Shopping centre construction hits lowest rate since 1960s
April 3 2012
Just 31,500sq/m of space is predicted to be completed this year; including just one new mall, the 15,500sq/m Swan Shopping Centre in Yardley.
This compares to a relatively healthy 276,000sq/ft of construction seen in 2011 – although this figure was skewed by the giant 176,500sq/ft Westfield Stratford City.
That picture should improve in 2013 with nearly 170,000sq/m of new space coming onto the market, principally through Trinity Leeds (75,900sq/ft), New Square in West Bromwich (43,900sq/m) and the Whiteley Shopping Centre (27,900sq/m).
In their report Cushman & Wakefield noted: “Development is expected to continue at a restrained pace for the foreseeable future, which will impact on retailers’ choice. However, while selected retailers are expanding, on the whole occupiers remain cautious against a backdrop of sluggish retail sales and low consumer confidence. Demand is likely to remain selective, with interest focused on regionally dominant shopping centres; further polarization between prime and secondary schemes is expected.”
Scotland has one of the highest densities of Gross Lettable Area in the UK, currently running at 300sq/m per 1,000 inhabitants, behind the north east with 360sq/m of space but well ahead of the south west, east midlands and Wales where the equivalent figure is just 200sq/m
Top 5 UK malls by floorspace
Gateshead MetroCentre 189,400sq/m 1986
London Westfield Stratford City 176,500sq/m 2011
Manchester Trafford Centre 168,100sq/m 1998
London Westfield London 161,500sq/m 2008
Liverpool Liverpool ONE 151,400sq/m 2008
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