In recent years, we have witnessed the construction of retail parks around a number of large cities. Entrepreneurs decided that this is a profitable investment and continue to build similar format shopping centers. This is the new fashion that replaces the fashion with the malls, analysts comment.
The trend is also confirmed by real figures. From January until now, four new sites with a total of 15,000 square meters of modern commercial space have started operating in our country.
„The segment of retail parks in Bulgaria is still relatively new against the background of the markets in Central and Eastern Europe. This is also one of the reasons for the serious dynamics we are observing. In addition to the purely quantitative development, I believe that we will also witness a qualitative one – with the introduction of new formats similar to the developed markets in Europe," commented Georgi Muhovski, deputy manager of the "Commercial areas" department. at Cushman&Wakefield Forton.
While in our country the mix of tenants mainly consists of classic retailers such as fashion and shoe stores, furniture, electronics, in Europe the trend for cinemas, co-working spaces, restaurants and hotels in retail parks is already a fact.
The four sites that started working since the beginning of the year have only partially opened, and by the end of the year they will bring an additional 18,000 square meters to the market, according to the company's data. By the end of March 2024, the total volume of commercial parks in Bulgaria reaches 536,000 sq. m.
Total opening in the quarter in retail parks and malls decreased significantly to around 20,000 sq m from 58,000 sq m in the fourth quarter of 2023. Nearly 75% of this space was opened in retail parks .
In the second quarter, retail parks are expected to pick up the pace compared to the previous three months. The opening of three new sites is planned.
Rents in shopping malls in Sofia in the first quarter of 2024 reach EUR 39/sq.m. m. A slight increase in these indicators is also observed in the retail parks in Sofia – rents there reach 11.5 EUR/sq.m. m. Changes in this segment are not expected within the next few quarters.
You can see detailed statistics on average property prices in Bulgaria by cities and neighborhoods HERE