New Look shuts up at Forestside in CVA move
CLOTHING chain New Look has closed its store in Belfast’s Forestside Shopping Centre with the loss of around 10 jobs as part of its turnaround plan, it has emerged.
The shop is the first of the chain’s 26 units in Northern Ireland to shut as part of a Company Voluntary Arrangement, a form of insolvency.
The company last week said it would close as many as 100 shops around the UK to cut costs and improve profitability.
It’s already expected to vacate its unit at Fountain House in the city centre, with Primark due to take up the space instead following the fire at its flagship store.
Earlier this year the company’s landlords had agreed to a CVA which would enable the struggling chain to stay open by negotiating reduced rents with landlords and shop closures in other cases.
Rent reductions were agreed but it’s understood landlords had been given the option to give New Look notice to leave their units, if they did not want to accept a reduced rent and were confident of attracting a new tenant.
One retail property specialist said the option of giving notice was part of the CVA. “They had the right to put New Look out if they found another occupant on better terms.”
Forestside Shopping Centre was not available for comment last night, while New Look also refused a request to comment.
However, the shop is no longer listed as an occupant on Forestside’s website.
But it’s understood New Look’s remaining shops are still open.
Forestside and Foyleside Shopping Centre in Londonderry are owned by Forestside Acqusitions.
New Look has a store in Londonderry’s Richmond Centre.