Rioja Estates has announced that 30% of the space at Grantham Designer Outlet Village is now committed, with 22% currently in legals. This places the premium East Midlands outlet centre, which will feature a mix of premium, high street and independent brands, in a great position ahead of the planned start on site in the first quarter of 2023.
Rioja says the leasing is well ahead of the industry average and peer benchmarking for outlets at this stage of development, signalling continued confidence in the UK outlet sector despite wider retail market woes and recent economic downturn.
As a result of the significantly advanced leasing, Rioja Estates has now agreed principal terms with a funding partner as well as awarded a building contract for the main building works. This follows on from groundworks which commenced in 2021 and included infrastructure works to the nearby A1/A42 Grantham relief road. This work is projected to unlock a further nine million passengers per annum thanks to a recently constructed junction – with a total of 27.4 million vehicles now having direct access to the outlet from the A1, the UK’s third busiest road. This complements the rail connections that the scheme benefits from, with London just an hour away with trains every 30 minutes, as well as a high-quality bus shuttle service between the train station, town centre and outlet village, providing easy access for both Grantham residents and those visiting from farther afield. In total, 3.5 million visitors are expected annually.
Giles Membrey, managing director of Rioja Estates, commented: “We are delighted to have seen such strong interest in the scheme this early on in the development, not least given the global turbulence over the last three years. The well-progressed leasing means that we go into the next stage of development with great confidence, knowing that we are bringing to the region an unrivalled, aspirational brand mix that both locals and visitors from afar will know and love.”The 270,000sq ft development will feature up to 90 stores, restaurants and coffee shops in Phase One, with an additional 50 added in Phase Two.
The customer experience will be enhanced by a full omnichannel offering as Grantham Designer Outlet Village will be the first outlet in the UK to offer a transactional website, enabling visitors to shop online as well as browse available products before travelling.
Rioja Estates is developing the scheme in partnership with family-owned and Grantham-based property investor Buckminster, which has a centuries-old relationship with the town and a vested interest in ensuring the town centre thrives as a landlord of many of the high street businesses. The scheme is expected to bring over £100m in direct investment to the region and create around 1,500 permanent jobs when it opens, bringing tremendous opportunities for local residents and businesses.
