The main event: Quintain’s shopping strategy at Wembley

The Quintain-owned London Designer Outlet at Wembley Park has established itself as one of the UK’s most successful outlets shopping centres in the past decade, attracting millions of visitors every year. The 265,000 sq ft outlet centre, managed by Multi-Realm, sits within Wembley Park and next to Wembley Stadium, the OVO Arena Wembley and the Troubadour Wembley Park Theatre – and reaps the benefits of these venues hosting some of the biggest sporting, music and entertainment events. Estates Gazette sat down with Matt Slade, retail director at Quintain, for an exclusive interview on the interplay between events, retail leasing strategy and tenant mix at LDO. “The retail has come after many of the venues,” Slade said. “But it’s such an important footfall driver for the estate that it has a big influence on the mix.” Changed dynamic In 2024, LDO’s footfall saw a 2% uptick, thanks to Wembley Park’s jam-packed events diary, with the centre welcoming more than 5.4m visitors. “On event days, we see the biggest rise in weekly sales for the catering side of the business,” Slade said. “But for our traditional retailers, the footfall is a great way of introducing a diverse audience to the global and national brands at LDO.” That said, Slade stressed that Wembley Park’s retail appeal has evolved well beyond just event-driven traffic. “If you go back to around 2014 or 2015, the footfall driven by events was greater than those who came just to shop. But that dynamic has changed – more people visit Wembley Park to shop, work and live than to attend events.” This shift has been important in creating a more stable and sustainable retail environment at the centre. While event-driven traffic makes up about 25% of total visits, it keeps LDO firmly in the spotlight for retailers scouting prime locations, Slade explained. “Each new tenant we bring in is stronger than the last, and we’re seeing a gradual premiumisation of the brands here,” Slade said When discussing evolving tenant demand, Slade said that the leasing strategy at LDO has adapted over the years to meet the evolving needs of consumers and occupiers. The centre originally opened in 2013 with a focus on fashion and apparel. While this still remains a key part of the outlet, there has been a noticeable shift towards F&B, experiential retail and leisure over the years. Slade highlighted a post-pandemic surge in demand from F&B operators, which has grown by 30-40% in recent years. “Brands have become much more discerning about what works and what doesn’t,” he said. “They now understand that a mix of non-event and event-day footfall creates a model that ensures profitability and sustainability. That’s why we’ve seen more F&B interest than ever before.” This trend extends not just to LDO, but Wembley Park as a whole. The arrival of Boxpark, Bubble Planet and new theatre productions such as Starlight Express has reinforced the estate’s identity as a leisure and entertainment hub. “The catering and leisure mix is now greater than pre-pandemic and greater than our original strategy anticipated,” Slade said. “We’ve had to pivot and adapt dynamically based on what both occupiers and consumers want.” Retailers at LDO are also revamping their store formats to align with changing consumer needs. Many brands are prioritising a mix of sit-down and takeaway spaces, reflecting the shift towards omnichannel retailing. LDO currently houses more than 70 brands. Last year alone, the centre signed 11 new leases and relocations, covering 15,759 sq ft, with more lettings in the pipeline for this year. Location superpower LDO has a big advantage in location. Wembley Stadium hosts an array of big events scheduled on more than 70% of the days in a year, and LDO benefits from an almost constant influx of potential customers. “We have Oasis doing seven nights, Coldplay doing 10 nights, plus performances from Dua Lipa, along with football, rugby and American football,” Slade said. “It’s shaping up to be the best year yet for Wembley Stadium.” “What our retailers love is that this location is our superpower,” he added. “We have globally iconic venues, a diverse and affluent customer base and exceptional transport links. There are very few places in the world that can replicate this mix.” To make the most of this rare advantage, LDO’s leasing strategy includes flexible lease structures that accommodate fluctuations in footfall. Unlike traditional high street leases, which often involve fixed rents, LDO operates on a turnover-based rent model. This means tenants pay a lower base rent but contribute a percentage of their sales, aligning their costs with their actual performance. “The lease structures at LDO are particularly attractive to tenants,” Slade said. This approach has proven successful for LDO in maintaining high occupancy levels. Currently, it boasts an occupancy rate of around 95%, with spaces under offer pushing it closer to 98%. “Maintaining a small degree of vacant space is strategic, allowing for flexibility in asset management and ensuring we can continually refine our retail mix,” Slade said. Even in challenging times, the centre has continued to secure new brands and retain existing ones. Another strategy is to include temporary activations, pop-up stores and brand partnerships that enhance the visitor experience while generating more revenue. “We work closely with the FA, Live Nation and other event organisers to ensure that any activations complement rather than compete with the events,” Slade said. “For example, today Mini is a major sponsor of the England match, and we’ve worked with the FA to dress the entire estate in line with its sponsorship package.” This approach means visitors should get a great experience while maximising opportunities for brands. Short-term occupiers also benefit from the ability to test their concepts in a high-footfall location without committing to a long-term lease. Flexible masterplan Slade predicts that tenant demand at LDO will continue to evolve, driven by wider shifts in consumer behaviour. “We’re seeing a shift towards experience-led retail,” he said. “Gen Z and Gen Alpha behave differently from Millennials, and there’s an increasing focus on health, wellness and beauty.” As a result, LDO is attracting interest from brands in these categories, as well as sportswear brands eager to leverage Wembley’s association with athletics and performance. Over the past two decades, Wembley Park has undergone a dramatic transformation. With some £2.5bn invested in its regeneration, the area has evolved into a vibrant, mixed-use development that blends retail, residential, office and leisure spaces. Earlier this year, Quintain secured a £233.6m loan from Bank of America for the refinancing of LDO and the Ferrum build-to-rent development. While Quintain has no plans for further expansion at LDO, given its physical constraints, its leasing strategy remains agile. “The masterplan is constrained in terms of expansion, but what makes the outlet centre work is its flexibility,” Slade said. “The ability to introduce new brands and keep the mix fresh is what keeps the customer experience engaging.” Image © Chris Winter/LDO