Tesco has announced that it will be extending its current partnership with Sir Philip Green’s Arcadia Group, in efforts to rival Sainsbury’s own tie-up with Argos and Habitat.
Tesco first launched Arcadia concessions in 14 stores last year, with another six due to open before the end of the year. The supermarket will also open an unspecified number of Holland & Barrett outlets. Bruno Monteyne, an analyst at Bernstein Research, told the Guardian that Tesco had indicated that the 26 concessions would generate nearly £4 million in rental income a year for the retailer and that, if Tesco opens 35 more concessions a year over the next five years, that could bring in as much as £40m a year.
