On the Europe buy list
Recent weeks have seen several notable transactions in both the in-town and out-of-town retail sectors across Europe, with shopping centres in central Europe a particular focus. Buyers are seemingly taking the view that the retail sector in that region offers good prospects for the medium term. And for every buyer, there is a seller who has achieved his strategy for the asset or who is persuaded by the price being offered and believes that the money can be recycled into another productive asset.
According to DTZ, shopping centre acquisitions will be at the forefront of retail investment in Europe this year. A new European retail investment volume record of €52 billion is expected in 2015, “driven by an improving European economic environment, growing capital flows targeting the region and strong demand for the retail sector among investors.” The firm points out that almost half of all single-sector property funds currently being raised have a retail investment premise.