The pace of new shopping center construction space is slowing across Europe. Cushman & Wakefield writes that 23 percent less shopping center retail space was completed in 2017 across Europe. Instead, investment is pouring into the improvement of existing malls. The trend is being mirrored in the Czech Republic, even if just 19 of the country’s 98 shopping centers have undergone reconstruction. Of the 98, 62 are at least 10 years old and 17 of them (representing 45 percent of all retail space 10 years and older) has been reconstructed, including Centrum Černý Most, Centrum Chodov, Olympia Brno, OC Nový Smíchov, Futurum Ostrava a IGY Centrum České Budějovice.
“The slow-down in the development of shopping centres in Europe is particularly the case in Western Europe’s more developed market, but also in the CEE region. Instead, many schemes are undergoing revitalisation. If the centres are to retain their existing customers, attract new ones and extend and improve the time they spend inside, then well-designed, high quality space with a large share of services (e.g., post office, medical care, realtors…) and experience concepts (e.g., entertainment, educational, gastro…) set within an attractive architectural interior design are a must for owners,” says Jan Kotrbáček, Partner and Head of the Retail Agency team at Cushman & Wakefield CEE.
