Billionaire Mike Ashley’s retail empire has acquired two discount shopping villages to expand its growing property portfolio. Frasers Group, known for its ownership of various retailers like Sports Direct and House of Fraser, has purchased the York Designer Outlet and the East Midlands Designer Outlet. These shopping centers collectively draw nearly 7.8 million visitors annually.
While the exact value of the transaction was not disclosed, estimates suggest it could be in the region of £400 million. The move signifies Frasers’ ongoing strategy of diversifying its holdings beyond traditional retail outlets.
Michael Murray, the son-in-law of Mr. Ashley and CEO of Frasers Group, expressed the company’s intention to further increase its presence in the UK outlet market. He stated, “Today, we own over one-fifth of the UK outlet market and have a clear ambition to grow our share further.”
This recent acquisition follows Frasers’ purchase of other prominent shopping centers, including the Swindon Designer Outlet and Braehead Shopping Centre in Scotland. The company’s annual report emphasizes the importance of property investments in enhancing retail operations and revitalizing high streets.
The York Designer Outlet, spanning 250,000 square feet and housing 120 retailers, and the East Midlands Designer Outlet, a 170,000 square foot center with over 65 designer brands, are key assets in Frasers’ expanding property portfolio. Mr. Murray highlighted the strategic significance of these acquisitions in fostering partnerships with global brands and driving mutual growth.
Mike Ashley, the bold entrepreneur and majority owner of Frasers Group, started his retail journey over three decades ago with a modest store in Maidenhead. Today, the company boasts a market value of nearly £3 billion, a vast network of stores, thousands of employees, and a strong international presence.