Boston Dreams store not saved by buyout

News from the Boston Standard, Lincolnshire: bostonstandard.co.uk, on Twitter @standardboston
News from the Boston Standard, Lincolnshire: bostonstandard.co.uk, on Twitter @standardboston

Boston’s branch of bed retailer Dreams faces an uncertain future after it was not one of the stores snapped up in a buyout of the troubled firm.

Earlier this week Dreams went into administration, with Ernst and Young appointed to oversee its financial affairs.

Sun Capital Partners subsequently bought up a large chunk of Dreams, including 171 stores, but Boston’s – on Grantham Road near Home Base – was not one of those to be saved.

A statement from Ernst and Young said: “The remaining stores that are not included in the sale will remain open for business whilst the administrators seek to find buyers for these stores.”

A spokesman said there are three members of staff employed at the store.

The weak economic picture has been blamed for the problems suffered by Dreams, which had 266 stores and employed about 2,000 people,

Alan Hudson, Joint Administrator, said: “High street retailers have faced unprecedented conditions over recent years, and the market for higher value discretionary purchases has been particularly tough.

“Dreams is a well known market leader, but in common with many others has suffered as a result of this depressed retail environment, a rapid expansion of its store portfolio and onerous lease liabilities.

“Whilst recent performance has improved, it has seen a decline in like for like sales across its store portfolio as well as its operating margins being squeezed.

“This has resulted in the business being unable to continue to operate outside of administration.”