Modern retail stock outside Bucharest reached 2.3 million sqm, says DTZ

At the end of 2016, the modern retail stock outside Bucharest reached 2.3 million sqm. Shopping centres account for about 60 per cent, while retail parks and commercial galleries represent 34 per cent and seven per cent from the total retail stock, according to a research conducted by real estate consultant DTZ Echinox.

2017-01-26 15:38:35

The first six cities by number of inhabitants, Cluj-Napoca, Timisoara, Iasi, Constanta, Craiova and Brasov, considered primary cities, have a modern retail stock aggregate of 923,000 sqm, representing 40 per cent of the existing stock outside Bucharest.

"This concentration of retail projects in large cities with high purchasing power is normal, but we also see development potential in smaller cities," said Bogdan Marcu, partner retail agency DTZ. "We observe that some retailers have begun to turn their attention even to cities with 30-40,000 inhabitants, who until recently were not of interest to them. If the economy keeps the positive trend, we expect that in the next three to four years each town of over 30,000 inhabitants to have at least one commercial gallery covering the basic needs of modern retail."

According to DTZ, a total of 140,000 sqm of modern retail spaces were delivered throughout 2016, divided between several projects.

The largest project delivered was Shopping City Timisoara - phase II, with a total GLA of 41,000 sqm, followed by Shopping City Piatra Neamt, with 28,000 sqm GLA and Mercur Craiova, project with a rentable area of 15,000 sqm. Additionally, City Park Mall in Constanta and Coresi Shopping Resort in Brasov were extended with 21,000 sqm and 14,000 sqm.

For 2017, approximately 130,000 sqm are expected to be delivered. The largest project announced is Ramnicu Valcea Mall, a project with a total GLA of 28,000 sqm. More than 60 per cent from the total projects under construction or planned to be delivered in 2017 are shopping centres.