Last checked at 24 May 2010 07:00
Mulberry Group plc - Property transactions
Mulberry Group plc ("Mulberry" or the "Group"), the luxury British fashion house specialising in the design, manufacture and sale of leather goods and accessories, announces two property transactions.
New Bond Street store
Mulberry has recently signed a lease for a new flagship store at 50 New Bond Street. The store will have 5,400 square foot of retail space at ground floor level which will enable a much stronger and more coherent presentation of the entire Mulberry product range than is currently possible in the existing split level New Bond Street premises. The lease is for 25 years at an initial rental of £1.4m per annum.
The new store is planned to open during December 2010, at which time the existing store at 41/42 New Bond Street will close. The closure of the old store will give rise to a one-off exceptional impairment charge of £1.1m which will be recorded in the accounts for the year ended 31st March 2010.
New London head office and showroom
As indicated within the announcement dated 18th June 2009, Mulberry has been searching for new office and showroom premises in London to consolidate its existing facilities into a single location and cater for future expansion. Terms are being agreed for a 36,000 square foot space that will accommodate all London based departments and showrooms. It is expected that contracts will be exchanged within the next few weeks. The Shepherd's Bush and New Bond Street office leases will be disposed of in due course.
Trading continues to be strong and, before the exceptional charge explained above, results for the year to 31st March 2010 will be in line with market expectations.
These property transactions reflect the continued process of investing the significant profit and cash being generated by the Group in creating a platform for future growth.
Enquiries:
| Pelham Bell Pottinger | Tel: +44 (0) 20 7861 3874 |
| Kate Catchpole / Lucy Frankland |
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| Altium Capital | Tel: +44 (0) 20 7484 4040 |
| Ben Thorne / Melanie Szalkiewicz |