Luxury British brand and retailer Mulberry has signed leases for a flagship store at 50 New Bond Street and for a new London head office space.
The flagship store is slated to open in December when Mulberry’s existing flagship at 41-42 New Bond Street will close.
The store will have 5,400 sq ft of retail space at ground floor level, which the company said will allow for a more coherent display of its full product range than is possible in the existing split-level New Bond Street site.
The new lease is for 25 years at an initial rent of £1.4m per annum.
The closure of the current store will entail a one-off exceptional impairment charge of £1.1m which will be recorded in the accounts for the year ended March 31 2010.
Mulberry is also finalising a deal for a 36,000 sq ft site in an undisclosed London location for its new office and showroom. Mulberry has been searching for office and showroom premises since June to consolidate its existing two sites into a single location and prepare for future expansion.
A contract is expected to be signed within weeks, after which Mulberry’s existing London office leases in Shepherd’s Bush and New Bond Street will be disposed.
Mulberry said trading was strong and added that its full-year results were expected to be in line with market expectations, excluding the exceptional charge levied for the closure of its flagship.