THE London flagship store leased by Primark, the low-cost clothing retailer, is expected to be put up for sale this autumn with a price tag of up to £150 million, The Times has learnt.

Redevco, the private Dutch property company that is Primark’s landlord, said that it had appointed CBRichard Ellis, the world’s biggest property consultant, to advise on the potential sale of the giant Oxford Street store, formerly occupied by Allders.

No final decision has been taken on a disposal, but industry sources said that potential buyers were lining up.

Primark has yet to take occupation of the building. It is expected to move in early next year, when refurbishment works are complete. It signed an advance commitment to lease the store at the end of last year. The store is set to become the company’s first in Central London and one of Primark’s biggest outlets in the country.

The sale of the building would represent one of the biggest deals on Oxford Street this year. This summer, the Prudential, advised by Cushman & Wakefield sold a giant block at 197-213 Oxford Street let to retailers, including Borders and Next, to Cosgrave, a private Irish developer, for £132.5 million.

The property investment market is still buoyant, according to commercial property consultants, although the number of potential bidders for each property has fallen since earlier in the year. About £4 billion of deals took place in the second quarter alone, according to Cushman & Wakefield, including about £1 billion in the West End and £2.9 billion in the City. The strength of investment demand is thought to have carried through into the third quarter.

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