17 hours ago
Selfridges to open private members' club in battle to revive fortunes
Selfridges has unveiled plans to open its first-ever private members' club as it races to revive its fortunes.
The luxury retailer is planning to turn the fourth floor of its flagship department store on Oxford Street into an invitation-only club called 40 Duke.
The club, which will open next spring, will include a bar, a private dining room and a terrace.
Bosses are hopeful that the venture will restore profits at the struggling retailer, which posted losses of £41.9m for the year ending February 2024. Revenues also fell 1pc to £834.9m.
It comes after a change in ownership at Selfridges, as Saudi Arabia's Public Investment Fund last year bought out a stake previously owned by Austrian property tycoon Rene Benko.
Thailand's Central Group, a retail conglomerate controlled by the billionaire Chirathivat family, remains its largest shareholder with a 60pc stake.
As for the club itself, it is expected to replace office space currently used by Selfridges staff and executive directors, including meeting rooms and boardrooms.
The plans will be voted on by Westminster City Council next week.
Luxury slump
Selfridges is seeking alternative sources of revenue as it battles a sluggish luxury market.
Global economic uncertainty has dented consumer confidence, with half of shoppers intending to spend less on luxury goods in the year ahead, according to recent findings from Internet Retailing.
Property consultants from Montagu Evans, which is advising Selfridges on the proposal, said in a recent report: 'Selfridges must continuously carry out refurbishment and improvement to sustain its prominence within what is a fast-paced and demanding industry.
'The proposal will allow Selfridges to continue to thrive and succeed along a world-renowned shopping destination that is Oxford Street, supporting the international shopping centre and the vibrancy of London's West End.'
Despite its prime location, the club will have to contend with a range of similar outlets across London, including the Nexus in South Kensington, Aethos in Shoreditch and Lighthouse Social in Fulham.
A Selfridges spokesman said: 'We're always exploring new ways to evolve our offer and elevate our customers' experience with us. As usual, we've big and exciting plans for the rest of this year and beyond, and we look forward to sharing more when we can.'
They added that its most recent trading performance was affected by higher finance costs caused by recent changes in accounting standards.
