Shopping center tenant revenues grow 9.2% y/y in 2023

In 2023, the turnover of tenants in Polish shopping centers increased by 9.2% compared to 2022, according to the Polish Council of Shopping Centers.

Most new retail developments are in smaller cities, with 65% of new retail space opened from June to December 2023. Current projects focus on small facilities with rental space under 20,000 sqm GLA. Retail parks accounted for 83% of all new projects, with 62% of the spaces under 10,000 sq. m.

No plans exist for developing or expanding centers over 60,000 sqm, though one facility (40-59,000 sqm) is undergoing expansion. Retail space under construction is 317,000 sqm, with 270,000 sqm expected to be completed in 2024.

In 2023, retail stock grew by 424,000 sqm, a 30% increase from 2022. Shopping center footfall is gradually returning to pre-pandemic levels, with some turnover exceeding historical data.

Source: PAP