Retail leasing activity in Asia Pacific remained stable in Q2 2017 despite reports of weaker enquiries in some markets.
F&B retailers continued to spearhead leasing demand this quarter. India saw a wave of relocations following the recent ban on liquor being served in hotels and restaurants within 500 m. of national highways.
Shopping malls continue to upgrade their tenant portfolios and implement measures to enhance the shopper experience. Some malls have been revamped to include a stronger entertainment focus or repositioned to target younger shoppers.
The slow recovery in consumer demand will continue to constrain retailer demand for bricks-and-mortar stores, particularly at a time when many groups are allocating more CAPEX to technology and marketing to drive growth.