£30m deal looks set to safeguard Braehead
The future of intu Braehead appears to be secure after a £30million deal was signed.
Creditors for intu SGS, the holding company set up to manage four intu shopping centres, including Braehead, after the company went into liquidation in June, have agreed to the proposals which are designed to give the centres greater financial stability.
Under the agreement, the shopping centres will have access to a £30million fund as well as other previously withheld cash to keep operating.
The good news was bolstered by the company reporting that footfall at intu Braehead has almost returned to pre-pandemic levels and it is performing better than the other three centres in the group – Lakeside, Watford and Victoria Centre.
A spokesman for intu SGS said: “The positive vote underlines the significant support we have from our creditors. The proposals that we have agreed provide us with the stable financial platform to move forward as we continue to recover from the impact of Covid-19.
“Creditors have also agreed to inject up to £ 30 million of new money if required, in a further statement of support.
“Intu continues to manage these four centres which continue their return to business as usual with 92 per cent occupancy and over 90 per cent of units now open and trading.
“Footfall continues to increase across all four centres with the stand- out performer being intu Braehead, which has almost returned to pre-pandemic levels, highlighting the continued attractiveness of these destination assets to visitors.”
Parent company intu went into administration in June, sparking fears for the future of the shopping centre and for the jobs of the hundreds of staff who work there.
Braehead stayed open during lockdown giving shoppers access to pharmacies and food stores. It opened more widely once restrictions eased last month.
Although Intu continues to manage the centres, Intu SGS is seeking to take full control with a full transition expected later this year.
Global Mutual will act as asset manager of the four shopping centres and Savills as property manager once the transition is complete.