THE future of Kendal's £20m Westmorland Shopping Centre has been thrown into doubt after it emerged its owners have entered into administration.

A new buyer is now being sought for the Stricklandgate centre, which houses more than 30 retailers as well as Kendal's indoor market.

Industry experts and newly-appointed administrators BDO insist there is no immediate threat to the complex closing after the news broke this week that Ethel Austin Properties (Kendal), which bought the centre in 2002, had entered administration.

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The move means creditors cannot take legal action against the company to recover any outstanding amounts.

Sarah Rayment and Kerry Bailey from BDO have been appointed joint administrators and will now take over its day-to-day running.

Ms Rayment said it will be kept open as the search for a new owner begins, adding: "Kendal residents will be able to shop as normal and no jobs have been lost as a result of the administration."

The centre, which has an annual footfall of more than four million people and opened in 1988, is home to national retailers such as Argos, Superdrug and Game, as well as smaller independent stores including Replay and more than a dozen stall holders.

According to the centre's website, seven of the centre's 33 stores are currently empty while CC's clothes shop has closing down sales.

South Lakeland District Council leases both the indoor market hall and the multi-storey car park from the shopping centre.

A spokesperson said: "Our understanding is that it is very much ‘business as usual’ at the centre at this moment in time and the car park and market will continue to operate normally.

“Officers from our economic development team have also offered to work with the centre’s administrators to give what help and support we can to secure the long-term future of the shopping centre.’’

Bill Smith, a director at Windermere-based Let's Talk Shop, which aims to provide advice on how to boost the retail sector, said the move was a 'sensible course of action if things are not looking lucrative in the future'.

"Administrators look at whether the organisation itself is the problem or whether the centre is viable in its own right," he said. "They are normally fairly ruthless but people will have leases on their shops so have security. I don't think there is much reason to panic yet.

"The fact they have gone into administration suggests they have lost their way so it could be a new beginning for the centre."

He added signs of a good shopping centre were a 'mix of varied and interesting businesses', adding: "Unfortunately there are quite a few empty shops on the entrance from the car park. It gives a gloomy feeling to what might be somebody's first experience in Kendal."

Rob Johnston, chief executive of Chamber of Commerce, said he expected the centre to be snapped up quickly.

"I understand there is an appetite for centres like this so hopefully new owners will come in fairly quickly and give Kendal the centre it deserves," he said. "Kendal is in the centre of a relatively wealthy area so with the right investment it should fly."

Sarah Williams, manager of Kendal BID, said: "Hopefully someone will see it as a viable business opportunity. It is slap bang in the town centre. Kendal is still a thriving town with good prospects."

Both of the centre's managers have been retained.

Property consultants Mason Owen manages the centre for Ethel Austin Properties. A spokesperson said yesterday it had nothing further to add to BDO's comments.