Retail is not dead
Regionally dominant shopping centres still offer an attractive value play, says Justin Curlow, global head of research and strategy at AXA IM – Real Assets.
There has been a build up of increasingly negative sentiment toward the retail sector in Europe. But this is lazy thinking, in Curlow’s view, especially when all retail assets, regardless of their operational performance and other potentially compelling fundamentals, including location, are being tainted by the same brush.
AXA IM believes that retail is far from dead. Consumers will continue to shop, but in a different manner, and brands that are able to adapt to the new “omni-channel” retail model will end up in a stronger financial position, making them viable credit tenants for retail landlords. This increasingly complex reality of the new retail environment emphasises physical retail formats that cater to