Chamber News
We are ready to support affected businesses - Elgin's St Giles Centre set to close within the next two weeks
8 January 2025 • Sarah Medcraf
Moray Chamber of Commerce Chief Executive, Sarah Medcraf: "The news of St Giles is a shock to us all and has come at a really frustrating time, the return following Christmas. Our priority now is to keep those shops and businesses within Elgin. We are standing ready to help support anybody who needs matching up with another empty property in Elgin or Moray. There are some really cracking businesses in the St Giles Centre and we do not want to lose them. If there is anything we can do then people know just to reach out, but we feel for all the businesses and employees affected as it must have been really difficult news for them today."
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Elgin's St Giles Centre set to close within the next two weeks
Businesses have been told the centre intends to close this month.
A large shopping centre in the North East of Scotland is set to close this month.
Businesses located in the St Giles Centre in Elgin have been notified of an intention to close on January 20th.
This comes after Moray Council confirmed they were taking legal action over unpaid businesses rates.
It's thought the centre owes the local authority around £750,000, which has built up over several years.
St Giles Shopping Centre Holdings Ltd, which is responsible for the day to day business of the centre, say they have faced "severe financial challenges" in recent years.
A spokesperson said: "St Giles Shopping Centre Holdings Ltd have notified all tenants of their intention to close the St Giles Shopping Centre in Elgin with effect from closing on 20 January 2025.
“The Company has faced severe financial challenges in recent years, with a high level of vacant units, reducing rent roll and increasing service charge costs.
“When the company acquired the Centre, it had a strong rental income from a wide range of tenants, but this has deteriorated significantly due to Class 1 retail being introduced at the Elgin Retail Parks and the general demise of the retail industry.
“In 2012 the company incurred significant legal fees taking Moray Council to the High Court to try to stop them agreeing to sub-divide the bulky goods units at the Business Parks into smaller units, and giving them Class 1 retail consent.
“The company failed in this Court Action, and this resulted in the loss of many of the Centre tenants.
“Moray Council, who are a creditor in relation to unpaid business rates for vacant units have commenced enforcement action and served arrestment of rent sums to all tenants asking these to be paid directly to the Council.
“As a result of this the Company can no longer service the operational costs of the Centre.
“The Company is disappointed at the closure at the Centre however after taking professional advice this difficult decision was the only option available.
“St Giles Shopping Centre Holdings Ltd is a standalone entity and the other business interests of the owner are unaffected by this decision.”
Centre closure "a shock to us all"
Moray Chamber of Commerce Chief Executive, Sarah Medcraf, says they're ready to support affected businesses.
She said: "The news of St Giles is a shock to us all and has come at a really frustrating time, the return following Christmas.
"Our priority now is to keep those shops and businesses within Elgin.
"We are standing ready to help support anybody who needs matching up with another empty property in Elgin or Moray.
"There are some really cracking businesses in the St Giles Centre and we do not want to lose them.
"If there is anything we can do then people know just to reach out, but we feel for all the businesses and employees affected as it must have been really difficult news for them today."