Debenhams returns to 1.8m sq ft Burnley campus
After a brief foray to Sheffield, the retailer has agreed to move its fulfilment operations back to its Heasandford Industrial Estate home, which it had put on the market in August.
Debenhams Group will restart warehouse activity at the 1.8m sq ft campus off Widow Hill Road early next year, bringing 1,200 jobs back to Burnley in the process.
The 16-acre site comprises of six total units ranging from 269,900 sq ft to 989,000 sq ft. According to Debenhams’ latest results, the site was valued at £26m. It had been marketed by DTRE, prior to Debenhams’ change of heart.
GXO Logistics has been lined up to assist with moving the company’s operations from Sheffield to Burnley, and will also operate the Burnley site.
The news follows the September sale of Debenhams’ Sheffield fulfilment centre to Primark for £90m.
Dan Finley, chief executive of Debenhams Group, said the brand was delighted to return to Burnley.
“Burnley has played an important role in the group’s history for over a decade, which was a primary distribution location for over a decade,” Finley said.
“We’re excited to be combining our years of experience operating in the town with GXO’s fulfilment expertise, to support the next phase of the group’s growth.”
Burnley Council chief executive Lukman Patel described the group’s return as “fantastic news” and “a significant opportunity” to bolster the borough’s economy.
“The return of Debenhams Group presents benefits beyond the jobs at the facility itself,” he said.
“It brings opportunities for local people, supports our business community and has the potential to generate wider economic activity across the town. By working together, we want to ensure that these opportunities translate into lasting benefits for Burnley and its residents.”
Debenhams Group was formerly known as Boohoo Group. The firm reported a £28.3m profit before tax for the six months ending 31 August. This was a £46.2m improvement from the same period the year before. The company’s stock was up .39% on Monday morning.
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