York stakes place in top five retail hotspots
YORK has featured as one of the top five most healthy retail locations in the UK.
DTZ’s Retail Property Health Index (RPHI), which identifies the most and least healthy retail locations in terms of changing economic, socio-demographic, and retail characteristics, sees the Yorkshire city ranked at number four, featured alongside Surrey, Oxfordshire, Brighton & Hove, and Inner London (West).
The RPHI uses historic and forecast economic data for population, unemployment and consumer spending amongst others.
In addition demographic data about the relative affluence of households is used. Retail characteristics include the volume and type of floorspace, vacancy rates and competitiveness defined as the proportion of available and attracted retail sales spending.
The report also forecasts that the North / South retail divide is set to narrow as the economic recovery broadens and owners and occupiers’ appetite for regional assets increase.
Commenting on the findings Jonathan Rumsey, DTZ’s sssociate director for retail market analysis, said: “The RPHI data excludes retail parks and therefore clearly shows how the improving economic outlook and rising consumer confidence is now being reflected in a revival of the high street. In-town and shopping centre vacancy rates are falling and while this has yet to translate into retail rental growth outside of London, we fully expect to see firmer rents as the economic recovery becomes more sustained across the UK.
“Retailer requirements are also changing. Increasingly they are favouring larger units which provide greater opportunities to display stock and retain shoppers for longer through leisure or experiential areas in prime locations. Retailers are increasingly utilising smaller format stores for click and collect.”
Richard Yorke, head of UK research at DTZ, said: “The effects of economic recovery on the retail property market is still presently concentrated in the South East which has seen growth in consumer spend and retails sales underpinning vibrant retail recovery. However this is changing. As the economic recovery broadens, the variance in forecast economic indicators between the regions is reducing, closing the gap between North and South.”
