Sunday, 27 May 2012

Tesco at Little Lever - Dossier Point No 1


Point No 1



The purpose of this development   (Opinion)



The Pennine Pets site was advertised some 22 months ago as suitable for residential or retail scheme such as an Aldi type store. (See Appendix)

Had Aldi or Lidl or Iceland or similar store acquired this land and successfully gained planning consent, then the threat to the viability of the Tesco Metro store would have been severe.

Supermarkets are no longer able to ‘land bank’ and thus the only way Tesco could prevent a competitor from moving in was to build on the site themselves.

My view is that the existing Tesco Metro is undertrading (as are most retail outlets). I know that staff have left and have not been replaced.

The confidence that Tesco expresses that they can increase turnover in the new store over the old store by £12million annually is, in my view, fanciful, especially since only a wider range of convenience goods will be offered. No comparison goods at all.

Conclusion

I can only conclude that Tesco’s main purpose with this development is to prevent any other competitor from building there.










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