Gap to downsize in UK

Gap is considering downsizing its store portfolio in Britain as part of a comprehensive review of its UK retail presence. The US retailer has appointed property agent Churston Heard to look at its 171-strong UK chain. It is understood that the group has already held discussions with several landlords about store closures. A source close to the company said: "They are looking to get rid of underperforming units and shift away from secondary retail sites. "Since 2002 rents have gone up from £20 per square foot to around £40 per square foot.

Gap is saying it cannot make it pay at that level." Both Gap and Churston Heard declined to expand on the details of the property review. But a Gap spokeswoman said: "We do, as every business does, review our property portfolio on an ongoing basis. However the business is committed to Europe which we feel will be the growth engine of the business."