Poland’s five retail market highlights in Q1 2019
At the end of the first quarter of 2019, there were 510 shopping centres in Poland with a total area of nearly 12 million sqm, while 433,000 sqm are currently under construction. Summarising the first quarter of 2019, Colliers International experts selected the five highlights of the retail market:
One year with the Sunday tranding ban
A year has passed since the Sunday trading ban was introduced. Owners of shopping centres and their tenants as well as individual businesses report declines in traffic and turnover. According to the Retail Institute, in 2018 the number of visitors to the 120 shopping centres surveyed decreased by 1.9 percent compared to 2017, which translates into 7.23 million fewer customers. The sectors most affected are health and beauty, services and gastronomy.
Bankruptcies and closures are taking place in the Polish market and we are noting the sale of retail chains. In the current quarter, the New Look chain has announced that it will withdraw from the Polish market. CCC group, the Polish footwear producer and leader in the Polish market, has taken oven Gino Rossi. While Gastromall Group has taken over shares in the Makarun Spagetti&Salad chain. Furthermore, Helios S.A. has signed a letter of intent with Food for Nation, the owner of Pasibus burger restaurants.
The new Towarowa 22 multifunctional project was presented at MIPIM 2019. Echo Investment plans to build a complex with a total area 230,000 sqm GLA in the Wola district of Warsaw. The investment envisages the construction of a shopping centre with nearly 60,000 sqm GLA, a similar amount of office space, a theater, a festival cinema, cafes and restaurants, a hotel, apartments and green areas.
New tenants in Blue City
The first Helios cinema and a TepFactor theme park have opened in Warsaw’s Blue City shopping centre. The cinema offers eight comfortable screening rooms (including the 3 Dream) equipped with high-end sound and projection equipment. TepFactor is the first unique team entertainment zone in Poland, consisting of 25 rooms with electronically controlled obstacles that test physical strength, logical thinking, patience, dexterity and teamwork skills.
New outlet in Silesia
Silesia Outlet (phase I), the second outlet centre in the Silesia province has opened nearby Auchan in Gliwice and the Leroy Merlin DIY store. Silesia Outlet has a total area of 12,000 sqm and offers 60 stores from well-known Polish and international brands. The centre has fashion, footwear, sports and furniture stores. Neinver is responsible for managing the centre.