The sale and leaseback plan for THG’s headquarters and business park near Manchester Airport has recently collapsed. Matthew Moulding, the founder and chief executive of THG, had initially aimed to sell the Icon Business Park to property investor ICG Real Estate for £200 million. Unfortunately, negotiations between the two parties fell through without reaching an agreement on the sale price.

The Icon Business Park has served as THG’s headquarters since its establishment two years ago and is currently owned by Moulding Capital, the CEO’s investment company. Earlier this summer, news of the potential sale and leaseback emerged, with a reported value of £250 million. Warrington borough council had even granted permission for ICG Real Estate to assume a £128 million loan that was secured against the Icon Business Park.

Unfortunately, due to ongoing pressures on commercial property prices, THG and ICG Real Estate were unable to come to terms on the sale price. Both THG and Moulding Capital have chosen not to provide comments regarding this matter, as did ICG Real Estate. This failed sale follows the cancellation of a £70 million loan earlier this year, which was intended to finance THG’s new headquarters at Manchester Airport.

Despite these setbacks, construction work for THG’s office space at Manchester Airport has not yet commenced. The office was planned to span over 300,000 square feet and accommodate more than 10,000 employees. As THG searches for alternative solutions, the future of its headquarters remains uncertain.

Useful links:

1. THG Official Website
2. Manchester Airport Official Website