As a pan-European investment manager specialised in retail property, it is our business to identify those markets that contribute to the success of the retailer – and thus to our own success and that of our investors. Over the past years location selection has become ever more important. Location risk has leapt up the agenda as e-commerce is changing the retail landscape at an astonishing speed.
Through cooperative ventures with like-minded investors who share our values and corporate governance qualities, we are looking to invest across the risk return spectrum in property ranging from High Street retail assets in major European cities to dominant out-of-town retail parks and shopping centres in or near dominant retail destinations. Our investment decisions are based on a well-substantiated view fuelled by our in-house Research & Strategy team combined with the local knowledge and expertise of our teams on the ground.
Redevco’s view on market attractiveness
To develop succesful investment strategies a solid view on the most attractive cities for our business is required. During the past three years, Redevco has carried out extensive research to develop its City Attractiveness Model which now ranks 806 European cities in terms of attractiveness for High-Street investments.
Redevco’s view on the impact of e-commerce
It is also our task to understand the developments in the retail landscape, enabling us to adapt our property offerings to the needs of our retail clients. We combine knowledge and insights of experts from different departments within our company. In addition a significant amount of research is carried out to determine the impact of e-commerce on retail real estate and help us to understand the pace of change.
Our most recent consumer study: Changing Consumer Behaviour – The Impact of Online Shopping on Shopping Trips, confirms that the Internet is becoming a key driver of the intensifying “experience and convenience” market polarisation trend and creating a ‘retail state of mind’ that is increasingly impacting retailers and investors. Consumers have shifted their ‘retail state of mind’ from a need-to-buy towards a need-to-enjoy. As shoppers become much more demanding in what they expect of shopping venues and surrounding environments, Redevco needs to ensure that its investment choices address their needs in a more holistic way, factoring in local trends and the relative attraction of cities as retail destinations. The online study surveyed nearly 14,000 consumers in April and May 2016, roughly equally divided between the UK, Germany, France, the Netherlands, Belgium and Spain, by age cohorts and by gender.