Homebase puts 74 stores up for sale after DIY chain collapsed - check to see if yours is on the auction block
Homebase has put 74 stores up for sale after the DIY chain fell into administration.
The company has set a deadline of the end of next week for potential buyers to snap up its remaining shops in the UK and Ireland.
Homebase appointed administrators at consultancy Teneo after it was hit hard by an 'incredibly challenging' three years for the DIY sector.
Administrators struck a deal to sell the business to retail group CDS, which owns The Range and Wilko, securing the future of up to 1,600 jobs and 70 stores.
However, the future of 2,000 other workers and its remaining stores was left hanging in the balance.
They have set a deadline of November 29 for potential suitors to buy the remaining stores, amid efforts to secure more funds for creditors.
Homebase's collapse came amid reports that banking giant Wells Fargo declined to extend the group's lending facility due to concerns about its finances.
The concerns arose as the retailer waits for around £5 million to be remitted back to it in tax rebates.
Homebase in Upton on the Wirral. The chain is trying to sell its remaining 74 stores after appointing administrators
The chain's store in Wolverhampton is among stores looking for a buyer
A Homebase store in Berwick-upon-Tweed. While the company has been sold to retail group CDS, the future of its remaining stores and 2,000 jobs remains in doubt
Commercial real estate adviser Altus Group, which represented the chain, said more than 50 checks, challenges and appeals against the retailer's property tax liabilities were outstanding at the time of its collapse.
The company was seeking reductions in the overall rateable value of its store portfolio by £5.7 million following a 2023 revaluation of its annual business rates bill.
Altus said that had these been dealt with before the retailer's collapse, it would have resulted in tax rebates of around £5 million for the 2023/24 and 2024/25 financial years.
Alex Probyn, president of property tax at Altus Group, said: 'The appeal process is just far too slow and ultimately damaging to cash flow.
'With business now facing the biggest tax increases in three decades, the 2023 tax base must be corrected quickly to ensure that ratepayers not only receive their rebates timely but also have the confidence that their bills have been set fairly.'
Homebase and Teneo have been contacted for comment.
