Boohoo is mulling the sale of its London office

Sources said the Boohoo Group is in talks with prospective buyers of the 43,963 sq ft office at 10 Great Pulteney Street, Soho, according to Drapers.

It is understood the fashion retailer will be eyeing a sale-and-leaseback deal to keep staff in the office block.

Boohoo first bought the office in London’s West End for £72m in 2021 after its presence grew significantly as a result of acquisitions including Karen Millen, Coast, Oasis, Warehouse and Debenhams.

The five-storey block currently serves as a base for 400 to 500 of Boohoo’s employees across various brands and departments including product, marketing, technology and central support teams.

The building also houses a beauty showroom on the ground floor and a group showroom is expected to be added over the coming months following the closure of Boohoo’s 3,500 sq ft venue on Great Portland Street.

This comes amid a turbulent time for the group after it was reported last month that lenders have drafted in advisers at FTI Consulting to conduct talks regarding refinancing as it faces a £325m debt wall and mounting losses.

Boohoo faced significant shareholder backlash in May this year as a result of announcing plans to pay its top bosses £1m in bonuses, which it then backtracked on.

The fashion giant also upset customers at its PrettyLittleThing arm after banishing customers from its site for “excessive returns activity”.