LONDON – Real estate giant Grosvenor Britain & Ireland is redefining the landlord relationship, taking a minority stake in one of its longtime fashion tenants, Roland Mouret. An announcement is expected today.
The stake in Mouret’s business marks the first time Grosvenor, one of Britain and Ireland’s largest property owners, with investments in more than 60 cities around the world, has taken a stake in a occupant.
The investment was made through the Grosvenor Tenants’ Investment Fund, which Grosvenor says is a first for a UK real estate company. Terms of the deal were not disclosed.
Established in 2020, the fund enables new and existing occupants of Grosvenor to grow their businesses through a range of partnerships, from equity to debt.
The private family business Grosvenor said the new stake will allow for a “greater partnership” between the companies, which first worked together when Mouret opened its flagship townhouse in Carlos Place, just off Mount Street. , in 2011. The investment will also support avenues for growth such as new categories of businesses, Grosvenor said.
James Raynor, CEO of Grosvenor Britain & Ireland, said Mouret “has been at the forefront of British fashion for over two decades. With an agile omnichannel strategy built from its base in Mayfair, we are excited to join them as an investor as they grow and diversify the business.
Raynor said the Tenant Investment Fund is helping Grosvenor step in and provide “vital growth funding for strong companies with clear diversification strategies.” The company said it approached each investment opportunity “on a case-by-case basis” and did not comment on the business details of its investments.
Raynor added that transactions worth £ 5million are underway for Grosvenor. “We are seeing a huge demand for this innovative support from the brands we already partner with, right down to new retail and hospitality concepts,” he said.
Since the COVID-19 pandemic struck, Grosvenor, who owns much of London’s Mayfair and Belgravia neighborhoods, as well as other parts of central London, has been looking to help retail, hospitality and hospitality. and other businesses that have been forced to shut down due to three nationwide lockdowns here.
Piers Townley, manager of the London Estate for Grosvenor, said in an interview earlier this year, during the lockdown, that “Grosvenor’s main effort has been to ensure that we can help our retailers survive this time”. We have provided concessions and, in some cases, capital to help people survive.
In London’s West End alone, Grosvenor Properties are home to approximately 11,000 residents, 1,000 businesses and 60,000 workers.
In Mayfair and Belgravia, Grosvenor owns approximately 500 food and beverage retailers and operators. About two-thirds of its retailers are independent or small businesses that have been particularly affected by the pandemic.
The Duke of Westminster and the Grosvenor family are one of Britain’s wealthiest and most philanthropic people, with a combined net worth of £ 10.05 billion, according to the latest Sunday Times of London Rich List.
Hugh Grosvenor, the 7th Duke of Westminster, oversees the real estate empire and is also Prince George’s godfather and godmother.
Last October, Grosvenor said it was looking to “invest selectively in tenants to help them revolve their businesses and grow after the pandemic”. At the time, he reportedly took a minority stake in Mouret’s business, but declined to comment at the time.
Mark Langthorne, CEO of Roland Mouret, said the company was “delighted to partner with Grosvenor and build on our excellent relationship. As longtime tenants of Carlos Place, we appreciate their tremendous support to the region during the pandemic and believe that there is a great synergy between our values to help us realize our plans for future growth. “
Grosvenor said his tenant investment fund had previously supported the launch of JKS Restaurants’ latest business, Bibi, on North Audley Street in Mayfair and Atis, a salad bar and bowl concept in Belgravia’s Eccleston Gardens. . Each company has also subscribed to Grosvenor’s “green lease” with the aim of reducing carbon emissions from its premises.
Grosvenor’s investment is the latest trade deal in what has been a turbulent year for Mouret so far.
Last September, Mouret struck a digital retail deal, becoming the first independent British brand to join Amazon Luxury Stores and the second fashion brand in the world to join the new platform after Oscar de la Renta.
At the time, Langthorne said that he and Mouret both believed, “more than ever, that e-commerce is extremely important to the Roland Mouret brand. Amazon offers a unique partnership and business model, backed by cutting-edge technology and mind-blowing logistics. They are also ideally placed to bridge the gap between e-commerce and luxury entertainment. “
There is no doubt that the future for both Mouret and Grosvenor will be a fusion of bricks and clicks.
During the lockdown, when shops were closed, Grosvenor created outdoor ‘cultural trails’, planting a series of works of art in Mayfair and Belgravia. It has also opened a virtual concierge service so that retailers can serve customers at home, and has partnered with the Google NearSt company, which promotes local products to shoppers walking around a particular neighborhood.
She also contracted with new tenants: Dr Barbara Sturm opened a store at 125 Mount Street, and found a new location in Mayfair for Browns, which opened in April at 39 Brook Street in Mayfair, near the ‘Claridge’s hotel.