Bookseller Foyles is writing a fresh chapter in its history with a new flagship in a sign of confidence that the physical book market can thrive in the face of digital publishing.

The world-famous bookseller will tomorrow (Saturday) open a 37,000 sq ft store at 107 Charing Cross Road, located in the iconic former Central Saint Martins building. The shop, which covers eight levels and stocks 200,000 titles, is a relocation from 113-119 Charing Cross Road, where it had traded since 1929.

Foyles chief executive Sam Husain said: “This is a big statement. It’s a sign of confidence in the future of the printed word and has given us the opportunity to think long and hard about what a bookshop in the 21st century should offer.

“Browsing is something that our customers enjoy. Discovering and researching books is more theatrical – it’s not just finding a book online. A haven for books like this is not to be matched.”

Ebooks accounted for 25% of the total books market last year, up from 20% in 2012, but Husain said there is still a place for books and that Foyles will stand out from online rivals in the way it presents product, its back catalogue, initiatives including its staff picks programme and in-store theatre such as its cafe.

The retailer, which was founded by brothers William and Gilbert Foyle in 1903, has also launched Foyles Book Search, which can be accessed through a web page from customers’ smartphones using in-store wi-fi. It allows shoppers to browse stock availability at the store and find books using an interactive map.

The shop features digital screens to provide information and inspiration to shoppers. “We have embraced digital,” said Husain.

The shop includes a click-and-collect point. “Click-and-collect is a growth opportunity,” said Husain. “People can come in and spontaneously buy as well.”

Foyles has retained some of the original flooring from Central Saint Martins. The children’s department is located where the Sex Pistols played their first gig in 1975.

The retailer will host about 65 events at the store as part of its Grand Opening Festival in its first three weeks. The shop will be officially opened by best-selling author Hilary Mantel on June 13.

In pictures: Foyles unveils flagship bookshop 'for 21st century'