The shopping centre sector showed an impressive growth of cross-border transactions in 2007 comprising 70% of total transactions in the first half of the year compared to 30% in the same period four years ago. 'The increase demonstrates the ongoing desire by investors to build up European portfolios,' commented Nick Axford, head of EMEA Research & Consulting, at the presentation of the European Shopping Centre Digest 2007 at the Mapic retail fair in Cannes this week.
The shopping centre sector showed an impressive growth of cross-border transactions in 2007 comprising 70% of total transactions in the first half of the year compared to 30% in the same period four years ago. 'The increase demonstrates the ongoing desire by investors to build up European portfolios,' commented Nick Axford, head of EMEA Research & Consulting, at the presentation of the European Shopping Centre Digest 2007 at the Mapic retail fair in Cannes this week.
According to CB Richard Ellis, European investment volume in shopping centres totalled EUR 997 mln during the first half of the year, about the same as 2006. Volumes rose significantly in the UK, Germany, Italy as well as in most countries in Central and Eastern Europe, driven by further growth in cross-border acquisitions.
In terms of performance, the retail sector outperfomed the other real estate sectors last year in eight of the 15 European countries covered by the report. For the second year in succession, France and Ireland generated the highest returns (24.9% and 20.5% respectively). The lowest returns in 2006 were generated in Germany (4.9%) and Switzerland (7.8%).