After Oxford Street, House of Fraser’s Telford store saved from closure

After Sports Direct's Mike Ashley saved House of Fraser’s flagship store on Oxford Street, London from closure, media reports said that its second store at Telford Centre in Shropshire would also remain open. Additionally, Drapers has revealed that the company’s dispute with warehouse operator XPO Logistics has been resolved and its two warehouses, in Wellingborough, Northamptonshire, and Milton Keynes, Buckinghamshire will start process orders from today.

Commenting on the decision of securing House of Fraser’s second store from closing, which means saving almost 150 jobs, Retail Gazette report quoted James Keany from CBRE, the real estate services and investment firm which is advising Sports Direct on Houseof Fraser’s property-related matters, saying: "This is another example of what can be achieved when landlords work with us to ensure we deliver on the House of Fraser rescue plan.”

Before the company went into administration, House of Fraser had announced that its company voluntary arrangement (CVA) proposals filed on June 6, 2018 will see closure of 31 of its 59 department stores, including its Oxford Street flagship resulting in about 6,000 job losses. However, immediately after the company filed for administration, Ashley acquired the company with a 90 million pounds rescue deal.

Last week, the company had to cancel all orders and refund the customers after its warehouse operator XPO Logistics stopped processing orders due to a payment dispute, reports BBC.