A NORTH-EAST shopping centre affected by the collapse of Intu has confirmed it will be operated by a new company - but the deal will not include Metrocentre.

Intu Eldon Square in Newcastle City Centre is to be operated by a new management firm following the collapse of Intu into administration earlier this year.

Metrocentre owner Intu falls into administration after discussions fail

In an update, Intu confirmed MAPP has now been appointed to undertake property management at Eldon Square.

Welcoming the announcement, Councillor Ged Bell, Cabinet Member for Employment and Culture at Newcastle City Council, said it marked a new era for the city.

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He said: “The council will soon be embarking on a programme to kick-start the transformation of the city centre, so this new era for Eldon Square could not have come at a more opportune time.

“Our ambition is to create a city that retains its role as the capital of the North-East and status alongside other regional cities, and a unique European destination for tourism, business, and investment.

"A strong and vibrant retail centre is obviously integral to this and we very much support the new direction of Eldon Square.

“We are confident that the new management structure and their commitment to the city will mean Eldon Square will continue to play a vital role in supporting the city’s economy and somewhere local people and those visiting the city can continue to enjoy.”

Rebrand later this year

Intu said MAPP had been appointed to undertake property management, with specialist investment manager APAM will assume asset management responsibilities, supporting the existing centre team.

The centre will continue to operate under intu branding ahead of a revamp in late 2020 that will retain the historic Eldon Square name. The rebrand will include a new logo, external signage and website, it confirmed.

In a joint statement, Nigel Mapp, Chief Executive Officer at MAPP and Simon Cooke, Executive Director at APAM, said: “We are very much looking forward to working with the high-quality onsite team at Eldon Square to drive the next phase of growth to ensure that Eldon Square remains central to the retail and leisure offering at the heart of Newcastle City Centre.”

Metrocentre not included

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But the new deal does not include Intu Metrocentre, which has also been affected by Intu falling into administration.

The Northern Echo understands that there is no further update on the situation with the shopping centre and that the new deal does not extend to the site.

Jim Tucker, partner at KPMG and joint administrator of Intu, said: “The orderly migration of intu’s centres to new management continues at pace despite their challenges, with further transitions set to conclude in the coming days.

"We thank the team at Eldon Square for their support during the administration process and wish them well for the future.”