BATTERSEA POWER STATION.
Last week, I had a client meeting at Battersea Power Station. This gave me the opportunity to take a good look at the development. Using the word development to describe this destination is very much an understatement.
This is essentially, a new, mixed-economy tradezone on a MASSIVE scale. Following years of proposals and scrapped plans - the boldest of which (in my opinion) was to turn the site into the new home of Chelsea Fc (yes, really).
Since the purchase of the site in 2016, for £1.6Bn by Sime Darby Property, S P Setia, regeneration plans were accelerated and a massive engineering program was undertaken, to deliver what we see today.
Only the ongoing Kings Cross Development scheme, which encompasses, Coal Drops Yard, Kings Cross Central and the infamous Google Landscraper – comes close in terms of scale and purpose. Both tradezones are similar in the fact that they have both been created within post-industrial urban areas, which should definitely be applauded.
Battersea Power Station, is very much a tradezone, with all the qualifying factors to make it so:
A clear and defined central business district.
Significant retail space.
Hospitality outlets.
Leisure & Entertainment destinations.
Significant pre-let office space.
Residential properties.
Hotel accommodation.
Transportation links
A tradezone of this scale must draw consumer footfall from established areas of London, to ensure that retail and hospitality objectives are met for these tenants in particular.
There’s definitely a quirk and curiosity factor, in seeing the scale of the BPS redevelopment, that will drive footfall alone. Once the consumer visits and sees the broad range of retail, hospitality and leisure options on offer, it will begin to register on their ‘shopping radar’ as a desirable retail destination. Encouragingly, in the first week of trade, BPS announced that over 250,000 visitors came to see Battersea Power Station, a very positive sign. But did those visitors see enough that will urge them to revisit soon?
LONDON RETAIL
Will BPS instantly demand recognition as a key retail trade zone in London versus more traditional destinations? Many of which have their own challenges, driven by a number of issues, such as:
Declining footfall.
High vacancy rates / empty stores.
Sparse offering of anchor tenants.
Shabby high streets.
Tiring to navigate, with few logical adjacencies (due to closures).
Whilst each tradezone, and its respective management company/owners, are challenged to protect, evolve and drive trade in these areas, it's imperative that these spaces need to offer a wider purpose than 'just shopping'. Coal Drops Yard (and surrounding area), the newly developed Spitalfields and Broadgate, are all great examples of how you integrate, retail; hospitality; leisure; business and residential spaces.
Battersea Power Station, is perhaps, the biggest test of this mix.
BATTERSEA RETAIL
From a retail perspective, the retailers and brands that have already opened represent a nice mix, and the consumer journey and store adjacencies are effective. Although punctuated by a high number of ‘opening soon’ or ‘opening 2023’ hoardings, in some key areas.
All brands have delivered their best or most innovative retail spaces, with the majority of those opting to bring vibrancy to their retail space with the use of large format LED screens and smaller format digital touchpoints, adding impact and engagement through the consumer journey.
It was no surprise to see, both Nike and adidas go big with their digital tools, inside and out. From a tonality and retail design perspective, both of these brand stores, felt quite similar. Both stores being 'smaller' and more community driven, focusing on fitness and training, with some product categories omitted.
It was nice to see the challenges that retail designers had to work with regarding the structural and architectural features of the building, with concrete slabs, I-beams or original tiles worked into the retail scheme – some of which becoming retail fixtures themselves – small reminders that you are in a Grade 2 listed building, with a rich industrial heritage.
The majority of all retail spaces on offer are ‘functional’ - some of which are pretty diminutive – whilst the Ralph Lauren store was impactful in its theatrical design, it was tiny, and as a consumer you felt that too much was going on. A bigger space would have been much more satisfying and commercially productive?
One retail space that I did appreciate, was the Calvin Klein store. Not often a brand that ever stands out from a DTC perspective – but this store struck an effective balance between, retail design, visual merchandising, use of digital with friendly and helpful customer service.
SOMETHING’S MISSING?
Despite the empty stores and the yet to open ‘Arcade Food Hall’ (2023) there is a feeling that, from a retail perspective in particular, it lacks a true anchor tenant.
Whilst this may be a conscious decision – to allow BPS to curate and evolve the retail offering. Or caution from ‘big box retailers’ to commit to the significant investment to operate an anchor store in an unproven retail destination, profitably.
The lack of an anchor tenant, certainly leaves you with the feeling that ‘something's missing’. There are some traditional high street retailers (not naming names) that are definitely not suited to this retail environment, but a few that definitely could or should be part of the offering. If present, there's a higher chance that a consumers journey would be more satisfying.
INVESTING IN RETAIL
Let’s appraise the Battersea Power station redevelopment for what it is, a significant achievement in the post-industrial, gentrification, of an iconic and much-loved landmark.
Few public buildings in London demand as much authority, or imposing prestige as Battersea Power station does. It’s so unique in its ‘uniqueness’ which makes it its biggest selling point. Add to that a broad range of retail and hospitality outlets to cater for both cautious or extravagant consumer spending habits, and you get an iconic retail destination fit for present and future generations to enjoy.
Sure, it still needs to mature and evolve in a few areas before it becomes a true ‘top of mind’ retail destination for the consumer. Once fully open, and with a programme of exciting events to draw the consumers in - will Battersea Power Station demand a prominent and successful place as a major tradezone on the London retail map?
Have you visited? What do you think?
nick@onsidebrand.co.uk