Retail Dynamics Drive Polarisation of European Shopping Centre Market
- Report shows 18% decrease in development across Europe in the first half of 2019 compared to the same period last year
- 5.4 million sq m of new space is already under construction and scheduled to open in the second half of this year and into 2020
- Turkey is set to ramp up activity and the country currently has Europe’s largest development pipeline
Challenges and changes in the retail sector are continuing to impact the dynamics of the European shopping centre market with new research from Cushman & Wakefield showing development activity across the continent is strongly polarised at both a country and city level.
The first half of 2019 saw development activity remain stable or slightly improved in most countries. However, a strong decline in openings in Turkey led to an 18% decrease in development across Europe overall, with approximately 863,000 square metres (sq m) of new shopping centre space completed.
“Despite the high saturation in Slovakia, mainly in regional cities, there is considerable amount of retail premises announced to be delivered on the market in following 2-3 years. It´s a result of healthy operation of retail sector in our region as well as still relatively small impact of online in our market,” said Katarína Paule, Associate, Head of Retail Agency at Cushman & Wakefield Slovakia.
In Bratislava Eurovea is building its 2nd phase (+25,000 sq m/2021), Aupark is also planning to extend (+10,000 sq m), Tesco Extra in Petrzalka is opening its extension (+ 4,000 sq m) this year. There is also Stanica Nivy – 70 000 sqm of new retail spaces under development.
Download the full press release reporting on the development via the link below: