Prime Shopping Centre Rents Europe Map 2009

The complete view

November 2009

Prime Shopping Centre Rents in Europe

2,000

UNITED KINGDOM

2,000

RUSSIA

1,600

FRANCE

1,450

BELGIUM

1,050

PORTUGAL

950

ITALY

1,000

POLAND

1,000

CZECH REPUBLIC

1,000

AUSTRIA

1,000

NETHERLANDS

900

SWEDEN

850

FINLAND

850

HUNGARY1,050

ROMANIA

1,000

TURKEY

1,250

GERMANY

1,000

SPAIN

Prime Shopping Centre Rents in Europe

In response to the rapid expansion in the European shopping centre investment market over the last five years (with transactions in Europe peaking in 2007 at €24.5 billion) we present our shopping centre rental map, prepared in co-operation with many of the largest shopping centre owners and managers in Europe. Jones Lang LaSalle’s Shopping Centre Rental Map illustrates current market conditions across a range of European countries, giving an at-a-glance view of prime shopping centre rental levels together with short term growth prospects. Price comparison is important whether filling your shopping bag or investing in shopping centres.

The highest prime shopping centre rents in Europe are recorded in Russia and the United Kingdom, where they stand at €2,000 per sq m per annum. Due to the limited availability of prime retail space in many shopping centres across Europe, the outlook for prime rents in most European markets is stable despite the inevitable slowing of demand from occupiers over the last 12 months. However there remains downward pressure on rents in a few markets, including Hungary, Romania and Spain. In general, the dynamic face of retailing and continuing demand from new retailers for prime shopping centres, together with active management opportunities should continue to go some way in shielding the best schemes from the generally challenging occupier conditions.

Key

* Prime Rent – Shopping Centre Prime Shopping Centre Rent represents the open market net rent that could be expected

for a notional ‘standard’ shop situated in a prime major regional shopping centre as at Q3 2009. The rent quoted reflects a standard unit of 100 sq m (except in France, Portugal and the UK where the unit reflects 200 sq m).

Our view on prime shopping centre rent* (€/ sq m per annum) is based on rental values received from the shopping centre owners and

managers listed below together with Jones Lang LaSalle’s retail experts. All data has been reviewed subjectively and in relation to the basket of prime rents received.

Maximum rental decline

Rents falling

Rents stable

Maximum rental growth

Rents growing

Outlook for the next 6 months

We would like to express our gratitude to our partners in this initiative – Europe’s major shopping centre owners and managers.

##,##

Contacts

Chris PowellDirectorChairman EMEA RetailLondon+44 (0)20 7318 [email protected]

Jeremy EddyDirectorEuropean Retail Capital MarketsLondon+44 (0)20 7399 [email protected]

James DolphinDirectorEuropean Retail AgencyLondon+44 (0)20 7852 [email protected]

Liselotte TiemensmaAnalystEuropean Retail ResearchLondon+44 (0)20 3147 1178 [email protected]

www.joneslanglasalle.co.uk

COPYRIGHT © JONES LANG LASALLE IP, INC. 2009. All rights reserved. No part of this publication may be reproduced or transmitted in any form or by any means without prior written consent of Jones Lang LaSalle. It is based on material that we believe to be reliable. Whilst every effort has been made to ensure its accuracy, we cannot offer any warranty that it contains no factual errors. We would like to be told of any such errors in order to correct them.