Modern retail stock in Poland reached almost 13 million m² by December 2015, of which 9.3 million m² (71%) consisted of shopping centres, followed by 3.5 million m² for retail parks and warehouses and 200,000m² for outlet centres.
With a shopping centre density of 241m² per 1,000 inhabitants, Poland remains above the European average level of 202m² but under the Western European level of 262m².
According to Anna Wysocka, head of retail agency at JLL, 2015 saw the delivery of 650,000m² GLA, signaling a strong year for the retail market in Poland with further growth to come: “Currently, 566,000m² of retail space is under construction with shopping centres accounting for 94% of this number. Furthermore, we recorded an increase in retail sales and positive GDP results. The level of purchasing power and increasing awareness among Polish people regarding the significance of brands is influencing decisions regarding market debuts and expansions.”
A significant number of interesting projects were launched in 2015, with pipeline developments underway in major Polish agglomerations such as Warsaw, Poznań, Wrocław and Tri-City. In Warsaw, a construction permit has been obtained by one of GTC's flagship investments – Galeria Północna (64,000m²) located in Białołęka while administrative works are being carried out at Galeria Wilanów (61,000m²), GTC’s second project. Its development is scheduled to be launched in 2016.
In terms of retail formats, large shopping centres continue to dominate in major cities while local centres and convenience-type schemes are predominant in smaller cities. Developers more rarely decide to develop retail parks. Outlets are very popular with Warsaw's three outlet centres all performing well. Furthermore, new outlets are under construction, such as Metropolitan Outlet Bydgoszcz.
A significant trend includes the expansion of non-shopping offer within shopping centres. The range of restaurant, entertainment and cultural amenities are growing in importance and shopping centres are beginning to play a significant role in local communities by taking over non-commercial functions. The best example here is the opening of a library in Forum Gliwice (Biblioforum) and an amphitheater scheduled to be developed in Centrum Skałka in Tychy.
Furthermore, omnichannel sales are developing alongside the expansion of online shopping. In addition, there is a trend involving the development of services and shopping offers in transportation hubs such as railway stations and airports. Revitalization, remodelling and expansion of existing projects continue to be an important trend on the Polish retail market. This is the owners and Property Managers' response to the aging of buildings, growing competitiveness and the constantly changing expectations of clients. Furthermore, high streets are now developing and providing extensive restaurant and fashion offer.
“The next few years will be very active in terms of the new retail stock – numerous large projects will enter the market with Galeria Północna and Galeria Wilanów in Warsaw being prime examples. Furthermore, we expect to see more debuts of new brands on the Polish market. Their presence will positively refresh and diversify the retail offer. We have a great deal of work to do regarding the tenant portfolio, but in this area Poland has positive development prospects. Nevertheless, Poland still lacks brands such as Debenhams, American Apparel, Uniqlo, Urban Outfitters and Primark, which are popular in other countries, or Kidzania – entertainment and education theme parks for children”, added Anna Wysocka.
