An award-winning fashion firm is poised to take over the vacant McEwens building in Perth city centre.
Upmarket retailer Joules, which recently opened its biggest UK store in Edinburgh, is in advanced talks to take over the former department store.
The Courier understands the retailer is working on a plan to use the ground floor for trading, while the upper levels would be converted into flats.
McEwens of Perth went into administration in March after nearly 150 years of trading in the city centre. Bosses said they were left with no option after attempts to offset years of severe losses.
The four-storey property went on the market three weeks ago.
Joules, which was established in late 1980s as a “British lifestyle brand”, is eyeing a move to Perth as part of a major expansion programme.
At the launch of its new store in Edinburgh, retail director Andrea Gray said the company was looking at sites where Joules was “under-represented”.
She said: “Scotland is a key focus for us and features in our growth strategy. We have plans to open 10 to 12 stores across the UK each year, maintaining the pace of last year.
“We are currently looking at other sites in Scotland, including Perth, but nothing has been confirmed yet.”
Administrator KPMG has refused to speak about the sale.
At a meeting of city centre businesses this week, council leader Ian Miller said that agents CBRE Scotland were about to set a closing date for offers. An asking price has not been revealed.
Joules, which is well known for its brightly-coloured continental-styled clothing, has more than 100 shops across the UK including four Scottish outlets at Aberdeen, Edinburgh, Glasgow and St Andrews. As well as clothes, Joules also has a range of homeware products.
The firm, which trades online, made £116.4 million in sales during the year to the end of March and saw a 35.5% rise in profits to £5 million.
When the McEwens store went on the market, nearby retailers said they were worried the entire building could be converted into housing.
There was support locally for department store chain John Lewis to take over the building. The company has since confirmed to The Courier that it has no plans to move into Perth.
The 43,000 sq ft building is being marketed as a “redevelopment opportunity suitable for a range of alternative uses”.
A smaller outlet on South Street and a car park on the Water Vennel are also offered for sale.
In the sales prospectus, it states: “The properties are no longer operational and vacant possession can be provided immediately”.
McEwens of Perth closed its doors in May, with the loss of 100 jobs.
Council leader Ian Miller said last night: “It would be a great boost if this shop could be brought back into use as soon as possible. I was aware that negotiations were under way.”
He added: “As always our city centre team are standing by and ready to offer every assistance they can to the new occupants. I very much hope that we will be able to welcome another new business to Perth city centre prior to the important festive trading season.”
