It has been reported that IKEA has agreed to a £385 million deal to purchase the former Topshop Oxford Circus flagship store, following the collapse of Arcadia Group. According to React News, the new location will give the Swedish furniture chain a presence at the heart of London’s shopping district amid growing demand for its products since the start of the COVID-19 pandemic.

214 Oxford Street had been owned by Arcadia’s property arm Redcastle, which was also placed into administration along with its retail brands at the end of November last year. The site was valued at more than £500 million two years ago. IKEA has also bought the 73,000 sq ft NikeTown and 4,700 sq ft Vans shops, adjacent to the former Topshop flagship. 

An IKEA UK and Ireland spokeswoman said: “We are on a journey to create a new Ikea that is even more affordable, accessible and sustainable. As part of our accessibility plans in the UK and Ireland, we are constantly looking for new ways to better meet our customers’ needs.

“This includes investing in our online offer, rebuilding and adapting existing Ikea stores, and exploring different formats and locations as part of a new city centre approach. We review our expansion strategy on an ongoing basis but have no plans to share at this time.”