Mark Faithfull

The Deal Sheet is a weekly compilation of Greater London and beyond's biggest leases, sales, financing deals, construction updates and personnel moves.

President Trump has reignited trade tensions, imposing new 10-12.5% tariffs on imports from over 80 countries, citing partners' failure to prevent forced labor. This move, under Section 301, replaces a temporary global duty and follows a Supreme Court ruling that limited previous tariff authority. Retailers face significant uncertainty, impacting sourcing, inventory, and pricing, with few low-cost alternatives. They must choose between absorbing costs, renegotiating, or passing increases to consumers. While the White House frames it as a human rights initiative, encouraging stronger enforcement, economists warn cumulative tariffs could eventually raise consumer prices. This reinforces political risk as a critical factor in global supply chain decisions, forcing brands to rethink production and pricing strategies.

Ukrainian drones have targeted Wildberries, Russia's largest online retailer, signaling a strategic shift to hit civilian commerce infrastructure. Attacks on logistics facilities near Moscow, St. Petersburg, and other cities caused fires and operational suspensions, damaging an estimated 10% of its network. Ukraine claims these warehouses support military logistics, a charge Russia denies. These strikes directly impact millions of ordinary Russian consumers reliant on Wildberries for goods, exposing vulnerabilities in an already struggling economy. The attacks underscore Russia's retail sector woes, with international brands withdrawing and domestic replacements often failing to satisfy. President Zelensky stated Ukraine is "bringing the war back home."

New guidelines released late last year were intended to gain back ground that Dublin, long the second-largest data center city in Europe, lost to rivals from Oslo to Madrid.

Shein's long-awaited IPO journey has hit turbulence, with its latest financial disclosures revealing significant challenges. The fast-fashion giant reported a $99 million loss in Q1 2026, a stark reversal, and its 2025 net profit plunged 38.7%. This downturn is largely attributed to the removal of the U.S. de minimis import exemption, which slashed U.S. revenue by 14.3% and impacted its core business model. New European regulations are poised to inflict further financial strain. Consequently, Shein's Hong Kong IPO targets a valuation of $40-50 billion, a substantial drop from previous rounds, reflecting investor concerns and geopolitical pressures that rerouted its listing from New York and London. The company plans to invest in AI and logistics to counter rising costs.

Student accommodation specialist Unite Group has announced a £417M first-half pre-tax loss as it warned that purpose-built student accommodation is struggling under soaring construction costs.

Redevco has expanded its UK industrial outdoor storage portfolio with the acquisition of a 560K SF logistics facility in Widnes.

The Deal Sheet is a weekly compilation of Greater London and beyond's biggest leases, sales, financing deals, construction updates and personnel moves.

OpenAI has leased the Tropical Fruit Warehouse as its new European headquarters, taking 88K SF to support its growing workforce.

Fashion brands are facing the prospect of higher inventory costs thanks to an EU ban on destroying unsold apparel, accessories and footwear. As of July 19, large companies are now prohibited from incinerating or sending unsold products to landfill. Why major brands ever thought this was morally justifiable is another question. The new rules also cover customer returns and force fashion retailers to prioritize selling products through discounts or alternative markets, donating them or preparing them for reuse.