Shopping Centre
Highland in the Lowlands
The opening of the third UK's third Xscape in Braehead marks a turning point for the business
Published:  11 April, 2006
Page 3 

Braehead now has its very own indoor real-snow ski slope - Xscape, which opened last week. The 380,000 sq ft structure, complete with 40,622 sq ft of retail and 72,236 sq ft of food and drink, is the third of its kind in the UK and all of them are owned by X-Leisure, fronted by its charismatic Anglophile French chief executive PY Gerbau.

PY, as he prefers to be known, says that that the latest Xscape to hit the market uses lessons learnt in the construction and running of the Milton Keynes and Castleford locations: "We've learned a hell of a lot from Milton Keynes and Castleford and they have given us a convertible concept. The way we've organised the concept gives us a blueprint for the next two Xscapes at least."

Certainly, on the basis of Xscape Braehead's lettings, X-Leisure seem to be getting things right: "We're 92 per cent pre-let which is kind of a first in the leisure sector. Letting the Glasgow Xscape is the easiest part because there is a credible history for anybody who has a relationship with us and Glasgow is a sexy location," says PY.

Glasgow is now the recipient of a retail and leisure format that has proved successful. Last year, Xscape in Milton Keynes attracted 6m visitors, making it one of the country's top attractions and taking advantage of a four per cent upswing in leisure spending over the period.

So in a country that seems to be slowly, but surely, witnessing the gradual disappearance of its Highland winter snowfields, X-Leisure's Braehead move looks a shrewd investment; one that seems likely to garner a healthy return for its backers.

But what's next? PY says that in the UK there is room for six or seven Xscapes and currently X-Leisure is looking at other sites including London and Bristol. "Can we have one or two (Xscapes) around London, because of the demand?" asks PY, mentioning Thurrock in the same breath. He continues: "Do we go into Manchester or will that totally cannibalise Castleford?" He says that the hunt for a suitable site around Bristol has proved fruitless to date, but the search goes on.

Worth bearing in mind that choosing the right location is not something that can be undertaken lightly. These are very large structures and with Braehead having cost £70m, opening in the wrong place could prove disastrous.

For potential tenants there is also the matter of timing. For an Xscape to rise from the ground, a developer or scheme-owner has to make a commitment two to three years in advance. A deal of confidence is required therefore and as PY notes: "Making a decision like this is tough."

And that is just the beginning. Braehead has opened on time, but PY comments: "I'm not a great fan of the construction industry. They tend to miss dates and deadlines."

That said, he appears bullish and is on a high following Braehead. There is also the matter of foreign forays. Xscapes beyond the UK are not ruled out, but PY says that for the moment the focus will be on the UK.

On this reckoning and given the magnitude and timescale of each Xscape, it appears that PY will be busy working in his adopted country for some time to come.



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