City sales up despite Dundrum centre
According to the Dublin City Business Association (DCBA), footfall on Saturday was ahead of the previous Saturday and of last Thursday when the Dundrum Centre opened.
The €650 million shopping centre has attracted dozens of retailers from the city, and foreign companies like House of Fraser and Harvey Nichols.
However, DCBA chief executive Tom Coffey says his members were unafraid of competition and believed the opening would be good for all retailers. He said sales in Dublin city centre were up by about 4% this year.
"The normal rule of thumb in a shopping centre internationally is that after three years 30% of retailers are gone. Many of them are on short leases," Mr Coffey says.
He added it was more likely other shopping centres in Dublin, and not the city centre, would suffer from the opening of Dundrum. A number of shopping developments are planned for the city centre, which will boost sales.
The Ilac Centre on Henry Street is being refurbished and Arnotts also have plans to add to its huge shop after taking over the former Independent newspaper plant on Abbey Street two years' ago.
However, these developments are on the north side of the city. Grafton Street, Dublin's main shopping district on the south side, is not doing as well. It has seen a number of retailers close down or relocate in recent months.
Grafton Street has lost the upmarket men's fashion retailer FX Kelly, children's clothes shop Gymboree and a branch of the video game chain GAME in recently. Rents are just over €4,100 per square metre a year the fifth highest in the world.
Mr Coffey believes potential occupiers are turned off by high rents.
He said many corporate pension funds were buying the properties as 'trophies' and deterring retailers.
US designer Tommy Hilfiger plans to open its first shops in Ireland soon, but none will be on Grafton Street.
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