PROPERTY TIMES ROMANIA RETAIL H1 2015

At the end of June, Romania’s modern retail stock exceeds 3 million sq. m. Most of the retail stock is represented by shopping malls – 60%, followed by retail parks – 25% and commercial galleries – 15%. Two shopping centres were completed in H1 2015, having a total GLA of 117,000 sq. m: Mega Mall in Bucharest and Coresi SC in Brasov.

The modern retail space density per 1,000 inhabitants in Romania is 151 sq. m. Bucharest, with a retail stock of 1 million sq. m, currently has 537 sq. m of modern retail space per 1,000 inhabitants.

Retail sales have increased in H1 2015 by 4.8% when compared to the same period last year. This performance was boosted mainly by food sales (food, beverages and tobacco), which overall have increased by 11.5% y-o-y. Non-food sales have remained relatively stable y-o-y.

Main FMCG retailers continued to enlarge their network, Profi being the most active, with 40 supermarkets and proximity stores opened. On the hypermarket segment, Kaufland, Auchan and Carrefour expanded their local network with 1 unit each. At the end of H1 2015, Kaufland is operating 103 hypermarkets in Romania, Auchan’s local hypermarket chain has 33 units and Carrefour operates 28 hypermarkets.

Fashion retailers’ expansion strategies have been aimed at existing projects with proven performances. Moreover, along with the opening of Mega Mall and Coresi SC, a series of fashion retailers have enlarged their network. Throughout H1 2015, Inditex was the most active fashion retailer. The Spanish group opened 10 new units, reaching at the end of June a network of 108 stores. The second active fashion retailer was the Polish group LPP, with 6 new stores opened. At the end of H1 2015, LPP was operating 21 stores in Romania.

Throughout H1 2015 new retailers’ interest towards Romania has been strong. Consequently, a large variety of new brands have entered the market. Bucharest remains the main destination for opening a store in Romania.