Regional Malls Market Riyadh, Riyadh Retail Real Estate Market - Ken Research - PowerPoint PPT Presentation

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Regional Malls Market Riyadh, Riyadh Retail Real Estate Market - Ken Research

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The report covers current and future retail demand and supply on the basis of gross leasing area. Retail mall categories along with their annual rental rates have also been presented in the report. In addition, current and future supply gap along with upcoming retail projects have also been showcased in the report. – PowerPoint PPT presentation

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Title: Regional Malls Market Riyadh, Riyadh Retail Real Estate Market - Ken Research


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Riyadh Retail Real Estate Market Outlook to 2021
Ken Research
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The report titled Riyadh Retail Real Estate
Market Outlook to 2021 - Oversupply and Downward
Stress on Rental Rates to Trigger Cautions
Outlook provides a comprehensive analysis of the
retail real estate sector in Riyadh. The report
covers current and future retail demand and
supply on the basis of gross leasing area. Retail
mall categories along with their annual rental
rates have also been presented in the report. In
addition, current and future supply gap along
with upcoming retail projects have also been
showcased in the report. This report will help
industry consultants, real estate and
construction companies, potential entrants and
other stakeholders to align their market centric
strategies according to the ongoing and expected
trends in the future.
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Introduction Evolution of the retail sector has
transformed the Kingdoms landscape from small
unorganized retail outlets and line shops to the
development of large scale shopping malls with
international brands, entertainment zones and
world class hypermarkets. The primary reason for
this trend is because retailers have realized the
higher footfall from regional and super regional
malls as a result of integrated spaces and shift
in consumer shopping experience towards leisure
and entertainment. Retail Demand and Supply
The total retail supply in Riyadh inclined from
million square meters during 2012 to million
square meters of gross leasing area during 2016,
registering a CAGR of during the same period.
Conversely, total occupied retail space inclined
to million square meters of gross leasing area
during 2016 from approximately million square
meters during 2012, achieving a CAGR of during
the same period.
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The labor ministry signed an agreement to allow
women to work at lingerie shops, thus increasing
employment and income level of Saudi women in the
retail sector. Apart from the rising tourism in
Riyadh, more domestic households opting to stay
within the country during vacations have resulted
in higher retail earnings. Saudi Arabian General
Investment Authority (SAGIA) had announced during
2015 to allow 100 foreign ownership in retail
businesses. This move is expected to increase
demand for retail space by international brands
in the coming years. Retail Mall Categories
The retail real estate market in Riyadh
comprises of various small and large scale
developmental projects. Retail mall categories
comprise of regional, super regional and
community centers. Super regional and regional
malls accounted for nearly of the overall
retail supply in Riyadh during 2016. Conversely,
community centers comprise of standalone retail
outlets, supermarket and hypermarket and have
accounted for of overall retail supply in the
city during 2016.
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Average Rental Rates The rental rate charged by
mall developers varies across different mall
categories in Riyadh. It is evident that rental
rates for regional and super regional mall are
much higher in comparison to community centers
and stand alone stores because of better
location, potential to get international brands
and reputed anchor stores to the mall and robust
infrastructure facilities. Within these regional
and super regional malls however, rental rates
differ based on area, location within the mall
and brand power. The annual average rental rate
increased to a high of SAR per Sq M during 2015
from SAR per Sq M during 2012. However, downward
pressure on rental rates caused this figure to
decline to SAR per Sq M during 2016. Future
Retail Demand and Supply The total retail
supply in Riyadh is estimated to incline to
thousand Sq M of GLA by 2021 from thousand Sq M
during 2016, registering a CAGR of during the
same period.
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Conversely, retail demand is projected to augment
from thousand Sq M during 2016 to thousand Sq M
of occupied space by 2021, achieving a CAGR of
during the same period. Saudi Vision 2030 with
respect to feminization in the retail sector has
targeted women participation in the workforce to
increase from the current 22 to 30. Increased
female participation in the retail sector will
positively impact and will lead to increased
number of female owned businesses coupled with
higher spending power. Increasing retail supply
along with a slow conversion rate is expected to
cause retail oversupply to reach thousand Sq M.
of gross leasing area by 2021. Key Topics
Covered in the Report Ksa Real Estate
Market Riyadh Retail Real Estate Market Overview
of the Retail Real Estate Market in Saudi
Arabia Upcoming Shopping Malls in Riyadh Factors
influencing the sector of retailing in Saudi
Arabia
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  • Real Estate Companies Malls Riyadh
  • Retail Demand-Supply and Supply Gap Analysis in
    Riyadh
  • Regional Malls Market Riyadh
  • Rental Rates Super Regional Malls Riyadh
  • Retail Mall Categories and Average Retail Rental
    Rates in Riyadh
  • Ksa Retail Real Estate Market
  • Factors Affecting Retail Supply Riyadh
  • Future Retail Demand-Supply, Supply Gap Analysis
    and Key upcoming Malls in Riyadh City
  • Shopping Centres in Riyadh
  • Rental Rate Regional Malls Riyadh
  • Riyadh Supermarket Hypermarket Industry
  • For further reading click on the link below
  • https//www.kenresearch.com/manufacturing-and-cons
    truction/real-estate/riyadh-retail-real-estate-mar
    ket/122993-97.html

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Related Reports by Ken Research https//www.kenres
earch.com/manufacturing-and-construction/real-esta
te/qatar-real-estate-market/112182-97.html https
//www.kenresearch.com/manufacturing-and-constructi
on/real-estate/philippines-real-estate-market-rese
arch-report/29319-97.html https//www.kenresearch
.com/manufacturing-and-construction/infrastructure
/bouwinvest-real-estate-investment-management-bv/1
15221-97.html Contact Ken Research Ankur
Gupta, Head Marketing Communications query_at_kenre
search.com 91-124-4230204
9
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