More conversions and higher prices. This combination is what made a double-speed recovery in shopping centers in the European market, with sales already exceeding 2019, but with flows lower than before the pandemic.
According to a report by the real estate consultancy Cbre, prepared from the 147 shopping centers it manages in the continent, Sales of complexes grew by 5% in the first quarter relative to the same period in 2019.
Sales have already recovered to pre-pandemic levels by the end of 2022, with a slight increase of 1% compared to 2019. Among the categories that improved the best were, together with specialists, restaurants and accessories, sports retail, which recorded a growth of 13%. Fashion stores, for their part, increased their turnover by almost 4%.
Sales in Cbre shopping centers in Europe increased by 5% compared to 2019
Through the complex model, experience centers are the fastest to recover from pre-Covid levels and are already 11% above. you Medium-sized parks follow far behind, with 5%, compared to 2022 the ones that have improved the most are the complexes in the city center, where the impact of the pandemic has been prolonged over time due to teleworking.
However, the number of visitors decreased by 7%, a trend that is being replicated in all markets. The reduction would have been greater if not for medium-sized parks, which continued to show the greatest stability with a reduction of only 2% compared to 2019.
On the other hand, the biggest decline was recorded in city center complexes and shopping centers without entertainment. In year-over-year terms, all types of centers increased their attendance.
This offset can be explained by two factors: on the one hand, by the increase in conversion, a trend that has already started to occur during the pandemic and due to the greater planning of visits to shopping centers. For another to the effect of inflation, which causes each purchase to be, on average, higher than four years ago. In the European Union as a whole, the inflation rate stood at 10.4% at the end of 2022.
Inflation contributed to the increase in sales last year
For their part, both rent and service fees increased, on average, 5% year-on-year, and the availability rate, at 6.7%, is on line in 2022 and close to pre-Covid-19 levels.
The consultant also highlighted that The majority of store openings, 75%, are concentrated in just four categories: restaurants, specialty retail (such as pharmacies, telephone or health), fashion and services.
Cbre operates a total network of 281 shopping centers and retail parks in twenty European markets with a total of eight million square meters of surface area. In Spain, the company manages 33 complexes.
