In the year to date, 2010 has continued as much the same way as 2009, with shopping centre activity remaining subdued. Indeed, just over 2.1 million sq.m of new shopping centre space was completed in the first six months of the year, approximately 30% down on the period in 2009.
Shopping centre development activity continued to be subdued in the first half of 2010, with just one new scheme and two extensions opening. In total just over 80,000 sq.m of GLA was added to the market. The second half of the year is expected to see the completion of a handful of small to medium size schemes, pushing the total completed GLA for 2010 to around 215,000 sq.m. This would represent a 1.3% increase in total stock on 2009, which is the second lowest annual increase in provision recorded in the UK in 17 years.
With a slow recovery from recession and with companies continuing to focus on being located in cities that can provide them with a cost effective yet efficient base, cities continue to be in competition with each other to attract inward investment. The European Cities Monitor examines a number of key issues that corporates consider when considering new locations and indicates how effectively each European city is perceived to perform and where improvements are seen to have been made over the last year.
Main Streets Across the World provides a global barometer of the retail sector, tracking rents in the world’s top 269 shopping locations across 59 countries. The league table is drawn up by taking the most expensive location in each of the countries monitored.
Most of the world’s top retail locations have remained resilient during the last twelve months, with Latin Americaand Asia-Pacific showing the most positive rental growth, according to our latest retail research. Around two-thirds (66%) of the 59 countries surveyed by the real estate adviser for its annual Main Streets Across the World report reported prime rents either rising or remaining static over the year to June. The findings paint a brighter outlook to those of 2009, which revealed the biggest global fall in rents in the report’s 25 year history.
In the year to date, 2010 has continued in much the same way as 2009, with shopping centre development activity remaining subdued. Indeed, just over 2.1 million sq.m of new shopping centre space was completed in the first six months of the year, approximately 30% down on the same period in 2009. In total, 64 new shopping centres opened, representing around 85% of total new space, with refurbishments and extensions accounting for the remainder. Total shopping centre GLA now stands at just under 129.2 million sq.m for the whole of Europe.