UK falls to third place in Europe’s mall league table
Published: 28 May, 2013
Russia will soon overtake the UK for the first time to become the second-largest shopping centre market in Europe, according to new research from Cushman & Wakefield.
The agent forecasts 75m sq ft of new shopping centre space will be added to the European market in 2013. 70 per cent of this will be in Central and Eastern Europe with 25m sq ft scheduled to be completed in Russia and 17m sq ft in Turkey.
C&W’s European Shopping Centre Development 2013 report ranks France and the UK as the top two markets in terms of total existing shopping centre space with 183m and 177m sq ft of floorspace respectively. But Russia will have 204m sq ft by 2014.
Justin Taylor, CEO of UK retail at C&W, said: “The projected upturn in European shopping centre development activity for 2013 is encouraging.
“We are also seeing a trend of mature Western European markets shifting focus towards refurbishing and extending existing schemes rather than sourcing new space for development.”
And C&W’s investmernt teams noted that the first quarter of 2013 has seen relatively muted retail investment activity: €8.4 billion-worth of transactions took place during this period, €5.4 billion less than in Q4 2012. The outlook for the rest of 2013 remains cautious.