Shopping centres are being ‘taken over by budget retail properties’
Budget retail investment properties are taking over shopping centres, findings have shown.
People who think they have seen more budget retail investment properties cropping up in shopping centres have not been mistaken, as the cheaper shops are proving popular in this economic climate.
There has been a spurt in the number of pound stores opening up in the UK in response to consumers’ demand for bargains at a time when most families are feeling the pinch.
Retail consultant TrevorWood Associates has released data that shows the value shops are moving away from the high street and into malls.
Poundland, Peacocks and Greggs were found to be the fastest growing cheaper shops, with the three brands opening up many more property developments in malls since 2008.
It is thought that the collapse of Woolworths has helped encourage this growth, with consumers choosing Poundland as an alternative to the everyday homeware, clothes and gifts store. After woolworths disappeared there was an increase of 23% of budget stores looking to buy business premises in London.
Senior partner at TrevorWood Associates Trevor Wood, said: “Retailers and shopping centre owners are simply providing what the public wants.”
Fashion followers will also have noticed that there are more Peacocks and H&M stores in shopping centres now too.
These two are both among the top ten fastest rising shops, but New Look – also known for its inexpensive clothing line – achieved the best results, having the most number of stores in UK shopping centres compared with any other chain.
This research suggests that there could be more businesses for sale in the pipeline for value stores, as the country continues to face tight financial conditions.
For despite the threat of redundancy and pay freezes, people are still reaping the benefits of shopping.
And researchers from the National Health Research Institute in Taiwan have suggested that retail therapy can actually improve the wellbeing of shoppers.
This is likely to encourage more people to go shopping in cheaper outlets so that they can maintain the “social and mental benefits” without breaking the bank.