The former Debenhams store in Plymouth continues to attract attention from both retail and leisure companies, but a major hurdle remains: the cost of fitting out the space. Companies interested in renting the ground floor have demanded that the landlord cover the fit-out expenses, delaying any potential occupation for over two years.

According to Joanne High, an associate at Vickery Holman, which is marketing the property, the building is still drawing interest from leisure operators, but not as actively as a year ago. The demand from property companies (propcos) for large capital contributions from the landlord is a key issue preventing deals from going through.

The former Debenhams building, bought for £3.5m in 2022, is earmarked for a major overhaul, including the construction of a two-storey extension and significant modifications to the rear of the building to accommodate flats on the upper floors. However, work has yet to begin on the proposed 167 flats. The ground floor, measuring 32,131 square feet, is being marketed at £12 per square foot, with potential uses including leisure or retail, with interest leaning towards leisure options like bowling and axe-throwing.

Similarly, the large former Staples building at Charles Cross, which underwent a significant refurbishment in 2020, is also facing similar issues with tenant interest, though it is in better condition. It is being offered for rent at £125,000 per year. Despite these challenges, property professionals at the recent Market Review event expressed optimism about Plymouth's city centre, noting the ongoing regeneration projects, including the £18m Old Town Street and New George Street developments and the £30m Armada Way redevelopment.

Meanwhile, the House of Fraser building remains on the market for £3m after a previous deal fell through. Interest in the property continues, but it has yet to be sold. The building, which spans 183,689 square feet, is currently leased by SDI Ltd. under a long-term agreement.