News

Freeport eyes Europe

News

Estates Gazette

27 June 1998

by Mark Simmons

Freeport Leisure, the fast-growing factory outlet specialist, is considering plans to expand outside the UK.

Chief executive Sean Collidge said that the company, which is in the middle of a £100m UK development programme, may roll out discount shopping villages in continental Europe and southern Ireland.

Privately-owned rival BAA McArthur Glen has already got two factory outlet villages – one in France and the other in Austria – on site and is planning others in several European countries, including Germany and Italy.

Collidge said: “We don’t subscribe to the notion that markets like France, Germany, Italy and Austria just require one centre. When we go into Europe we will build a series of villages called Freeport right the way through the country,” he said.

Collidge said that Freeport has yet to identify specific sites in Europe and refused to be drawn on the scale of any development outside the UK. But he hinted that France is a likely destination.

“France is very convenient – it’s the obvious choice. You’ve got to find where the concept sits most comfortably,” he said. Collidge also admitted that the Republic of Ireland is on Freeport’s agenda.

“We’ve been close to having a development in Ireland twice, but we haven’t managed to pull one off yet,” said Collidge.

Ireland’s first factory outlet centre, being developed by Green Property, is due to open in 1999.

Freeport, which joined the stock market in 1994, is already close to achieving its initial target of 10 centres in the UK. Three schemes – at Wakefield, Braintree in Essex and Newcastle-under-Lyme – totalling 65,030m² (700,000 sq ft) are under way, and are set to bring the total number of villages to six by the end of next year.

Freeport raised £63m by issuing shares in April to help fund the developments.

Collidge hopes to build up to four more UK sites within the next five years.

But expansion outside the UK may not be as easy. Chris Dubois, retail director at Healey & Baker’s Paris office, warned that foreign players would struggle to establish a foothold in France.

“The political impetus is for planners to say no to such development, so it will not be very easy for international players,” he commented.

by Mark Simmons Freeport Leisure, the fast-growing factory outlet specialist, is considering plans to expand outside the UK. Chief executive Sean Collidge said that the company, which is in the middle of a £100m UK development programme, may roll out discount shopping villages in continental Europe and southern Ireland. Privately-owned rival BAA McArthur Glen has already got two factory outlet villages – one in France and the other in Austria – on site and is planning others in several European countries, including Germany and Italy. Collidge said: “We don’t subscribe to the notion that markets like France, Germany, Italy and Austria just require one centre. When we go into Europe we will build a series of villages called Freeport right the way through the country,” he said. Collidge said that Freeport has yet to identify specific sites in Europe and refused to be drawn on the scale of any development outside the UK. But he hinted that France is a likely destination. “France is very convenient – it’s the obvious choice. You’ve got to find where the concept sits most comfortably,” he said. Collidge also admitted that the Republic of Ireland is on Freeport’s agenda. “We’ve been close to having a development in Ireland twice, but we haven’t managed to pull one off yet,” said Collidge. Ireland’s first factory outlet centre, being developed by Green Property, is due to open in 1999. Freeport, which joined the stock market in 1994, is already close to achieving its initial target of 10 centres in the UK. Three schemes – at Wakefield, Braintree in Essex and Newcastle-under-Lyme – totalling 65,030m2 (700,000 sq ft) are under way, and are set to bring the total number of villages to six by the end of next year. Freeport raised £63m by issuing shares in April to help fund the developments. Collidge hopes to build up to four more UK sites within the next five years. But expansion outside the UK may not be as easy. Chris Dubois, retail director at Healey & Baker’s Paris office, warned that foreign players would struggle to establish a foothold in France. “The political impetus is for planners to say no to such development, so it will not be very easy for international players,” he commented.