PMR report: Shopping centre development heating up in Romania and Bulgaria. Poland still attractive
Central Europe is experiencing a boom on the shopping centre market, and this situation will continue in the next few years. According to the PMR report “Shopping Centres in Central Europe” , Romania and Poland will add the most substantial amount of shopping centre space in 2008-2009, 1.5 m m² and 1.1 m m² respectively. At the same time, these countries also hold the largest shares as a proportion of the overall amount to be invested in shopping centres launched during the years in question. Whereas, according to PMR, in total, Central Europe is to see €3bn invested in schemes opened in 2008, Romania alone will account for €1.2bn (40% of the total amount for Central Europe). In 2009 shopping centres worth €2bn are due to open in the country.
Because of underdevelopment and small bases, Slovakia and Bulgaria, where much less new GLA will be added in absolute values (some 0.5 m m² in total will be added in each of those countries between 2008 and 2009), are expected to see significant year-on-year growth in both GLA supply and the amounts invested. For Bulgaria this would mean that shopping centre GLA would grow by more than 350% between the end of 2009 and the end of 2007. Shopping centres due to open in the two countries in 2009 are expected to be worth 600% more than a year before in Bulgaria and close to 800% in Slovakia.
GLA on the rise across the entire region
According to the PMR report, combined space to let in shopping centres in Central Europe came to 7m m² at the end of 2007, and by the end of 2009 the market will see growth of 60% to more than 11m m². This is being prompted mainly by rising incomes in the Central European countries in addition to improving retail sales and very strong demand for retail space.
Poland is the most developed country in terms of shopping centre GLA. In 2007, it accounted for 50% of total shopping centre supply in the region, and was followed by the Czech Republic (16%), Hungary (15%), Romania (10%) and Slovakia (7%). Bulgaria with only seven malls in operation at the end of 2007, brought up the rear with a 2% share. However, according to Malgorzata Machnicka, Head Retail Analyst at PMR, with regard to the booming markets, particularly those of Romania and Bulgaria, this pattern will soon change, with Romania taking second position in terms of GLA in Central Europe in the very near future. “Romania is rapidly making up for lost time and is already witnessing development of larger and more complex projects,” she adds. It is worthy of note that average shopping centre GLA in operation in Romania (some 37,000 m²) exceeds that of the overall region (30,680 m²).
However, Romania is still significantly underdeveloped. According to PMR, the average shopping centre GLA/1,000 inhabitants in Central Europe – 76 m² in 2007 – was exceeded only by the Czech Republic, Hungary and Poland. Bulgaria (16 m²/1,000 inhabitants), Romania (33 m²) and Slovakia (87 m²) were lagging behind. Of the capitals in the region Warsaw took pride of place with almost 600 m² of GLA per 1,000 inhabitants and was followed by Prague and Bratislava.
It is worthy of note that, whereas large cities in Poland, Hungary and the Czech Republic are gradually reaching saturation, this does not make these countries less attractive for the construction of shopping centres. There is still a substantial amount of space in medium-sized towns of 100,000 people, particularly in Poland. At the same time, shopping centres developed in the largest cities are becoming more central or more extensively developed. The fourth generation of shopping centres, which includes office and hotel buildings, has appeared recently in Poland (Zlote Tarasy in Warsaw and Manufaktura in Lodz, the largest shopping centre in the Central European region). Interestingly, the Polish market is soon expected to see the appearance of a fifth generation of shopping centres, which will be accompanied by residential areas, schools, kindergartens, etc.
More on the way
The construction of shopping centres is set to continue apace in the region. By the end of 2011, taking into account projects announced for construction in mid-2008 and to be completed by the end of 2011, there will be some 450 shopping malls in operation in Central Europe, according to PMR. Romania alone would account for 80, an increase in comparison with 20 at the end of 2007. Pipeline projects in the country include three malls with GLA in excess of 110,000 m². All of these will be located in the capital and will, after completion, become the largest in the region, overtaking Poland’s Manufaktura and Arkadia.
More information on the report:
tel. /48/ 12 618 90 20
PMR (www.pmrcorporate.com) is a publishing (www.pmrpublications.com), consulting (www.pmrconsulting.com) and market research (www.research-pmr.com) company providing information, advice and services to international businesses interested in Central and Eastern Europe. With highly skilled staff, top ranked web sites and over ten years of experience, PMR is one of the largest companies of its type in the region.
ul. Supniewskiego 9, 31-527 Krakow, Poland
tel. /48/ 12 618 90 00, fax /48/ 12 618 90 08
This release was published on openPR.
Permanent link to this press release:
Please set a link in the press area of your homepage to this press release on openPR. openPR disclaims liability for any content contained in this release.
You can edit or delete your press release PMR report: Shopping centre development heating up in Romania and Bulgaria. Poland still attractive here
News-ID: 57425 • Views: 753
More Releases from PMR Publications
Russian retail market recovered after the economic slowdown
Retail markets in all Russian Federal Districts increased in 2010 by total $80bn In 2010, Russian retail market recovered after the economic slowdown observed in the previous year and increased by 12.6% to RUB 16.4tr ($541bn). However, the latest PMR report „Retail in Russia 2011 – Regional focus. Market analysis and development forecasts for 2011-2013” shows that particular regional retail markets still reveal differences in their development due to their unique
Construction output in Poland up by 10% in 2011
The forthcoming year 2011 can be a breakthrough year for the construction industry in terms of construction output. Provided that the winter weather conditions are relatively favourable, the 2011 average annual growth rate can be up to 10%, driven by large civil engineering projects and major improvement in the building construction sector. According to a report prepared by research company PMR, which is entitled "Construction sector in Poland, H2 2010 -
Russian construction industry recovers after the downturn
For the first time this decade, in 2009 the construction industry in Russia, which was severely affected by the global economic downturn, shrank in comparison with the preceding year. In the current year, a recovery has begun, prompted by the numerous projects supported or directly funded by the government. In the next few months, growth in the construction industry will be driven by the civil engineering and residential construction subdivisions
Retail market in Russia to grow by almost 10% in 2010
The growth rate of the Russian retail sector dropped severely last year due to worsening economic conditions, weakening purchasing power growth and the depreciating rouble. As a result, the retail market's value increased by only 5% in 2009 after several years of roughly 25% annual growth. Nevertheless, the situation has improved this year, and the retail market is expected to once again reach double-digit growth rates in subsequent years. According to
More Releases for Central
What's the next big thing in the Central Lab Market ? Covance(Labcorp), Eurofins …
Pharmaceutical companies are seeking for ways to reduce cost of development and manufacturing their products. Central lab services are one of the most commonly outsourced services by these companies. Apart from reduced cost, the use of central labs also accelerates the drug development process. Central labs are generally fully outsourced by pharmaceutical and biopharmaceutical companies. Many CRO’s have become interested in central lab services, since they provide bundled services that
New multi-channel central warehouse for Puma
Frankfurt am Main, 05.03.2019. Construction of a state-of-the-art multi-channel central warehouse in Geiselwind, Germany has begun for the sports company Puma. Miebach Consulting supported Puma in the tendering process, the awarding of contracts as well as in the concept review through simulation and now accompanies the implementation phase as sub-project manager for intralogistics. The new warehouse is scheduled to go into operation at the end of 2020. The European distribution center
Central Sutton Aesthetic Dentistry
Central Sutton Aesthetic Dentistry are experts at creating a calm and welcoming environment, a vital factor in any dental clinic looking to provide the best possible experience for their patients. The dentist in Sutton Coldfield, situated only a three-minute walk from Gracechurch Shopping Centre, has been established there for over 30 years. The practice has become extremely well-versed in providing only the highest standards of dental care. This experience combined
Central Vacuum Supply for Efficient Cheese Packaging
DMK Deutsches Milchkontor GmbH produces sliced cheese and Mozzarella at its production facility in Georgsmarienhütte, Germany. The various types of sliced cheese and Mozzarella blocks are vacuum packed after processing in several packaging lines. The vacuum supply for the packaging machines is provided by a Busch centralised vacuum system, which supplies both the packaging lines and the thermoforming machines. DMK Deutsches Milchkontor GmbH one of the largest dairy companies in Germany,
Celebrate Taiwan @ Grand Central Terminal
Sep 18th 2013, New York - Taiwan Tourism Bureau Office in New York partners with the Smithsonian Museum to promote Taiwan culture with a “Celebrate Taiwan @ Grand Central Terminal” event on September 28, 2013 from 11AM to 2PM for “Museum Day Live!”. The Grand Central Terminal is one of Manhattan’s most famous attractions, and is a part of the U.S Beaux Arts Wonder architectures. Recently, Taiwan Hsinchu Railway Station
The Grand Hotel Central Reopens
Its Sky Bar, Barcelona’s Most Luxurious Viewpoint The good weather arrives and the Grand Hotel Central Barcelona and welcomes the reopening of the Sky Bar, as every summer, with its magnificent viewpoint-terrace. This year it has been expanded with new lounging area and a renewed illumination. Its spectacular panoramic views, its stylish and cosmopolitan atmosphere and good chill out music make this pool bar one of the most amazing places in