Facebook has agreed to take on new office space left vacant by troubled department store chain Debenhams.
The retailer is leaving its West End HQ to help pay off its debts.
The tech giant is expanding its presence at Regent’s Place, NW1, by leasing an additional 175,000 sq ft in the building.
The move will take Facebook’s Regent’s Place footprint up to around 290,000 sq ft.
The news comes after Debenhams agreed with British Land to surrender the lease on its London support centre at Regent’s Place.
The lease at Regent’s Place was set to run until 2038. Debenhams will move its offices to the upper floors of its Oxford Street flagship premises.
The Oxford Street store, where the head offices were located until 2013, has a lease that expires in 2039.
Debenhams will continue to trade on a footprint of 185,000 sq ft over five floors.
The move is part of Debenhams’ drive to reduce costs, which is on track to deliver annualised savings of around £80m by the 2020 financial year.
Sergio Bucher, chief executive of Debenhams, said: “This is another step in the delivery of Debenhams Redesigned, as we look to put the business on a firm financial and operational footing. Constructive negotiations with our landlords are a key part of this process.
“Moving back to Oxford Street will deliver a material saving in our annual rent bill and lease commitments. At the same time, our customers will continue to have the best of what we have to offer in a better-curated store still trading over five floors.”
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