Retail to be blurred with last-mile hubs and senior housing
There is a growing consensus that a significant blurring will occur between retail and other real estate sectors. But how will the mixed-use concept manifest itself in European shopping centers?
For Volker Kraft, managing partner at retail specialist firm ECE Real Estate Partners, city center shopping centers are set to become the No. 1 choice for last-mile delivery hubs.
Speaking at Institutional Real Estate, Inc.’s Visions, Insights & Perspectives (VIP) Europe conference in Barcelona, Spain, on Feb. 13, Kraft said shopping malls already have the infrastructure in place to easily convert some of their spaces into pure logistics facilities. “Plus, if I take our portfolio of shopping malls in Germany, we can reach 56 percent of the population within 30 minutes — and 75 percent of the population in 45 minutes. This is last mile,” said Kraft.
“Many retailers, due to better logistics chains, don’t use their basement storage spaces to the extent that