GM breaks in to factory outlets

By Helen Conway

Gardner Merchant Leisure Services (GMLS) has broken through in to the fast-growing factory outlet market with the opening of Scotland's first cut-price designer shopping village.

The extensive catering facilities at Freeport Shopping and Leisure Village, off the M8 between Glasgow and Edinburgh, cost GMLS £800,000 to construct. The operation is expected to turn over £2m a year.

The village is expected to attract 2.5 million visitors in its first 12 months.

The company is understood to have beaten Sutcliffe Catering and Massarella Catering to secure the deal.

GMLS is operating a confectionery unit and four of its own branded outlets, including a 230-seat Traditions, which has been expanded into a full restaurant for the first time.

Also included is a 95-seat fish and chip outlet, Vinegar Joe's, a 68-seat Art Bar Cafe and a 42-seat Pizza Gusta restaurant.

Andrew Forbes, director of the company, welcomed the new contract: "We are not in any malls or factory outlets, so this is important to us."

Meanwhile, the division has also put its stamp on the catering operation at Liberty's flagship store in Regent Street, London, which it won three months ago in competition with Eurest.

Catering at the store was previously handled by Gardner Merchant's London division.

GMLS has introduced a hot meal service to the 100-seat basement coffee shop following a £230,000 refit.

Mr Forbes said the company was in negotiations with the management at Liberty about plans to relocate and restyle the store's 72-seat fourth-floor restaurant.

He added that he expected a £700,000 annual turnover from the six-year contract.

Also new to Gardner Merchant's expanding retail portfolio is a £300,000-a-year, 10-year contract to operate the 96-seat restaurant at C&A's refurbished department store in Leicester, due to open in November.