Retail body issues warning amid reports of rising high street rents

Retail Excellence Ireland has sounded a note of caution following the release of a report suggesting that improving consumer confidence has led to strong demand for retail space and subsequent rent increases.

A report released yesterday by property consultants, Savills Ireland indicated that a combination of improving consumer sentiment and improving retail sales has resulted in rising retail rents in highly sought-after urban locations. This, the report claimed, was being driven by a shift in employment structure as part-time jobs are being made permanent in light of a deepening recovery.

“Improving sentiment and sales have seen demand for retail space rise significantly, with competitive bidding for prime properties becoming commonplace. This in turn has led to rental increases in prime locations,” said Savills chairman Larry Brennan.