John Lewis is facing hold-ups in the £150m sale of part of its Oxford Street flagship store.
Last year, the departmnet store picked a joint venture between developer Hines and Korea’s National Pension Services as preferred bidder for the scheme, which would convert the upper floors of the Oxford Street store into offices.
The bidders were said to be willing to pay £150m for the chunk of the store, however, declining property values and increasing interest rates have thwarted the deal, The Times reports.
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Despite the delay, the retailer is thought to still be in contact with Hines and other developers about the plan.
The news comes after John Lewis revealed plans to halve the size of its head office with a new site back in July.
The retailer is set to ditch its 220,000 square feet Victoria Street site for a new 108,000 square feet space in Pimlico.
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