Billionaire Mike Ashley’s retail conglomerate has acquired two discount shopping villages as part of its expanding property portfolio. Frasers Group revealed the purchase of the York Designer Outlet and the East Midlands Designer Outlet, popular destinations collectively drawing nearly 7.8 million visitors annually.
Although the transaction’s exact value remains undisclosed, estimates suggest it could be close to £400 million. Frasers Group, primarily recognized for its ownership of various retail chains like Sports Direct and House of Fraser, has been steadily increasing its presence in the shopping center market nationwide.
Michael Murray, Mr. Ashley’s son-in-law and the CEO of Frasers Group, expressed the company’s ambition to further expand its share in the UK outlet market, now owning more than one-fifth of it. This recent acquisition follows Frasers’ purchase of the Swindon Designer Outlet last year, a popular shopping hub with over 100 stores and three million annual visitors.
In addition to these recent purchases, Frasers Group has also invested in properties such as the Braehead Shopping Centre in Scotland and several other shopping centers across the UK. The company’s annual report emphasizes the importance of property investments in enhancing its retail operations and contributing to the revitalization of high streets and retail hubs.
The York Designer Outlet, spanning 250,000 square feet and hosting 120 retailers, including renowned brands like Marks & Spencer and Adidas, attracts approximately 4.3 million visitors yearly. On the other hand, the East Midlands Designer Outlet, covering 170,000 square feet and featuring over 65 designer brands, welcomes around 3.5 million visitors annually.
Mr. Murray highlighted the strategic significance of these acquisitions in aligning with global brands and promoting mutual growth through outlet strategies. Mike Ashley, the outspoken founder of Frasers Group, established his first store over three decades ago with a modest loan, transforming it into a retail powerhouse with a substantial market value, numerous stores, a vast workforce, and an international presence.
