Small retailers with equity have an opportunity

Thursday, April 30, 2009

Small retailers who have access to equity might have an opportunity in places where rents are considered too low for major developers.

Written by David Roberts

Small retailers could find a number of opportunities in the current market as a result of the challenges faced by developers, it has been claimed.

John Burton of Westfield London Shopping Centre said in his British Council of Shopping Centres' breakfast lecture that there are many towns across the country where zone A rents were too low for developers.

However, he said that this could provide opportunities for smaller firms that are priced out major retail spaces, reported Property Week.

"There is a big opportunity for small independent retailers with access to equity rather than debt," Mr Burton said.

However, he said that these firms might need some assistance until the first rent reviews.

Developers of a major new retail centre in Aberdeen have said that once the planning and development is completed, there will be an additional 1,000 jobs created for the region.

The Union Square complex will feature shops, restaurants and a hotel.

Source: ask-re The Property People LLP