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 Retail Property Operators industry over the past five years. However, retail property operators are battling many of the same enemies that the retail sector faces. Fluctuating 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 is expected to have been due to the increasing use of long-term leasing agreements.
Industry revenue is expected to grow at an annualised 11.1% over the five years through 2016-17, to reach $24.4 billion... purchase to read more
Industry Report - Industry Key Buyers Chapter
The Retail Property Operators industry is highly fragmented. The industry consists of individual investors, property syndicates and smaller property groups and trusts. This indicates that no individual company dominates the market, with the market instead driven by many different players. Consequently, the industry displays low market share concentration.
While overall industry concentration is low, it is much higher in the shopping centre property segment. This is unsurprising, given the large investment required to develop and manage a shopping centre that may house over one hundred retailers. Competition between the big A-REITs is fierce. Some specialise in retail property, while others invest in commercial property or commercial and industrial property... purchase to read more