Hornsea Freeport shopping village in East Yorkshire has gone into administration four years after it was acquired by Cheshire-based retail property investment company REALM Ltd.

Dan Butters and Ian Brown, from the Leeds office of business advisory firm Deloitte, have been appointed to Hornsea Estates and Hornsea Estates (No. 2). The companies operate the 16 acre outlet village, which has 43 shops and tenants including Clarks, Hallmark and Thorntons.

Dan Butters said: "The outlet has suffered as a result of the current economic environment, and is further evidence of the continued pressure being experienced by the retail sector as consumers continue to rein back their spending.

"It is the joint administrators’ intentions to continue to operate the outlet, while undertaking a marketing process to identify potential interested parties to acquire all or part of the business. We are working with the retail tenants to secure their occupancy for the future."

REALM acquired the outlet village from Freeport Plc in March 2005 and in 2007 submitted plans for a £6m extension which included physically remodelling and improving the centre.

It planned to convert some of the older industrial style buildings and open new shops and a restaurant set around a landscaped courtyard and build a themed children’s playground. The centre had 40 tenants when the proposals were drawn up.

So far only phase one of the plans - five new stores and the restaurant refurbishment - has been completed and last week the centre suffered a blow when the Laura Ashley store closed.

The outlet village is on the site of the former Hornsea Pottery factory and is the town’s major employer, supporting 230 jobs, 20 of whom work for Hornsea Estates.

Source: www.crainsmanchesterbusiness.co.uk, July 27, 2009