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Sign in Sign up for a FREE subscriptionStrong retailer expansion demand in Asia Pacific amid slower sales growth
Despite slower retail sales growth in Asia Pacific, retailers are displaying resilient expansionary demand across most categories, with about 76 percent of surveyed brokers reporting leasing inquiries from retailers seeking new setups, expansion and upgrading, indicating appetite for more space, according to CBRE’s October 2024 APAC Retail Viewpoint.
Regional retail rents increased 0.3 percent year-to-date in first half 2024, backed by upbeat leasing demand for prime locations. Retailers have turned far more selective toward potential sites as they prioritize the consolidation of resources and focus on the most profitable locations, narrowing their interest to a smaller basket of prime assets.
“Retailers are displaying a robust appetite for expansion, with many seeking to re-establish their presence in core locations,” said Vivek Kaul, head of retail, Asia, Advisory and Transactions Services for CBRE. “The disconnect between slowing retail sales and