Business Outlook 2025 | Retail - Garden Centres

In the first half of 2024, we transacted more garden centres than in the whole of 2023. The sales were across the board from large disposals such as Langlands to British Garden Centres and Pacific Nurseries to Planters, but also many smaller sites and a number of high-profile heritage brands including Peter Beales Roses and Hayloft Plants.

Half of all garden centres sold were bought by new-to-industry purchasers with over 90% of the transactions being on a freehold basis. 50% of the transactions included bank funding.

The much-discussed changes to planning policy are certainly helping to drive the pricing of freehold garden centres. Most are still sold on a going concerns, with just under 10% of sales in 2024 going for alternative use.

• Given the high percentage of garden centres that are sold on a freehold basis, it is likely that the falling cost of borrowing in 2025 will help drive further garden centre sales and make it easier for existing operators to expand, as well as continue to spend on improvements at existing sites
• 2024 was impacted by poor weather and a very wet spring and summer. It is likely that sales of big-ticket items, such as garden furniture will be stronger in 2025
• 2024 saw more garden centre sales for Christie & Co and 2025 looks likely to see similar or higher volumes of transactions based on the current pipelines
• Garden centre groups will continue to expand through acquisition (perhaps with the exception of Dobbies)
• The impact of Government changes to the planning system could make alternative uses easier for garden centres and plant nursery buyers. This will continue to drive demand for freehold sites