Are you a retail business looking to leverage the consistently high footfall, profitability and growth opportunities afforded by renting retail space within our stations? We have a structured and competitive tendering process that ensures your business is aligned with the values and strategic goals of Network Rail while also positioning winning bidders for the greatest level of success.

At Network Rail, we carefully evaluate market conditions to ensure the right retailers are placed in the most strategically located retail units, simultaneously to avoid over-saturation of similar offerings and bolster business potential.

What is a tender?

A tender for retail space with Network Rail is a formal process in which selected businesses, who have expressed their interest and meet our preliminary criteria, are invited to submit a bid to lease one (or more) of our retail units.

Our lease types and financials

We offer flexible short and long-term lease types that enable retail businesses of different sizes to make a bid that is most suitable for them. The majority of our station leases are between 6 and 9 years in length.

• Short-Term Leases

• • • Up to 3 years, assessed on a case-by-case basis

• Long-Term Leases

• • • Between 6-9 years, Most often for franchised models with established brands

Our rent structure model typically includes a Minimum Guaranteed Rent (MGR) plus a turnover-based component. Our average base rent is around £180 per sq ft. This will be discussed in more detail during discussion with a Network Rail Category Manager.

How the tendering process works

So if you are a prospective bidder for one of our sought-after retail units, how does the process work and what considerations should you take into account?

Initially, you’ll have a detailed discussion with one of our Category Managers to understand your business experience, trading history, product range and aspirations. The Category Manager will then make an initial assessment against our key criteria. To trade in our stations, our minimum requirements are:

• Two trading units of the same type of business you propose to trade in our stations
• Shops / units trading for a minimum of six months

Selected retailers that have met our criteria may then be invited to join the tendering process for the unit in question. This will usually begin around 12 months prior to the expiration of the current lease. The whole process is managed securely through the Bravo e-tendering portal.

1. The Tender Structure

If you are invited to tender, you will be required to submit your business plan, which will be judged blind by a Network Rail panel. This ensures that your business will meet the needs of passengers at our managed stations, before financial details are discussed.

The invitation to tender includes:

• A full tender pack
• Instructions for submission
• Evaluation criteria
• Financial forecast template

Each submission is divided into two parts:

• Non-financial (Technical)

• • • This should include design proposals, sustainability credentials, demonstration of product range, and operational plans.

• Financial (Commercial)

• • This should include a clear financial forecast plan using the template provided.

We encourage retailers to use sustainable materials and practices. Additional marks are awarded for environmentally responsible builds, and where food waste reduction schemes are being rolled out, for example.

2. Preparing Your Submission

You are required to complete a series of pre-qualification questions – such as regarding your compliance with Network Rail safety and security standards. You may also need to provide responses to any clarifications or questions raised during the initial tender period.

It is important to ensure your submission is thoroughly checked before uploading, as we reserve the right to reject incomplete or non-compliant submissions.

Please ensure you have completed:

• Pre-qualification questions
• Financial forecast template
• Submission checklist (included in the tender pack)
• Responses to any clarifications

3. The Evaluation Process

Once your tender for retail space has been submitted, each submission will be reviewed by a Network Rail Review Panel. Scoring is based solely on the content you provide and is typically weighted 50:50 between the Non-Financial (Technical) and Financial (Commercial) submission requirements.

The panel will carefully evaluate each submission, giving consideration to factors such as:

• Fit-out design and materials
• Product range and pricing
• Financial viability
• Sustainabilty and social value contributions

4. Award and Installation

Following the tender evaluation, recommendations are made by the panel to senior management within two weeks of the submission deadlines. When fully approved, successful bidders are notified and awarded the lease.

Once the lease is awarded, our marketing teams will then coordinate with you to arrange installation and branding, so you can set up for success.

If you are looking for retail space to let in one of our managed stations, please explore our currently available units and make an enquiry.