HMV to Leave Oxford Street in 2027 After Landlords Push Rent Doubling

HMV will close its flagship Oxford Street store in March 2027 after its landlords proposed doubling the rent at 363 Oxford Street, the entertainment chain announced. The closure affects more than 50 staff.

The company blamed two combined costs for the decision: the proposed rent increase and a "substantial" bill for renovation works at the store. Together, HMV said, the two burdens would make the shop "commercially unsustainable."

Why is HMV leaving Oxford Street?

The Oxford Street site is not just another retail location for HMV. The company first opened a store there in 1921, and the address served as its original home. Managing director Phil Halliday called it "frustrating" that the shop had become "commercially unviable" under the new terms proposed by the landlords.

Halliday said: "This is a special store, it's where we began 100 years ago and bringing it back to life in 2023 was a big moment in our recent history.

"We are looking ahead, and our focus is now on what we do to make exciting steps for HMV in 2027."

The chain reopened the historic store in November 2023 after a four-year absence, following a deal secured with the landlords. That comeback followed the company's earlier collapse and restructuring, and the 2023 reopening was framed at the time as a symbolic return to the retailer's birthplace. The lease arrangement that made the reopening possible will now end with the March 2027 departure.

What happens to the 50-plus staff?

HMV said it would look to transfer the affected workers to its two other London stores and to its head office while it searches for a new site. The company did not specify how many of the more than 50 employees could be redeployed.

The chain operates:

• 113 stores across the UK, including six sites under the Fopp brand
• Eight additional stores in Europe
• Two other London locations plus its head office

The group said it remained committed to high street retail, pushing back against any reading of the closure as a retreat from physical stores.

Where will the new flagship go?

HMV said it is looking for a new site in London's West End for its flagship shop and plans to maintain a "significant presence" in the capital. The company has not named a replacement location or a timeline for securing one.

The announcement leaves a gap of well over a year between now and the March 2027 exit, giving the retailer time to scout West End options while continuing to trade at 363 Oxford Street. The commitment to a central London flagship signals that HMV views the closure as a real estate decision rather than a strategic exit from the capital's core retail district.

The exit also removes one of Oxford Street's most storied retail names for the second time in a decade. For landlords, the departure of a tenant that returned only in 2023 underscores the risk of pushing rent demands too far on a street where several flagship sites have struggled to hold long-term occupiers. For HMV, the test in 2027 will be whether it can replicate the brand weight of its original address at a new West End location — and on terms it can sustain.