Stafford shops closing - Turning into a ghost town?

Trumpet

Well-Known Forumite
Peacocks are playing a game of "chicken" with the landlord. They have put the rent up and Peacocks are refusing to pay - the "Closing Down Sale" is pending landlord negotiations. If the rent is reduced, they will stay - if not, they will go. Simply business decision really.
Dangerous strategy, could come back and bite them on the arse.
 

Really?

Well-Known Forumite
Dangerous strategy, could come back and bite them on the arse.
If it's not viable to stay they will go. They care nothing for the staff or the town, and why should they? It's the public that makes shops viable and if they don't spend enough to pay the bills they will close. You also can't expect a landlord to give the place away for nothing, even though the chances are its a pension portfolio who owns it and has it for the property value not the rental income - they still have bills to cover.

There is also the small matter of the Business Rates which must close to £1k a week. Add that to the rent, the wages and the electric and you have to sell a hell of a lot of cheap clothes to cover your costs, they may well be better off out of the town. Peacocks diehard fans will only need to travel to Rugeley, Uttoxeter or Cannock
 

Gareth

Well-Known Forumite
Dangerous strategy, could come back and bite them on the arse.

Peacocks have been doing this for years and have just done it in Uttoxeter at the Maltings centre (struggling and rundown precinct). Although the landlord says he would like them to stay they are edging towards closure.
 

Tumble weed

Well-Known Forumite
I'd say demolition is very much hearsay, there's been no actual evidence this will happen, and given sports direct is likely to have a long lease, Oxfam has just been refurbished , that support place has literally been there months, and too undertaken money to change the place, and the salvation army has renewed it's lease, I'd say demolition isn't on the cards at all . The only affected units would be Iceland, home bargains, the ex gym and Argos, and even then, I can't see the landlords giving permission to level the lot , I'm pretty sure they're not all a owned by the same landlord anyway.
 

Feed The Goat

Well-Known Forumite
I'd say demolition is very much hearsay, there's been no actual evidence this will happen, and given sports direct is likely to have a long lease, Oxfam has just been refurbished , that support place has literally been there months, and too undertaken money to change the place, and the salvation army has renewed it's lease, I'd say demolition isn't on the cards at all . The only affected units would be Iceland, home bargains, the ex gym and Argos, and even then, I can't see the landlords giving permission to level the lot , I'm pretty sure they're not all a owned by the same landlord anyway.

Iceland have got a long lease until 2026. Oxfam have come to the end of their lease and are on a rolling monthly contract.
 

Len's Lens

Well-Known Forumite
I'd say demolition is very much hearsay, there's been no actual evidence this will happen, and given sports direct is likely to have a long lease, Oxfam has just been refurbished , that support place has literally been there months, and too undertaken money to change the place, and the salvation army has renewed it's lease, I'd say demolition isn't on the cards at all . The only affected units would be Iceland, home bargains, the ex gym and Argos, and even then, I can't see the landlords giving permission to level the lot , I'm pretty sure they're not all a owned by the same landlord anyway.

Will they convert the affected units into appartments? I have always thought that whole building has been a waste ever since it was built, with whole units upstairs never occupied.
 

Gareth

Well-Known Forumite
I'd say demolition is very much hearsay, there's been no actual evidence this will happen, and given sports direct is likely to have a long lease, Oxfam has just been refurbished , that support place has literally been there months, and too undertaken money to change the place, and the salvation army has renewed it's lease, I'd say demolition isn't on the cards at all . The only affected units would be Iceland, home bargains, the ex gym and Argos, and even then, I can't see the landlords giving permission to level the lot , I'm pretty sure they're not all a owned by the same landlord anyway.

Aviva own 70% of the area and the land the units sit on is predominantly council owned.

Whether Oxfam have refurbished or not, the rent that pulls in will pale in significance to a right deal for the area that is hardly bringing in any rent. Besides a termination clause will be covered for such properties and sales will be covered in any legal documentation and lease

SBC want the land for development as that will bring in far more than the dwindling rates the area brings in. Particularly as councils will be more reliant on rates and council tax due to changes on what the council can retain, of course this only go towards the loss of government central funding.

Talks have been ongoing with parties and out of the area purchasers for over a year. A lot of issues to get over but it will happen.

Sports direct and that whole row will not effected.
 

Trumpet

Well-Known Forumite
If it's not viable to stay they will go. They care nothing for the staff or the town, and why should they? It's the public that makes shops viable and if they don't spend enough to pay the bills they will close. You also can't expect a landlord to give the place away for nothing, even though the chances are its a pension portfolio who owns it and has it for the property value not the rental income - they still have bills to cover.

There is also the small matter of the Business Rates which must close to £1k a week. Add that to the rent, the wages and the electric and you have to sell a hell of a lot of cheap clothes to cover your costs, they may well be better off out of the town. Peacocks diehard fans will only need to travel to Rugeley, Uttoxeter or Cannock
I was thinking more short term, if they withhold the rent they could end up with the landlord's enforcement agents visiting thus incurring potentially substantial costs and possibly having the shop emptied.
 

BlueSkies49

Well-Known Forumite

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