THE PANDEMIC ACCELERATES CHANGES IN RETAIL SECTOR
New opportunities can be attractive especially for convenience centres and retail park developers.
A
s restrictions in physical stores eased, total retail sales in May were 14.9% higher than in April. At the same, time e-commerce sales dropped from 11.9% in April to 9.1% of total retail sales. Although the development of e-commerce in Poland is now very much a fact, traditional retailing is still the most popular choice for Polish customers. The outbreak
Joanna Tomczyk, Senior Research Analyst, JLL
of the pandemic in March highlighted the challenges that the market, both in Poland and internationally, has been facing for a long time. It is not only about the need to increase the activity of retail chains in e-commerce and omnichannel, but also about seeking out new sales formats and location types that will allow brands to attract new target groups”, comments Anna Wysocka, Head of Retail Agency, JLL. “The outbreak of the pandemic has certainly slowed construction activity. Nevertheless, in H1 2020, developers in Poland completed nearly 148,000 sqm of retail space in largescale projects1. Nearly 77,000 sqm of that volume was delivered in Q2 2020. Undoubtedly, one of the highlights not only of this half-year, but for the whole of 2020, was the opening of the long-awaited Elektrownia Powiśle in Warsaw”, explains Joanna Tomczyk, Senior Research Analyst, JLL. At the same time, Sukcesja shopping centre in Łódź and four Tesco stores (in Gorzów Wielkopolski, Piastów, Leszno, and Puławy) were closed. Currently, the total under-construction volume of retail space to be completed by either 2020 or 2021 totals nearly 490,000 sqm. However, some opening dates may be pushed back. “An interesting trend, despite the ongoing pandemic, is the continuation of the rapid development of convenience centres2. By the end of H1 2020, almost 40,000 sqm in 13 projects entered the Polish market and some 73,000 sqm is still under construction. This proves that smaller centres 1
GLA>5,000 sqm Schemes with GLA between 2,000 and 4,999 sqm
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Autumn 2020
The Warsaw Voice
