Leicester textile firm faces closure over CPO
A Leicester textiles firm which works with the likes of Burberry, John Galliano, Paul Smith and Jasper Conran may be forced to close next week.
Djinn Genie, a 29-year-old fashion and textiles business which designs and crafts high-end pieces for some of the world’s most iconic designer labels, is based in Frog Island, on the site of the Waterside regeneration area. The company’s premises has been the subject of a Compulsory Purchase Order (CPO) for the last two-and-a-half years, but its owner says he has received very little help from Leicester City Council to try and find an alternative base.
Narrinder Sandhu, the owner of the company which employs 25 people, told TheBusinessDesk.com: “I have no issues with regeneration – the area we are based in definitely needs it and it’s a fantastic project for the city.
“I also understand there is no legal requirement from Leicester City Council to help us – I just wish they’d say that. At the moment, all they’re saying is that we’ve had long enough to move. While they may be true, it’s not for want of trying. We’ve spoken with countless agents and spent hours walking the streets of Leicester looking for new space – we’ve just not had any luck in finding a premises that suits us.”
Djinn Genie needs a premises that is roughly the same size as the building in Frog Island, with lots of natural light, said Sandhu. However, he says that a lot of the vacant traditional factory stock in Leicester city centre that would’ve been suitable has been turned into student accommodation.
He added: “Let’s get this straight – I have nothing against students at all. We’ve got some of our best employees from De Montfort, and we have two world class universities in the city. But we need to be in the city centre as everything in the fashion industry is about connectivity – and we’ve benefited from being near the railway station which leaves us just an hour from London.
“If a niche manufacturing business like ours can’t be accommodated in the city centre then there’s something seriously wrong. We’ve had offers from Nottingham and Market Harborough, but we want to stay in Leicester.”
If Sandhu can’t find a new base by 23 April, then he says he will have to make redundancies.
He added: “Most of my most skilled staff have already left the business as I haven’t been able to offer them any security, and it’s looking increasingly likely that we will have to close the business down, leaving our remaining staff out of work.
“I feel we have done everything we can, but even at this late stage we could carry on trading if we can find somewhere else to work from. But I feel as though the Council would rather us move out of the city centre to the likes of Oadby, Beaumont Leys or Thurmaston. That wouldn’t be good for us.
“I’d just rather the Council told us if it felt that textile manufacturing doesn’t have a place in the city centre any longer.”
Talking to BBC Radio Leicester last week, Leicester Mayor Peter Soulsby said: “We’ve done a lot of CPOs over the years – and that’s a necessary pre-requisite to regeneration. However, we’ve worked with dozens of businesses in Narrinder’s position over the last two and half years to find alternative sites and the same offer is on the table for Narrinder as was for all the other businesses that have already moved, and to be quite frank he needs to help himself.
“We’re looking to get tens of millions of pounds of investment into the Frog Island area and hundreds and thousands of jobs. Of course it’s difficult for him, but he does need to come and talk with us and be sensible in what he says are his requirements. I’d invite him to come and talk.”
