Transforming retail and commercial real estate in the battle for the consumer / MarketMedia Conference
The high level of the supply of retail premises in St Petersburg – about 430 m2 per 1,000 citizens – and a decline in consumer demand are slowing down the launch of new development projects. Retail property continues to demonstrate high levels of rotation of tenants. In near future, the bulk of investments will be made in projects involving the reconceptualization and redevelopment of retail facilities rather than in new construction. Retail facilities are competing more vigorously with one another, against a backdrop of changing consumer traffic and a significant growth in revenues of retailers in online stores.
How can developers anticipate the affect of the changing model of consumption of city dwellers and requirements for city-based commercial facilities on the part of retailers, restaurants and logistics companies? How are the requirements transformed for successful projects in the city’s commercial property? Which development projects and solutions are becoming sought after by tenants and investors? How can the advantages of projects be monetized and the costs be reduced? Which projects can compensate shopping malls for the reduction in rented retail areas by omnichannel retailers in a situation when retail chains are consolidated?
To discuss these and many other issues MarketMedia held a conference in St Petersburg on 27 July entitled “Transforming retail and commercial real estate in the battle for the consumer”. Leading experts from St Petersburg in commercial real estate and retail were invited to participate in the event.
The conference consisted of two sessions dedicated to retail and trading real estate in St Petersburg, as well as to multifunctional retail shopping centres. Arina Dovzhenko, Counsel in our Real Estate and Construction Practice, moderated the first session and discussed with attendees how the St Petersburg government’s policy is implemented in the sphere of the development of the consumer market. Also touched on were the prospects of further development of the retail sector, the consolidation of retail networks, the growth of revenues of online retailers and the increase of the investment attractiveness of the sector.
Aleksei Gribanov, Head of our Intellectual Property and Information Technology Practice, spoke during the first session and discussed the risks and opportunities to work with personal data and big data in retail.