Debenhams outlines expansion plans

BRITISH retailing giant Debenhams has an active strategy for expansion in Ireland.

Cities in its sights include Limerick, Galway and Waterford, as well as further Dublin opportunities.

The department store chain currently has a Dublin outlet, stores in Belfast, Derry and will open in Newry this year. It is set to open in Cork in February, 2005, in Mahon Point, according to its property director Jim Murphy.

Several new Debenhams stores are already in train for Northern Ireland, and the company sees scope for up to five or six more centres in the Republic, he said.

Speaking yesterday at a property briefing organised by CB Hamilton Osborne King, Mr Murphy said they decided to locate in Cork after a careful analysis which showed there was a market there they could take a share of, at the proper scale. Although he didn’t specify where the next Irish locations would be, Galway and Limerick are likely to be high on the immediate priority list.

“We may get one or two more stores in Dublin, and possibly another one somewhere in the centre of the country as well,” said Mr Murphy, whose Waterford family roots may also see that city figure on the Debenhams map.

The immediate Irish focus for Debenhams, which has over 100 department stores in Britain, Ireland and the Continent, “will be to go to new markets in the country,” according to Mr Murphy.

This comment would appear to rule out a Debenhams interest in either of the two major retail sites coming up for development in Cork city centre: Cornmarket Street where planning permission is sought for 100,000sq ft of retail space, or on Academy Street/Emmet Place, which could accommodate 120,000sq ft of retail development. possible Limerick site may be the former Royal George Hotel site, sold recently for €14 million, and unofficially so far linked to a deal with Marks and Spencers.

Debenhams would learn from the Irish consumer he said, instancing the success of the Penneys/Primark brands here. He also referred to Ireland’s currency conversion to the euro which may also happen in Britain, and even from things like the success of the plastic bag levy.

“The new Debenhams store at Mahon Point is a milestone in our strategy for growth in Ireland. In every Debenhams store we alter the product mix and space allocation to suit the local market. This will certainly be the case in Cork,” he said.

“Mahon will certainly not damage the future of city centre retailing in Cork,” he said at yesterday’s briefing.