Demand for large retail space in the UK is declining as retailers become more cautious, according to two of the UK‘s largest property firms.
The Crown Estate recently pulled out of a £75 million extension project to Exeter‘s Princesshay shopping centre after stating businesses had become too cautious to commit to the space.
“Unfortunately, in the current market, many retailers and restaurateurs are now more cautious about making new commitments, particularly in proposed developments, which take time to build and therefore require a commitment several years ahead,” the property firm said on Monday.
Elsewhere the landlord responsible for London‘s iconic shopping destination Carnaby Street said that demand for retail space had plummeted as economic and political uncertainty continue to grow.
Demand for smaller retail space has reportedly remained consistent, yet demand for larger flagship spaces had waned such as Shaftesbury‘s Thomas Neal‘s Warehouse in Covent Garden.
Shaftesbury announced earlier this month that it would transform the space, which has remained vacant for over a year, into a “blank canvas” for a flagship retail space.