up! 

Edit- i’ve Not even considered interest rate rises!

Link to comment
Share on other sites

I found the below interesting. The video game retailer GAME now has an average lease length of less than a year. Can’t be good for landlords.

During the efforts to negotiate better leases, GAME has found itself with 25 stores on zero rent and 99 stores on flexible rent. It has negotiated a 42% saving on rents during the last financial year. The average lease length break is less than a year for GAME now, which Gibbs claims, "differentiates us from, I think, any other retailer out there."

It has also led to the closure of 29 GAME stores. It's expected that more closures will follow, although that's not the firm's objective. 

"We have such flexible arrangements now, we are literally reviewing these stores every two months," Gibbs explains. "We have 99 stores that are on a three month rolling, so we can always make sure that we have the appropriate deal in the appropriate location to profitably trade. I don't want to put a number out there that we have to hit. We will trade until Christmas and that will tell us a lot again. But the flexibility means that we don't want to be closing stores. And we don't think that with the right negotiations and the right deals from our landlord, that we should be closing that many stores.

https://www.gamesindustry.biz/articles/2018-11-09-game-with-so-many-games-clustered-together-there-was-going-to-be-winners-and-losers

Link to comment
Share on other sites

Unsure.

LL owned commercial property, of the larger size, is a pretty recent invention.

Go back 30+ and most large retailers owned the real estate.

The whole you do the retail let someone else own the property has been shown to be useless - first sign of trouble then the retailer goes under.

Any retail entrepreneur - if theres such a thing - is not interested in bricksnmortar - head you lose,  tails they win setup.

Somewgere in the last 30 years commercial property became highly fiancialised, so they built way too much.

Which would be. Its made worse as the itnernet retailers have just destroyed 70% of the demand.

Its fucked basically.

 

 

 

6 minutes ago, Castlevania said:

I found the below interesting. The video game retailer GAME now has an average lease length of less than a year. Can’t be good for landlords.

 

 

Why have a long lease?

SHove all the stock in some boxes, hire a mover, off we go.

It does not take a lot to ship a shop out - just need power sockets fro the tills, some display space and storage.

 

Link to comment
Share on other sites

On 26/11/2018 at 22:55, TheCountOfNowhere said:

I see the trolls are trolling themselves over there now. I like to poke they with a stick bow and again.

Its lovely and peaceful here but we've had a couple of attacks which were promptly smacked down.

Welcome aboard.

This timei agreewith you, ive been reading the thread on that site about Carneys claims of brexit causing a HPC, and half the comments are that it will be a tragedy if it happens.

Link to comment
Share on other sites

 

'We're in the early stages of a retail property crash'

 

"Everyone likes to blame Brexit but Intu's issues run deeper. The growth in e-commerce means that shoppers are spending less in shops. With sales down, rents are no longer affordable for retailers," Kotak told ITV News.

"Nobody wants to catch a falling knife."

 

https://www.itv.com/news/2018-11-29/were-in-the-early-stages-of-a-retail-property-crash/

Link to comment
Share on other sites

Archived

This topic is now archived and is closed to further replies.

  • Recently Browsing   0 members

    No registered users viewing this page.


×
×
  • Create New...