Closing down sale launched at Dorothy Perkins and Burton
PUBLISHED: 14:58 02 January 2020 | UPDATED: 16:51 02 January 2020
Prices have been slashed at Dorothy Perkins and Burton in the Sailmakers in Ipswich ahead of the store closure.
The shop, which houses the men's chain on the ground floor and the women's fashion brand on the first floor, will close its doors for the final time later this month, with shoe chain Deichmann due to move in to the vacated unit.
Repairs and improvements are planned ahead of the opening of the German-based footware chain, including replacing escalators with a lift.
The move comes after Ipswich Borough Assets (IBA), a company owned by the borough council, triggered a break clause in parent company Arcadia's lease.
IBA chairman Colin Kreidewolf said the change was a "no-brainer" for the company because Arcadia, which owns the Burton and Dorothy Perkins brands, had secured a substantial rent reduction last year when it entered a Company Voluntary Arrangement (CVA) with creditors.
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Mr Kreidewolf said: "As part of the CVA there was a break clause inserted into the tenancy agreement at the same time as a substantial rent reduction and we have now decided to activate that.
"Deichmann were looking for a substantial shop in the town centre and we have agreed a long lease with them for a commercial rent which we are not getting from Arcadia after the CVA."
The CVA for Sir Philip Green's Arcadia group, which also includes Topshop, Top Man, Miss Selfridge and Wallis, is expected to result in the closure of a significant number of stores across the UK and there have been suggestions that Dorothy Perkins could share space in Topshop's existing store in Sailmakers.
Mr Kreidewolf said: "Given the rent reduction, the doubts over the future of Arcadia group stores and the fact that Deichmann are prepared to offer a market rent for a long lease, it was something of a no-brainer for us."
Although Burton and Dorothy Perkins are leaving the town, the brands will still be stocked at Debenhams in Tavern Street.
The opening of the new Deichmann shop bucks the trend of UK high street retailers that are in decline, with the likes of Bonmarche expected to close a number of stores and Mothercare already in the midst of a closing down sale.