BHS units remain vacant

2.5 million square feet of ex-BHS units are still vacant

Three years after BHS went into administration, 53 stores, totalling approximately 2.5m sq ft remain empty, representing almost a third of the chain’s original portfolio, according to  the latest data published by the Retail team of global real estate advisor Colliers International.

The firm predicted that a major restructuring and repositioning of UK retail space is on the way, adding their belief that a third of the still-vacant units will cease to have a retail-related purpose in future.

Dan Simms, Co-Head of Retail at Colliers International, said: “It may be controversial, but we need to be realistic – this is not sustainable, for landlords and local communities alike. Space that has been empty for a period of time that is this prolonged will never, in all likelihood, have a retail use again.

“Taking this into consideration and looking hard at the current state of the UK’s retail landscape, we believe that this trend will continue. The dilemma is how to reverse its crippling effects and ensure this space doesn’t stay vacant. The ‘obsolete core’ must be tackled.

“What’s encouraging is that the retail property market is already well underway in its response to this and there are repurposing projects taking place across the UK to help reduce, convert and, in some cases, remove this empty space entirely.”