Partner Article

40% of ex-Woolworths stores still remain empty

NEW RESEARCH from The Local Data Company shows that 40% of ex-Woolworths stores still remain empty.

Since the last report in July 2009, this has shown a reduction from 60% vacant a year ago.

This equates to over 300 ex-Woolworths stores still remaining unoccupied – a sizeable network for many national retailers. 2.1% of the total (807) are on their second tenant.

The greatest change has been seen in the North East, from 10% occupied to over 55%.

Notwithstanding the Channel Islands (2 units), the highest occupancy can be seen in the Greater London region with 81% occupied, with the next closest being Yorkshire & The Humber on 64%.

The North West went from 38% occupancy in July 2009 to 59% occupancy in July 2010, an increase of 21%. Bill MacLeod, partner and retail specialist at PwC in Newcastlesaid: “After Woolworth’s demise many retail commentators speculated that variety retail was dead - but in fact it is alive and kicking on high streets across the UK.

“As consumers emerge from the recession, they are maintaining their appetite for fixed-price and multi-price value retail, and often in more upmarket areas where you wouldn’t have thought there would typically be demand, such as Gosforth.

“This is a structural, permanent change, which is altering the face of the UK High Street and the shopping repertoire of British consumers.”

The Local Data Company’s research shows that the UK high street is experiencing a gradual recovery, with vacant ex-Woolworths stores being filled gradually.

This is set to continue as landlords realise what their property is actually worth in today’s market and following the abolition of empty property business rates relief.

This was posted in Bdaily's Members' News section by Ruth Mitchell .