The John Lewis Partnership has announced plans to build and furnish private rental properties.
In the light of the changing nature of retail in the UK, which has been accelerated during the pandemic with more reliance on online shopping, the company is looking to create around 10,000 rental properties.
Providing a mix of properties, from studio apartments to four-bed houses, JLP will work with established developers in a trial that will initially focus on the South-East of England.
John Lewis will look to make use of its existing and extensive property portfolio, converting department store car parks, Waitrose grocery stores, or company distribution centres to create the new rental opportunities. As part of the plan, some sites will be developed from scratch and the properties will be offered to rent either fully-furnished with JLP supplied products or unfurnished.
Nina Bhatia, executive director of strategy and commercial development for the John Lewis Partnership, is quoted as saying: “As a business driven by social purpose, we have big ambitions for moving into property rental.”
The move is part of a wider company shift away from traditional retail. Last month, JLP signalled a further focus on rental for some of its home furnishings range.
John Vary, Partner & Futurologist at the John Lewis Partnership said: "We’re seeing a real shift in consumer behaviour towards usership rather than ownership, the weak signals were already there pre-covid, with the emergence of car-sharing schemes, hot-desking and services like AirBnB, but the pandemic has turbo-charged this with an almost back-to-the-future move towards sharing, reusing or trading within communities or groups - renting a dress or sofa is the modern day equivalent of borrowing sugar from next door."
