British Land - New Stadium

[A Century United]

Are British Land a good commercial landlord?

British Land own the freehold of the Basildon DIY Homebase store.

Homebase have announced that its store will close on the 3rd Dec 2016 with the loss of 48 jobs after failing to agree a new lease with British Land.

It is rumoured that British Land wanted to increase the annual rent from 900k to 1.6m a year.

I would be sceptical of that story - in the current climate, a landlord would be mad (or wanting to drive a tenant out) if they tried to massively increase a rent. It's just as likely that Homebase wanted to pay less, and British Land wouldn't drop as much as Homebase needed to stay viable.

 

[mattitouk]

I agree, reports say that Sainsbury's need to plug a £175 million pound pension gap, due to losses.

Nearly doubling the rent on that site makes no financial sense at all. Neither to the landlord or to the customers.

Especially when footfall and profits are falling, I would imagine, they wouldn't go to Thurrock Lakeside, but expand their Dartford store away from Dartford (closer to Bluewater), or Rayleigh (doubt it) or Basildon etc.

In other words, the loss of a local Homebase, wouldn't change anything....It's a non-story. Overall profits, means expansion, and so on & so on...etc.

 

[rigsby]

When it comes to property deals we know full well you can't believe a thing Sainsbury's say.

No commercial Landlord can put their rent up 80% in the current climate and BL have a different side to this story.

 

[OldBlueLady]

I would be sceptical of that story - in the current climate, a landlord would be mad (or wanting to drive a tenant out) if they tried to massively increase a rent. It's just as likely that Homebase wanted to pay less, and British Land wouldn't drop as much as Homebase needed to stay viable.

I have heard that there is some truth in this story from people having worked there for years. Of course, there may also be some mileage in the idea that Homebase want to pay less because they're in a bit of bother themselves.

 

[ESG]

I agree, reports say that Sainsbury's need to plug a £175 million pound pension gap, due to losses.

Nearly doubling the rent on that site makes no financial sense at all. Neither to the landlord or to the customers.

Especially when footfall and profits are falling, I would imagine, they wouldn't go to Thurrock Lakeside, but expand their Dartford store away from Dartford (closer to Bluewater), or Rayleigh (doubt it) or Basildon etc.

In other words, the loss of a local Homebase, wouldn't change anything....It's a non-story. Overall profits, means expansion, and so on & so on...etc.

Didn't think Sainsburys were anything to do with Homebase:unsure:

 

[Firestorm]

Didn't think Sainsburys were anything to do with Homebase:unsure:

Sold earlier this year http://www.bbc.co.uk/news/business-35340384

 

[Kevin Hogg]

This sounds extremely positive or the company line. Either way it is as good as the guy could of said.
However, the Brexit result was June 24th 2016. There was absolutely ZERO suggestion that it was "all systems go" on June 23rd.

 

[Napster]

No commercial Landlord can put their rent up 80% in the current climate.

Of course they can if they think the tenant will pay it or someone else will. Happening a lot in my town right now thanks the spiv Phil Edmonds.

 

[* ORM *]

All this talk of a new stadium. First I've heard of it. Details anyone? :dim:

 

[Ricey]

This tweet just goes to show how long we've been trying to get away from Roots Hall.

 

[Razam]

This tweet just goes to show how long we've been trying to get away from Roots Hall.

that's quite a unique stadium design - but is that a running track around the pitch?

 

[Up the Shrimpers]

that's quite a unique stadium design - but is that a running track around the pitch?

Yeah it was a running track. Glad that one never got built, not that any plans since then have been near getting built either!
Its been over a year since the exhibition thing and all that's happened is a couple of scoping plans. Still no news regarding a real planning application.
I know it's a bit unfair to ask for monthly updates from RM, but surely a yearly update is not too much to have?

 

[Jai]

I believe it was a greyhound racing track. There's every chance that had that first plan come to fruition, we'd be looking to move again anyway a la Scunthorpe.

 

[rigsby]

Where was the 1986 stadium going to be built ?

 

[Jai]

Where was the 1986 stadium going to be built ?

Sutton Road, so pretty close to where the plans are for now I believe. Not sure if it is exactly the same place.

 

[Rob1920]

Bit ominous that there doesn't seem to be any mention or mock-up pictures of the new stadium anywhere around the ground where there used to be. God knows why. We could so do with an update from Ron, good or bad.

 

[OldBlueLady]

Bit ominous that there doesn't seem to be any mention or mock-up pictures of the new stadium anywhere around the ground where there used to be. God knows why. We could so do with an update from Ron, good or bad.

Still one in main reception I think?

 

[Rob1920]

Still one in main reception I think?

We were in a box Tuesday night & must admit I couldn't see anything in the main reception regarding the new stadium which was partly what made me think it was a bit strange. Its gone from being everywhere, to nowhere.

 

[Up the Shrimpers]

Bit ominous that there doesn't seem to be any mention or mock-up pictures of the new stadium anywhere around the ground where there used to be. God knows why. We could so do with an update from Ron, good or bad.

Still one in main reception I think?

We were in a box Tuesday night & must admit I couldn't see anything in the main reception regarding the new stadium which was partly what made me think it was a bit strange. Its gone from being everywhere, to nowhere.

The scoping plans have changed quite a bit even since the exhibition thing. I think Ron has realised there is not much point doing mock-ups if it's not going to get built.
Nothing from Ron about the new ground for over a year now.

 

[Razam]

Out of curiosity, what's been the longest spell between official FF related statements/announcements, since say 2008?