The construction of retail parks in Ukraine is becoming increasingly popular among developers due to lower investment costs, faster returns, and minimized risks. Unlike traditional shopping malls, retail parks offer favorable conditions for all market participants.
This is reported by Business • Media
Advantages for Buyers and Retailers
One of the main advantages of retail parks for suburban residents is their convenient location — stores are within a 15-minute reach, significantly reducing shopping time. Retailers, in turn, benefit from lower rental rates and service fees, as well as flexibility in planning retail spaces, making this format particularly attractive for business.
Economic Efficiency for Developers
For developers, building retail parks is significantly more profitable, as such facilities require less investment, do not need complex engineering solutions, and additional security measures. Moreover, retail parks are usually single-story and lack common areas, which simplifies operation and reduces project costs. According to analysts, the payback period for investments in retail parks is 6-7 years, which is twice as short as for classic shopping malls.
“This is a line of stores, meaning connected boxes, entrance groups on the facades, and parking. Here, you spend 2.5 times less on construction than on a shopping mall,” emphasized the director of UTG, Yevgeniya Loktionova.
Rental fees in retail parks are noticeably lower than in shopping malls, amounting to only 5-7 US dollars per square meter, which further enhances the attractiveness of this format for tenants.