C&R relets former BHS units

Capital & Regional has exchanged two long-term leases for its former BHS units at The Mall Blackburn and The Mall Walthamstow. New occupiers Wilko and the Gym Group have taken the former BHS space on a significant increase on the passing rent. At The Mall Blackburn, Wilko has signed a 10-year lease to take the entire 25,000 sq ft ground floor space formerly occupied by BHS. It will be the retailer’s first store in Blackburn. The new Wilko store is expected to open in the first half of 2017 following a refurbishment. At The Mall Walthamstow, the Gym Group has taken a 20-year lease on the 15,000 sq ft first-floor space in the former BHS unit. The opening of the 24-hour gym, which is scheduled for mid-year 2017, forms part of the strategy to introduce a broader mix of tenants and uses at Walthamstow, where the C&R is advancing plans for an 86,000 sq ft retail and leisure extension. C&R is also in advanced legals with a major food retailer to take 18,000 sq ft of the remaining 25,000 sq ft ground floor space at the unit, with strong interest from a number of occupiers for the final 7,000 sq ft. The firm expects to increase the rental income from that paid by BHS through the combined lettings. There has also been good progress at Maidstone and Redditch in negotiations with major national retailers to take single occupation of the former BHS units at each of those respective schemes. James Ryman, investment director at Capital & Regional, said: “These lettings show the rapid progress we are making in re-letting the BHS space, growing income while further improving our tenant mix and leisure offer.” • To send feedback, e-mail amber.rolt@estatesgazette.com or tweet @amberrolt or @estatesgazette