RESEARCH
THE shopping centre sector looks to be heating up again after hitting a cyclical low in 2023, with investment activity forecast to pick up by 50%...
According to CBRE’s latest Australian Shopping Centres research report, shopping centre investment activity is anticipated to grow by circa 50% between 2023 and 2025...
“Private capital has opportunistically and strategically dominated investment activity, while institutional capital has essentially sat on the sidelines during this period of...
“Global institutional investors have slowly re-entered the Australian market primarily via domestic managers, a trend we see increasing over 2024, along with...
“The relatively high returns and recalibration in values for high-quality assets are simply too compelling, reinforced by market-adjusted income streams and...
“The lack of recent and forecasted competing supply has also been a key contributing factor to asset performance and investor demand.”...
Mixed-use redevelopment opportunities were also highlighted in the report, including assets like building apartment towers and more broadly centres that...
CBRE research is forecasting retail sales to grow by $500 billion by the end of the decade, supported by population growth, jobs growth and income growth...
“Future supply of shopping centre developments is expected to be less than half of the historical average over 2024-2028 and we anticipate further vacancy rate...
E-commerce on the other hand is expected to see continued growth in the next few years, forecast between 13% to 15% from 2024 to 2027...
In response to ongoing e-commerce penetration, shopping centres have successfully become more defensive assets, with 94% of centres now having at least...
“Retail categories that relate to looking good, feeling good and travelling well have taken an extra 20% share of wallet over the past two decade,” added Chopra...
“Our data also shows that occupancy cost ratios (OCRs) have declined over the past five years. For categories such as women’s fashion, café/restaurant and mini-majors...