Retailers 'still active' in Dublin property market, despite declining sales

A new report shows retailers in Dublin are buying and selling property, in spite of a decline in sales.

Property consultants CB Richard Ellis says many retailers are making entry and expansion decisions, to capitalise on the attractive deals available in the current climate.

This is in spite of recent findings from the Central Statistics Office that show consumer sentiment is still weak, with retail sales declining for 39 consecutive months.

The property consultants are however warning that there remains huge uncertainty about Government proposals to review rent review mechanisms in all business leases.

“The retail sector in Ireland remains very challenging," said Michael Harrington of CB Richard Ellis.

"While the underlying economic situation will continue to impact severely on discretionary spending for the foreseeable future, the outlook for prime shopping centres and the main high streets in Dublin is considerably better than many provincial and secondary schemes and locations.

"We are encouraged by the fact that there are many new entrants considering locating here and that many retailers are continuing to purse expansion plans but frustrated to some extent by the length of time it is taking to conclude transactions at present.”