Albanian Sees Growing Competition in Retail Space

Tirana Jan. 5, 2008 (AE) –A new shopping mall, City Park Tirana, commenced leasing, rising concerns on growing number of projects for new shopping centers could “create excess in supply side”, insiders from the market told AlbanianEconomy.com.

“The City Park project will include a shopping center of 39,000 m2 (419,800 sqft), a food court, an electronics superstore and an international hypermarket. It is scheduled to open in the second half of 2009″, according to Colliers International the real estate leasing agent for the project.

City Park Tirana, will increase Tirana’s current retail market inventory by 74 per cent.

“Such projects will increase retail market inventory to 250,000 SQM, and that is dizzy”, the biggest shopping center in Albania “Qendra Tregtare Univers” said in a press release last year, when it saw for first serious competitors, Casa Italia, entering in the market.

“The latest expansion of QTU and the upcoming opening of City Park Tirana will increase the supply side pressure on the retail market prices. As a result, the prices are expected to decrease slightly although the demand for retail spaces will remain high”, said Colliers International in an market review early this year.

QTU realized revenues of USD 47 million during 2007, mainly from its food courts Euromax. Euromax, the first retail chain in the country was brought by Delta D.O.O of Serbia for 29 million euro in 2008. Currently there are 55,000 SQM of space in seven shopping centers in Albania.

Short URL: http://www.albanianeconomy.com/news/?p=1462

Posted by editor on Jan 5 2009. Filed under Banking & Finance, Business, Economy, Invest-Inform, Kosovo, Top News. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry