One in Four of All Retail Sales in Europe Occur in Shopping Centres

NEW YORK--(BUSINESS WIRE)--Nearly a quarter of all retail sales in Europe are estimated to occur in shopping centres; according to a study conducted by the European Shopping Center Trust and the International Council of Shopping Centers, Inc. (ICSC). The newly released study entitled: The Importance of Shopping Centers to the European Economy identifies, in great depth, ten key reasons why shopping centers are important to the European economy. [Editors note: for the executive summary, please go to: www.icsc.org/web/EuropeanSummary.pdf and enter the following login: 1177584 and Password: press2002pass.]

Shopping centres serve a number of important roles for consumers, retailers, investors and policymakers. The study documents the economic impacts on jobs, investments and an array of other significant measurable statistics regarding European shopping centres.

Among the reasons shopping centres are important to the economy, the study says, is sales. According to the study, consumers spent €1,110 per capita at European shopping centres in 2006, and that shopping centre sales accounted for approximately €500 billion in 2006; these sales are projected to increase by about €200 billion by 2017.

The study reveals that one of the reasons shopping centres are so important to the European economy is quite simply the increasingly large number of them across the continent, especially in the U.K., Italy, France and the Netherlands. The study actually identifies about 5,700 “traditional” shopping centres in Europe in 2007, these centres account for over 111 million square metres of gross leasable area (GLA) -- that is retail space leased to tenants/retailers.

According to the findings, the industry has grown significantly over the last few years as GLA in Europe has increased by about 40 million square meters since 2000; especially in the EU-accession countries (Bulgaria, Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Romania, Slovakia, Slovenia) where 130 new projects are planned between 2006 and 2009, nearly doubling the amount of centres in these countries.

Moreover, the study refers to shopping centres as an intricate part of the European economy as the industry directly employs four million workers across Europe. There is also an estimated 45,000 European construction jobs resulting from shopping centre development in 2007.

ICSC will release the study, in conjunction with the European Shopping Centre Trust, in time for ICSC’s European Conference; taking place in Amsterdam, RAI, The Netherlands on 16-18, April 2008.

The study says the ten key reasons why shopping centres are important to the European economy are:

1. Consumers depend on shopping centres

2. Europe has about 5,700 shopping centres

3. Pipeline of shopping centre projects is large

4. Retailers depend on shopping centres

5. European commerce depends on shopping centres

6. Shopping centres create and support millions of jobs

7. Shopping centres are a catalyst for non-retail development and

area regeneration

8. Shopping centres respond to changes in consumer tastes and needs

9. Shopping centres respond to societies' needs

10. Shopping centres are an investment-grade asset

About the European Shopping Centre Trust

In 1998; when ICSC Europe was integrated into ICSC, it was decided to place the funds of ICSC Europe into a Trust for the benefit of the European shopping centre industry.

The main objective of the trust is to provide financial support for educational or research projects which are pan-European, and are considered to be of benefit to the European shopping centre industry.

About ICSC

Founded in 1957, ICSC is the premier global trade association of the shopping centre industry. Its more than 75,000 members in 96 countries include shopping centre owners, developers, managers, marketing specialists, investors, retailers and brokers, as well as academics and public officials.