Frasers Group in talks to buy two shopping centres
Mike Ashley’s Frasers Group is planning to buy two shopping centres in deals worth £100 million.
According to The Times, the group is in the final stages of negotiations to acquire The Mall in Luton and the Overgate Centre in Dundee.
The deals would value the centres at £70 million and £30 million respectively.
While The Times has reported that Ashley was haggling over the price, it said there was no certainty that a deal would be done. If the deals do come off, it will be the first time that Frasers Group has taken control of a shopping centre. The publication has also reported that the group is planning to carve up a former Debenhams unit for occupation by its brands, although there is already a Sports Direct store at the centre.
The Mall in Luton is being sold by lender Wells Fargo, which has in effect taken control of the centre from the previous owner. Meanwhile Dundee’s Overgate Centre is owned by Legal & General, who bought the centre from Landsec nine years ago for the much bigger sum of £125 million.
Frasers Group’s biggest brands include Sports Direct, House of Fraser, Game, Jack Wills, USC, Flannels, Sofa.com and 18 Montrose.
