Owner of Chapelfield shopping centre warn it could close down ‘for a period’
The owner of Chapelfield shopping centre in Norwich – home to big-name stores including Apple, House of Fraser and Disney – has warned it may have to close if it calls in administrators.
Cash-strapped Intu Properties is locked in crunch talks with lenders and has put insolvency firm KPMG on stand-by.
The firm, which owns several shopping malls across the UK, including the Trafford Centre in Manchester and Lakesdide in Essex, is negotiating details with lenders as it looks to secure vital breathing space ahead of a deadline on Friday.
Intu is hoping to arrange a so-called standstill agreement on terms of up to 18 months but warned that if it cannot reach an agreement and is placed in administration, “there is a risk that centres may have to close for a period.”
Back in March Intu warned it could go bust if it could not raise further funds after £2 billion annual losses. The centre in Norwich recently reopened after being closed for three months.