Meatballs are coming to town: IKEA buys Topshop’s former Oxford Circus flagship store
November 8, 2021
3 min read
What's going on here?
The Swedish chain IKEA has bought and moved into Topshop’s former Oxford Street flagship store, signalling a big shift for retail.
What does this mean?
In an unprecedented move which restores faith in the UK’s dying high street, IKEA is set to pay £378m for the property at 214 Oxford Street. Arcadia, Topshop’s parent company, is being represented by law firm Freshfields Bruckhaus Deringer, and Reed Smith is acting for Ingka, IKEA’s largest owner. This move is a result of the vacuum left by the collapse of Sir Philip Green’s retail empire and IKEA’s shift in strategy towards a blend of inner and outer city stores. The Oxford Street store will follow IKEA’s smaller store format which is set to have a click-and-collect and click-and-deliver function, planning studios, and a selection of its home furnishing accessories.
IKEA has already opened inner city stores in Tokyo, Moscow, Madrid, New York and Paris. Krister Mattsson, the managing director of Ingka Investment, said that “this is a very good fit into our strategy” as it brings “IKEA closer to customers”. Although IKEA has had a dramatic surge in online sales post-COVID, it insists that it wants to stick with its brick and mortar roots. Consequently, the furniture giant will depart from the increasing trend to turn to e-commerce and focus more on accessibility, experience and opportunities for its customers.
What's the big picture effect?
Report written by Sofia Antipatis
Share this now!
Check out our recent reports!