Boohoo Group is considering selling its Soho office, acquired for £72m in 2021. Discussions with potential buyers indicate a sale and leaseback arrangement is possible. The building accommodates around 400-500 employees. Debenhams has recently opened a showroom there. Boohoo is addressing refinancing opportunities.
Boohoo Group is reportedly evaluating the sale of its office situated at 10 Great Pulteney Street, Soho, a property it purchased for £72 million in 2021. The firm has commenced discussions with possible buyers, and a sale and leaseback agreement is under consideration, aligning with the company’s intent to continue operations from the premises.
The Soho office spans 43,963 square feet and provides workspace for approximately 400 to 500 employees. These include staff from brands such as Karen Millen, Coast, Oasis, Debenhams, Dorothy Perkins, Burton, and Wallis, all of which Boohoo Group integrated between 2019 and 2021.
Debenhams, in September 2023, launched a beauty showroom on the ground floor of the Soho site, further enhancing its retail space. Furthermore, a new group showroom measuring 6,000 square feet is anticipated to open shortly, replacing the previous 3,500 square-foot showroom at 6-10 Great Portland Street.
Though initially housing around 600 employees when it opened in April 2021, the Soho office saw a reduction in workforce in January 2023. The company consolidated several of its brands under the Debenhams umbrella, leading to a redundancy consultation for 100 London staff.
To support its financial strategies, Boohoo’s lenders have consulted FTI advisors to explore refinancing possibilities. Currently, Boohoo Group holds a £325 million unsecured revolving credit facility, with £75 million due next year and £250 million in 2026 as stated in its recent annual report.
The potential sale of Boohoo Group’s Soho office is part of its strategic financial considerations amidst ongoing business operations.
