'We are in the middle of the largest development boom Europe has ever seen in terms of shopping centres,' Neville Moss, head of European retail research at Jones Lang LaSalle, has said during the PropertyNL Retail Forum in Amsterdam last week.

'We are in the middle of the largest development boom Europe has ever seen in terms of shopping centres,' Neville Moss, head of European retail research at Jones Lang LaSalle, has said during the PropertyNL Retail Forum in Amsterdam last week.

Russia and Turkey will account for one third of all new shopping centre space to open in the European market in 2007-8, Moss said. Over five million m2 of new space was completed across Europe in 2006. Russia was far and away the most active market - adding 36 schemes totalling 1.4 million m2. Italy was second in the rankings with 610,000 m2 and Spain third on just under 600,000 m2 of retail space, followed by Germany, Turkey and Poland.

Citing a recent JLL shopping centre report, Moss noted that Russia will remain market leader in terms of opening new shopping centre space. 'Despite the huge level of activity in 2006, Russia is still trailing most of Europe's mature markets in terms of total stock. However, this is going to change in 2007-8 when some 4 million m2 of retail space is to open in Russia,' he said. Developers and retailers who have concentrated up to now on Moscow are beginning to branch out into the regions. Ikea is leading the way with its Mega Mall schemes.

In Turkey, some 26 new schemes opened in 2006 and a further 60 projects, 2.2 million m2, over the next two years will propel Turkey up the rankings to second place behind Russia, Moss said. Strong economic figures and lack of existing stock are driving the shopping centre sector forward in Central and Eastern Europe (CEE). 'CEE GDP growth may come in a bit going forward but it will still stay above 5%,' Moss commented. 'And retail sector is driving growth. Russia, Bulgaria, Romania and Slovakia will top the chart with 8-10% retail growth'.