Positive thinking at Mapic
Published: 19 November, 2010
Delegates at this year’s Mapic conference and exhibition in Cannes, France, are thinking positively about the future of the retail property market for the first time since the recession.
Michael Green, chief executive at the BCSC, described market conditions as buoyant and said: “There’s a feel good factor this year. Numbers are up and there are a lot of deals being done.”
Similarly Stephen Springham, retail research partner at King Sturge has spoken of the “winds of change” and believes 2011 will be one of the most exciting years for retail property.
There was also a hint of caution at the conference with many conceding that there are still challenges - including the VAT increases - ahead.
Rob Hargreaves, associate director at Savills, said: “Retailer’s expansion plans are encouraging but for now it seems to be that they’re looking for five stores here or five stores there.
“A lot of retailers are frustrated that they can’t get space - it’s not easy and there needs to be a shake-up but ultimately this puts pressure on rents.” According the Hargreaves, fashion brands Coast, Oasis, Warehouse and Karen Millen are talking about doubling up and sharing units.
Charles Miller, head of retail at King Sturge, added: “We need to show growth and get development back on track – it’s a stumbling block but people are looking to come into the market.”
And there is also talk of public and private partnerships. “We need to create the next opportunity,” said Miller. “Gone are the days when people can build through friction. Two or three years ago there was a certain arrogance in the market but that’s come off now and people are looking for solutions.”
