Trafford Centre threatened with closure; could the Metrolink line be a white elephant?

[Djgr]

Intu were in the middle of a multi-million pound revamp of the Broadmarsh Centre in Nottingham. All work has now been stopped and last week the contractors removed the scaffolding from the site. Looks like Nottingham could be stuck with an abandoned ruin for some considerable time.

Believe me, as you walk down from Nottingham Station towards the city centre, it looks absolutely horrendous. I think they'll need to put some sort of cladding up to hide the view of the wreckage!

I think it was Bradford that had the hole in the ground post-credit crunch for best part of decade.

 

[dk1]

Trafford Centre will just continue as now with somebody else in chargecehen the administrators are finished. Nothing to worry about here I'd say.

 

[Bantamzen]

I think it was Bradford that had the hole in the ground post-credit crunch for best part of decade.

Yes it was, from 2004 until 2012/3 (IIRC) when building of what is now The Broadway re-started. It totally wrecked the local economy and it still hasn't fully recovered to this day.

 

[pdeaves]

Yes it was, from 2004 until 2012/3 (IIRC) when building of what is now The Broadway re-started. It totally wrecked the local economy and it still hasn't fully recovered to this day.

For my own interest, do you mean the 'hole' wrecked the economy or the Broadway wrecked it?

 

[Bantamzen]

For my own interest, do you mean the 'hole' wrecked the economy or the Broadway wrecked it?

The hole did, once the centre was back up and running the economy slowly started to recover.

 

[PTR 444]

News just in

Shopping centre giant Intu on brink of administration

Intu, the owner of the Trafford, Braehead and Lakeside centres, fails to reach a deal with lenders.

www.bbc.co.uk

Shopping centre giant Intu on brink of administration

The owner of some of the UK's biggest shopping centres, Intu, has warned that it is likely to call in administrators.
The firm, which owns Manchester's Trafford Centre and the Lakeside complex in Essex, said it had not reached an agreement in financial restructuring talks with its lenders.
Intu warned earlier this week that its troubles could see entire sites shut.
The company is the UK's biggest shopping centre group, with 17 centres in the UK and three in Spain.
Intu has already lined up administrators KPMG as a "contingency" in case financial restructuring talks with lenders fail.
About 132,000 jobs in the company and in its wider supply chain will be in question should the firm fall into administration.
The company had been struggling before the coronavirus outbreak to fill outlets in some of its centres, and had debts of about £4.5bn.
Intu's centres were partially shut during the coronavirus lockdown, with only essential shops remaining open.
In an update to investors on Friday, Intu said it had failed to reach agreement in discussions with lenders on so-called "standstill" terms, under which it would look to defer interest payments on its large and complex debts.
It was also seeking agreements from its wide range of creditors, from big banks to hedge funds, for them not to take action if it breached certain terms on its loans.

 

[westv]

News just in

Shopping centre giant Intu on brink of administration

Intu, the owner of the Trafford, Braehead and Lakeside centres, fails to reach a deal with lenders.

www.bbc.co.uk

Isn't that what this thread is about anyway?

 

[Starmill]

The talks with lenders have apparently not produced a result, so Intu are now in administration. It's implied they will continue to trade under the administration of KPMG.

 

[BJames]

Intu were in the middle of a multi-million pound revamp of the Broadmarsh Centre in Nottingham. All work has now been stopped and last week the contractors removed the scaffolding from the site. Looks like Nottingham could be stuck with an abandoned ruin for some considerable time.

Believe me, as you walk down from Nottingham Station towards the city centre, it looks absolutely horrendous. I think they'll need to put some sort of cladding up to hide the view of the wreckage!

Got to agree. Must be awful for first time visitors, it looks horrific at the moment. They might not continue with the shopping centre renovation unless whoever takes over intu sees proper money in it. Both of Nottingham's shopping centres are intu run but the Victoria Centre looks much better, nice and bright.

In terms of the Trafford Centre though, intu's thing of "our malls might have to close" is unlikely but even if they did close it wouldn't be for long-term at all. Someone else will just come and take over.

 

[MikeWM]

Got to agree. Must be awful for first time visitors, it looks horrific at the moment.

I was staying in Nottingham the night of March 22nd, the day before the lockdown was announced. It was most odd, almost everything was closed by then, the city was deserted and yes, there was also this massive building site adding to the post-apocalyptic feel. A very eerie experience, interesting but hopefully never to be repeated!

 

[matt_world2004]

It was reported that each Intu shopping centre is owned by different companies anyway . With the intu company itself responsible for administration and management

Edit the Trafford centre is one of the few 100% owned by intu shopping centres

 

[tspaul26]

They'd probably have to close for a period of time while new leases are negotiated with the new owner. This happened at the Preston Guild Hall, for one example.

Not necessarily. If the centre is held by a corporate subsidiary then a share purchase would do it.

Alternatively, disposition of the reversionary interest and novation of the various management and operational contracts.

Depending on how the Intu debt is structured the first option is likely to be transactionally easier - less paperwork!

 

[C J Snarzell]

The Trafford Centre is regarded as the Jewel in the Crown for Northern shopping and it more or less took off right from when it opened in 1998.

Coming from the North myself I have seen many other shopping complexes fail miserably over the years. The K Village outlet in Kendal has now gone, the Lowry Designer outlet in Salford didn't take off when it opened (is this place still going?) and Cheshire Oaks in Ellesmere Port had a steady steam of customer but not in the same league as the TC. The Designer Outlets were at one time aimed at selling discounted 'out of season' clothing lines, although I believe Cheshire Oaks has moved away from this now.

The Trafford Centre hit the right audience - the expensive boutique's and pricey designer shops were ideal for the affluent 'WAG' people who live in suburbs of Altrincham and North Cheshire (Wilmslow & Alderley Edge). But I also believe that less big earners are always attracted to the Trafford Centre for the experience. It is still a good place for a walk around, a coffee & a snack without actually melting the credit card!

I have a feeling the Trafford Centre's fate is in safe hands. I'm sure worst case scenario - Andy Burnham would step in and potentially put the whole TC site under public funding to protect investments and jobs in the area.

CJ

 

[Ianno87]

Coming from the North myself I have seen many other shopping complex's fail miserably over the years. The K Village outlet in Kendal has now gone, the Lowry Designer outlet in Salford didn't take off when it opened (is this place still going?)

It seems to have lifted off more with the BBC/ITV moving next door, and seems to have moved to more with a line of nice eateries, cafes etc. outside.

 

[nlogax]

I should know that - I was there!

Same! Well..Withington, not the centre of town. But I certainly heard it and then saw the smoke.

 

[Vespa]

The Designer Outlets were at one time aimed at selling discounted 'out of season' clothing lines, although I believe Cheshire Oaks has moved away from this now.

Cheshire Oaks is still selling end of season clothes and shoes alongside new in date fashion items, I regularly go there the buy Sketchers as its cheaper than city centres.
Discounted end of line is still part of the business model and it's main draw bringing in customers, it's still very busy.

I'm guessing you haven't been for a very long time, I've been going regularly over the years, it's expanded and second floor car park been added over outdoor ground floor parking, the colosseum behind it is just as busy too, there is restaurants and cafes to add to the experience.

 

[Belperpete]

I also believe that less big earners are always attracted to the Trafford Centre for the experience. It is still a good place for a walk around, a coffee & a snack without actually melting the credit card!

Is it just me who is amazed that people go to shopping centres for "the experience"? In my opinion, it is about the most depressing experience you can get. The kind of anodine soul-less eateries that you get in these places just leaves me cold.

 

[westv]

Is it just me who is amazed that people go to shopping centres for "the experience"? In my opinion, it is about the most depressing experience you can get. The kind of anodine soul-less eateries that you get in these places just leaves me cold.

No, not just you.
I remember about 6 years ago travelling to Manchester airport on a sunny and warm bank holiday weekend the "wrong" way round the M60 and the queues around the exit for the Trafford centre were long.

 

[Bletchleyite]

Is it just me who is amazed that people go to shopping centres for "the experience"? In my opinion, it is about the most depressing experience you can get. The kind of anodine soul-less eateries that you get in these places just leaves me cold.

The most noticeable thing I found about the Trafford Centre when I first went there was that it stank of a swimming pool because of the chlorine in all the water features.

 

[al78]

Is it just me who is amazed that people go to shopping centres for "the experience"? In my opinion, it is about the most depressing experience you can get. The kind of anodine soul-less eateries that you get in these places just leaves me cold.

I don't find shopping centres that bad, sometimes I find it pleasant to walk around and browse in a few stores. The experience goes downhill when it turns into the south of England and becomes rammed full, and it is almost impossible to move anywhere without 25 people dawdling in front of you.

 

[Jamesrob637]

The most noticeable thing I found about the Trafford Centre when I first went there was that it stank of a swimming pool because of the chlorine in all the water features.

It still does nowadays but to a much lesser extent. The tram isn't viable for me as the 25 bus runs right to my door whereas the tram involves a mile's walk plus a change in Cornbrook.

 

[Jamesrob637]

I don't find shopping centres that bad, sometimes I find it pleasant to walk around and browse in a few stores. The experience goes downhill when it turns into the south of England and becomes rammed full, and it is almost impossible to move anywhere without 25 people dawdling in front of you.

The Trafford Centre is bigger and busier than any shopping mall in the south with the exception of the one just east of London - Bluewater I think it's called? Never been there myself (the one near London - I've been to the TC countless times!)

 

[Puffing Devil]

The most noticeable thing I found about the Trafford Centre when I first went there was that it stank of a swimming pool because of the chlorine in all the water features.

The American shopping mall fragrance!

 

[Ianno87]

The most noticeable thing I found about the Trafford Centre when I first went there was that it stank of a swimming pool because of the chlorine in all the water features.

I do always enjoy the sound of running water near them; particularly the one by the ground floor cafe outside Debenhams (I agree on the smell!)

I don't find shopping centres that bad, sometimes I find it pleasant to walk around and browse in a few stores. The experience goes downhill when it turns into the south of England and becomes rammed full, and it is almost impossible to move anywhere without 25 people dawdling in front of you.

People seem to forget the Trafford Centre is open until 2200 (except the shops on Sundays, obviously). By *far* the best time to enjoy it is to turn up around 1700-1800 (As most people are leaving or have left), have some dinner, and do your shopping in much, much quieter malls.

 

[Trackman]

Is it just me who is amazed that people go to shopping centres for "the experience"? In my opinion, it is about the most depressing experience you can get. The kind of anodine soul-less eateries that you get in these places just leaves me cold.

Same here, just the thought of it.
I know someone who went on a date and she picked him and took him to the 'Traff', not for the bars or cinema just the shops.
He wasn't amused.

 

[Bletchleyite]

It does rather seem that shopping and shopping centres are rather Marmite - you love them or you hate them, almost nobody is indifferent to them.

 

[Jamesrob637]

It does rather seem that shopping and shopping centres are rather Marmite - you love them or you hate them, almost nobody is indifferent to them.

I must be in the unique middle category then. The Trafford Centre pre-COVID-19 was rather pleasant on a quiet weekday evening in February. But on a Saturday in November or December it's hell on earth from minutes after opening time right through to closing time.

 

[WestCoast]

It does rather seem that shopping and shopping centres are rather Marmite - you love them or you hate them, almost nobody is indifferent to them.

I wouldn't say I love shopping for clothes etc but I do like 'interesting' modern buildings and find the Trafford Centre quite possibly the most bizarrely themed place I've ever been. All the replica 'classical opulence' just seems rather out of place in an industrial part of Manchester, it's certainly unique to say nothing else.

 

[Bletchleyite]

I wouldn't say I love shopping for clothes etc but I do like 'interesting' modern buildings and find the Trafford Centre quite possibly the most bizarrely themed place I've ever been. All the replica 'classical opulence' just seems rather out of place in an industrial part of Manchester, it's certainly unique to say nothing else.

I think it's very American - it's exactly the sort of thing the US would do to a "mall".

 

[WestCoast]

I think it's very American - it's exactly the sort of thing the US would do to a "mall".

I think you're right, parts of it would also probably not look out of place in Las Vegas.....