The iconic House of Fraser store on Manchester’s Deansgate is set to close next January, Mike Ashley’s Sports Direct Group has announced after it failed to agree new rental terms with its landlord.
Ashley took over the ailing brand in August in a deal reportedly worth £90m, many stores across the UK were earmarked for closure, but the fate of the flagship Deansgate building which was expected to stay open has come as a shock.
The store opened later than usual this morning after staff were informed of the closure.
It is thought up to 160 jobs could be under threat following the decision.The store is set to close on the 28th January.
In a statement the Company said:
“We have suggested various options to the landlord that would have enabled us to save the store in Manchester Sadly, these have been declined. We are now in consultation with staff about the fact that the store faces closure in the New Year.”
Sir Richard Leese, the leader of Manchester city council, described Kendals as a “Manchester institution” with the art deco building a “treasure of our city’s architecture”. “The city council will do everything it can to get this decision reversed and support those working at the store who will be shocked at today’s news,” he said.