Industry Analysis & Industry Trends
Strong investor appetites for retail property and its relatively high yields have contributed to an increase in capital values. This trend has been driving growth in the Residential Property Operators industry over the past five years. The retail property market has been steadily regaining the ground lost after a disastrous period following the global financial crisis. However, retail property operators are battling many of the same enemies that the retail sector faces. Poor consumer confidence, competition from online retailers and an oversupply of retail property are among the key challenges. While vacancy rates have improved over the past five years, this has largely been due to the use of leasing incentives and low rental prices... purchase to read more
Industry Report - Industry Key Buyers Chapter
IBISWorld estimates that the four largest operators account for less than 40.0% of industry revenue. The remainder of the Retail Property Operators industry consists of individual investors, property syndicates and smaller property groups and trusts. This indicates that the market is not dominated by any individual company, but is driven by many different players.
Concentration had been slowly increasing over the 2000s. However, the advent of the global financial crisis affected the market. The market share of the four largest players fell significantly, before rebounding as the economy stabilised. Concentration is expected to grow over the next five years as borrowing costs remain low, and improving balance sheets improve firms' appetites for mergers and acquisitions... purchase to read more