ECONOMYNEXT – Retail real estate growth in the Sri Lankan capital Colombo has not kept pace with growth in retail sector demand, according to property consultancy Jones Lang LaSalle.
There is a gap of nearly 2.0 million square feet, according to a presentation by the consultancy at the ‘Sri Lanka Retail Forum 2017’.
By 2018-19, this gap is likely to reduce to 0.7 million square feet, with 8-10 retail mall developments being completed, the forum, organized by Sri Lanka Retailers Association which operates under the aegis of the Ceylon Chamber of Commerce, was told.
Most of the existing stock and future supply of retail real estate is concentrated in the Colombo 2 and 3 municipal wards.
Jones Lang LaSalle said Colombo’s retail market is expected to grow at a reasonable pace owing to rising disposable incomes and tourism expenditure.
And there are opportunities for developers to capitalise on the overall lack of quality retail space in the city, they said.
(COLOMBO, Sept 19, 2017)