New data jointly released by BCSC and LDC today, shows demand from leisure and food operators for space in regional shopping centres is on the rise while growth in Greater London has experienced a slowdown in the last 12 months.
The data shows the number of leisure operators in shopping centres is expanding the fastest in Scotland, reporting a 3.85 per cent increase, closely followed by the South West at 3.63 per cent and the East Midlands with 3.57 per cent. The North West has also shown encouragingly strong growth with a 3.4 per cent increase.
This strong performance in the regions shows businesses are looking to expand outside of the capital where a level of saturation in the leisure market and high rents have combined to make other locations more attractive.
Premium American doughnut brand Krispy Kreme opened eight new stores in the regions over the year. Similarly, the majority of popular burger restaurant Five Guys’ new restaurants are spread outside of London.
Edward Cooke, director of policy and public affairs at the British Council of Shopping Centres said:
“This data shows how focus is shifting away from London and the benefits of the expansion of food and leisure in shopping centres in boosting local economies by creating all-day destinations which tap into the evening economy. The data also points to the growing strength of the regional property market which is interesting as government continues to push on with its devolution agenda."