Bannon forecasts key property management challenges to address in 2024

/in , , , ,

Commercial property managers face new challenges in 2024. These challenges need to be addressed using knowledge, expertise and technological innovation. As the economic, social, and technological spheres evolve, property managers are forced to look at what measures can be implemented to ensure the smooth operation of commercial spaces.

Based on industry data and expertise, the Bannon Property Management team forecast 6 key challenges for 2024:

Economic uncertainty: 

The global economic volatility has impacted businesses and the real estate industry. Maintaining profitability and sustainability of commercial properties whilst navigating inflation, interest rate fluctuation, economic uncertainty and the aftermath of the COVID-19 pandemic, is a complex balancing act. Property managers play a vital role in offsetting these factors by implementing costs saving strategies and ensuring value for money for occupiers. It is also essential that property managers stay informed about market trends, fostering relationships and embracing technology for efficient operation of real estate assets.

Sustainability and Environmental, Social and Governance Compliance: 

In 2024 there will be a continued focus on environmental, social, and governance (ESG) criteria in the real estate sector. Property managers are tasked to implement sustainable practices, reduce carbon footprints and enhance energy efficiency in commercial properties. This is driven by both client goals and legislative requirements.  Solutions to meet these standards not only contribute to environmental conservation but also enhance the marketability of the properties. Bannon in partnership with sister company Evia has developed and implemented numerous complicated and effective ESG projects on behalf of clients to effectively deliver on these tasks in 2024.

Technological Integration: 

The rapid advancement of technology is transforming the way commercial properties are managed. Property managers are faced with the challenge of integrating smart building technologies, data analytics, and automation systems to optimize operations. This will involve significant investments in upgrading existing infrastructure and training personnel to harness the full potential of these innovations. Bannon collates and interprets a huge amount of data in relation to assets under our management. This data and its interpretation offer significant insight to Bannon when recommending projects to clients for individual asset maintenance, management and performance.

Remote Work Impact: 

The widespread adoption of remote work has altered the dynamics of commercial spaces. Property managers must respond to the changing demands for flexible office spaces, hybrid work models and the need for advanced digital infrastructure. Adapting commercial properties to meet the evolving needs of tenants in this new era of work will continue to be a crucial aspect of property management in 2024.

Rising Operating Costs: 

Escalating operational expenses, including property maintenance, utilities and insurance, pose a significant challenge for property managers. Balancing the need to keep costs in check while delivering high-quality services to tenants requires strategic financial management. Bannon is acutely aware of the impact high operating costs have on the attractiveness of assets from both an owners and occupiers’ perspectives. Cost management underpinned by value for money remains a key cornerstone of Bannon property management ethos.

Tenant Retention and Experience: 

With a competitive commercial property market, tenant retention is crucial for property managers. Providing a positive occupier experience, addressing concerns promptly, and fostering a sense of community within commercial spaces are vital to retaining occupiers and attracting new ones.

 

Commercial property managers continue to navigate a complex landscape. Successfully addressing the issues highlighted requires a proactive approach, strategic planning and a willingness to embrace innovation. As the real estate industry continues to evolve, property managers who can adeptly navigate these challenges will be well-positioned for success in 2024 and beyond. The Bannon property management has a proven track record in embracing and implementing best in class approaches. A certainty for 2024 is that this will remain the case.

 

Author:               William Lambe, Divisional Director, Bannon

Date:                  24th January 2024

 

Bannon Retail Pulse – December 2023

/in , , ,

Our final Retail Pulse of 2023 has just gone live. All in all, an exceptionally busy year for the team at Bannon and the Retail sector.

Neil Bannon concludes this Retail Pulse with a recap of 2023 and why there is reason to be positive when looking forward into 2024. The glass is always half full!

Finally, everyone at Bannon would like to wish all our clients and friends a very Happy and Peaceful Christmas. See you all in 2024!

To view the full report, please click here.

Active Retailer Requirements

/in , , ,

 

It has been a busy year for the Retail Agency Team and as 2023 begins to draw to a close, we start to look forward to 2024. Below we set out a sample of some of our Retail Acquisition Clients who have active requirements for further store expansion next year.

Please get in contact with Jennifer Mulholland, James Quinlan, Darren Peavoy, Lorcan Keenan, Daniel Murphy, Mark Hayden and Ali O’Gorman with potential opportunities.

 

Bannon Retail Pulse – November 2023

/in , , ,

In this publication our leasing team summarise some of the more significant recent transactions and Neil Bannon focuses on footfall levels on our two most prominent high streets, namely Grafton Street and Henry Street, where current activity has proved very much contrary to previously predicted bad news speculation. 

To view the full report, please click here.

MAPIC 2023

/in , ,

Our retail team are attending MAPIC, joining our colleagues at The International Retail Network (TIRN) stand.

Get in touch for a chat with James Quinlan, Darren Peavoy and Jennifer Mulholland on Irish Retail Opportunities. We look forward to seeing you there!

 

Swords Pavilions Shopping Centre at the Pakman Awards

/in , , , ,

Huge congratulations to Ian Hunter and the team in Swords Pavilions Shopping Centre on their win at the Pakman Awards. The team are now officially industry leading! The first shopping centre to win this award and a reflection of all the hard work in the centre.

 

Quayside Shopping Centre is named All-Ireland All-Star Shopping Centre of the Year once again.

/in , , , ,

Sligo’s Quayside Shopping Centre has once again earned the prestigious title of All-Ireland All-Star Shopping Centre of the Year, bestowed by the All-Ireland Business Foundation. This marks the fifth Business All-Star recognition for this esteemed retail destination.

As it enters its 18th year in business, Quayside Shopping Centre stands out for consistently upholding the highest standards of trust, commitment, performance, and customer centricity.

Located at the heart of Sligo Town, Quayside Shopping Centre boasts 400 customer parking spaces and an expansive 130,000 square feet of retail space across four trading levels. The centre encompasses 43 Retail Units, 12 Office Suites and 89 Residential units in total.

Distinguished by its unique combination of open streets and covered malls, Quayside Shopping Centre is meticulously designed to cater to the needs of contemporary retailers while ensuring that customers enjoy a relaxed, secure, and convenient shopping experience.

This All-Ireland All-Star Shopping Centre of the Year accolade elevates the company into an exclusive league of businesses that have achieved a remarkable five-time Business All-Star recognition.

Announcing the news of Quayside Shopping Centre’s achievement, Deputy Chair of AIBF’s Adjudication Board, Kieran Ring, said:

On behalf of the All-Ireland Business Foundation I am delighted to announce that Quayside Shopping Centre have achieved All-Ireland All-Star Shopping Centre 2023-2024. This accreditation is in recognition of the company’s outstanding contribution to quality and standards in the sector over the last 5 years. This accreditation recognises Quayside Shopping Centre’s conduct in the areas of trust, commitment, performance & customer centricity. Quayside Shopping Centre is hereby included in the AIBF Register Of Irish Business Excellence for the fifth consecutive year.

Reacting to the news of her company’s achievement, Quayside Shopping Centre Manager & Head of Marketing, Christine Dolan said:

‘On behalf of everyone working at Quayside Shopping Centre in Sligo, I would like to express our sincere gratitude and delight at being named as All-Ireland All-Star Shopping Centre of the Year for 2023/2024 including receiving Business All-Star accreditation for the fifth consecutive year. We are absolutely thrilled to hear that our centre has once again achieved such a prestigious title. This remarkable accomplishment is a testament to the dedication and tireless efforts of our exceptional team of retailers and staff who work here. We couldn’t be prouder of their commitment to upholding the rigorous standards set by the All-Ireland Business Foundation.

As an integral part of the vibrant community in Sligo, we take our role seriously and are committed to going the extra mile for our customers. While this accolade recognises our efforts, we want to emphasise that much of the work happens behind the scenes.

We are dedicated to continually improving the centre’s services and facilities, ensuring that each visit to Quayside is a remarkable experience. This recognition further inspires us to continue providing a top-tier shopping experience for our valued customers.’

Managing Director of the All-Ireland Business Foundation Kapil Khanna said: The accreditation, which is now held by over 650 firms, is needed by the thousands of small and medium businesses which operate to their own standards but have nothing to measure them by.

He said: We evaluate a company’s background, trustworthiness and performance, and we speak to customers, employees and vendors. We also anonymously approach the company as a customer and report back on the experience. The business goes through at least two interviews and is scored on every part of the process against set metrics.

About The All-Ireland Business Foundation

The All-Ireland Business Foundation is an autonomous national accreditation body tasked with enterprise development and the promotion of Best-in-Class Irish businesses.

As the accreditation body for the Business All-Star mark, the AIBF recognises Best-In-Class Irish businesses. Companies that merit recognition based on an independent audit of their performance, reputation, and customer-centricity.

 

Article Published by All Ireland Business Times 

 

Bannon Retail Pulse – October 2023

/in , , ,

In this publication our leasing team summarise some of the more significant recent transactions and Neil Bannon focuses on footfall levels on our two most prominent high streets, namely Grafton Street and Henry Street, where current activity has proved very much contrary to previously predicted bad news speculation. 

To view the full report, please click here.

Bannon Retail Pulse – September 2023

/in , , ,

We are into Q4 and our retail based trackers continue to show improving trends year on year. In our latest Pulse, Neil Bannon considers the question – What does inflation mean for retail rents?

To view the full report, please click here.

EXPO Real 2023

/in , ,

Neil Bannon and Roderick Nowlan are back at the international trade fair EXPO REAL (Messe München) connecting with experts, clients and friends in the real estate industry.

We look forward to seeing you there🤝

 

 

 

 

 

 

Bannon pass the torch for Property Picnic 2024 to Colliers

/in , ,

After two years at the helm of Property Picnic, and with more than €300,000 in donations raised from across the property industry for the benefit of Cancer Trials Ireland, the team at Bannon is to pass the torch to Colliers.

The now-annual event, which was started two years ago by Rod Nowlan and Lucy Connolly in memory of their late colleague, Louise Creevy (née Doherty), will be spearheaded in May 2024 by Michele McGarry and Caitríona Kirrane at Colliers. It will once again be hosted in Hibernia’s Windmill Lane event space, which caters for more than 650 guests. All events to date have been sold out well in advance.

Commenting on her hopes for next year’s fundraiser, McGarry said: “We at Colliers are really looking forward to taking over this important event and hope to build on the work done by the Bannon team to deliver another fun night for the industry, and most importantly raise funds for this excellent cause.”

Eibhlin Mulroe, chief executive of Cancer Trials Ireland, said: “We are overwhelmed at the love and loyalty of the Bannon group to their dear colleague, Louise Creevy. They have carried on her advocacy for clinical trials through their amazing Property Picnic. We are absolutely delighted that Colliers have decided to take up the mantle, and we are very grateful to Michele and the team.

Last year the funds raised by the property industry via Property Picnic went towards four investigator-led (doctor-led) cancer trials. These trials allow cancer patients in Ireland to avail of cutting-edge treatment that they could not otherwise have accessed, and at no cost to themselves or the State.

Article published by The Irish Times 

 

 

 

 

 

 

Completely Retail Marketplace 2023

/in , ,

The Bannon Retail Team at Completely Retail Marketplace today, meeting retailers and showcasing the positive story around the Irish Retail Market. Darren Peavoy, Jennifer Mulholland and Daniel Murphy

 

 

 

 

 

 

Harbour Place Shopping Centre in Mullingar

/in , , ,

Bannon was delighted to be appointed as property management and leasing agents for Harbour Place Shopping Centre in Mullingar earlier this year. Based in the heart of the Midlands, Harbour Place Shopping Centre holds special significance with many Bannon team members who are from the Mullingar area.

The Centre played a key role in welcoming over 600,000 people to the Fleadh Cheoil na hÉireann in August. The influx of visitors enjoyed access to a variety of retail outlets, restaurants and parking, all housed in the well-maintained Centre. Harbour Place Shopping Centre and Bannon were happy to support this wonderful event.

We look forward to continuing to work closely with the owners and centre management team to build on the shopping centre’s already strong presence within the community.

Bannon Retail Pulse – August 2023

/in , , ,

Our latest Pulse highlights a number of developments bringing new space to the market for the first time in over a decade and the opportunity for European retailers in the Irish market.

To view the full report, please click here.

Bannon Retail Pulse – July 2023

/in , , ,

Our latest monthly Retail Pulse has now gone live. In this publication our retail leasing team recap on activity at the half year point of the year. Separately in our “Expert Insight” section Neil Bannon looks at two differing perspectives relating to the performance of instore vs online retail. The devil is always in the detail!

To view the full report, please click here.

Retail parks, shopping centres and quality streets prove to be the biggest draw for investors

/in , , , ,

The second quarter proved to be a challenging period for the Irish capital markets sector, with a total value of only €333 million invested. This marks the weakest performing quarter (and half year at sub €1 billion) in the last six years.

This lacklustre landscape can be attributed to three key factors: the end of “free money” as interest rates rise and inflation runs rife, the post-Covid impact of remote and hybrid working on office space demand, and concerns surrounding necessary capital expenditures for ESG (environmental, social and governance) retrofitting amidst rising construction costs.

However, after years in purgatory, it is the retail sector that has emerged as the star performer this quarter, accounting for 38.7 per cent of turnover. Although this performance is partly supported by the downturn in other sectors, there is no doubt that a significant perception shift has occurred, particularly in the retail park segment.

Notably, six retail parks have traded this quarter alone amounting to approximately €116 million including Liffey Valley B&Q, City East, Blackwater, Carlow, Newbridge and Waterford.

The most high-profile of these, Liffey Valley B&Q, which traded to French fund Inter-Gestion REIM for €26.6m, has thrown off a particularly strong equivalent yield in the mid to late 5 per cent range for an asset with a lease that has less than four years to run. This process saw participants such as Realty, Corum and Iroko compete for the asset.

So, what has driven this remarkable change in fortunes?

The “newfound” popularity of the retail sector can be attributed to a slow but building appreciation for what have been long-standing dynamics in both the supply and demand side of the sector. These dynamics differ considerably from the UK and US markets, where Irish retail investor sentiment used to originate.

Unsurprisingly, that core of the demand has shifted to both domestic family offices and a more central European focus where an appreciation for the fundamentals has shown through.

Since 2011, when the last new shopping centre was completed in Ireland, there has been minimal net additional retail supply. This stands in stark contrast to the substantial expansion witnessed in the office, residential, and industrial sectors.

However, during this period, the number of people employed in Ireland has surged by 37 per cent, retail sales volumes have increased by 38 per cent, and Irish households’ net worth has reached new heights. These are all factors which feed the fundamental sustainability of the retail sector.

When considering the cumulative impact of debt reduction, increased savings, and rising house prices, Irish households are wealthier than ever before, with a net worth surpassing €1 trillion for the first time.

This surpasses the 2007 peak level of €716 billion, which was actually exceeded in the final quarter of 2017. Furthermore, Ireland’s gross debt-to-household income ratio has transitioned from over 200 per cent of the European average in 2011 to being below that European average today.

Combining these fundamentals with the historical correlation between inflation and the growth of retail rents and values, the renewed interest in the sector becomes apparent.

As highlighted by the turnover statistics, retail parks, in particular offer a compelling proposition. They benefit disproportionately from household growth and have proven resilient during economic downturns and the challenges posed by Covid-19.

Additionally, their ability to meet ESG requirements through initiatives like PV panels, rainwater collection, and other environmental measures adds value and attracts investors including new entrants. Similar attributes for high-street properties and grocery-led necessity retail are likely to see further interest in these sectors.

We expect to see numerous quality high-street trades in the third quarter and generally as the environmental benefits of the “centralised-distribution model” reflected by retail warehouses, shopping centres and Ireland’s key high streets becomes apparent.

We are seeing a complete return to pre-Covid footfalls for most the of the regional and necessity-focused schemes with Dublin’s two high streets hitting pre-Covid weekly footfall levels again for the first time last month.

As a consequence, we expect the sector to continue to outperform for the coming quarters with no less than seven shopping centres amounting to over €100 million in value due to trade within the next few weeks.

Rod Nowlan is an executive director at Bannon and heads up its office and capital markets team

As published in The Irish Times

The Impact of Ireland’s New Deposit Return Scheme on Shopping Centres

/in , , , ,

The retail sector in Ireland is preparing for the country’s new Deposit Return Scheme (DRS). Starting from February 1, 2024, consumers will be required to pay a small deposit (15c/25c) on plastic and aluminium beverage containers, which they can reclaim by returning the empty containers to designated collection points.

The DRS represents a substantial step toward achieving a more sustainable future. In line with the Single Use Plastics Directive, Ireland must ensure the separate collection of 77% of plastic beverage bottles placed on the market by 2025, with a further increase to 90% by 2029.

Many of the collection points will be located in shopping centres. While the primary objective of this scheme is to reduce plastic waste and encourage recycling, shopping centres will experience notable impacts on their operations and customer behaviours. One immediate consequence of the DRS will be the need for shopping centres to accommodate the significant increase in the volume of recycling. To effectively handle this increase, shopping centres will need to assess their existing infrastructure and make necessary adjustments. Proper management and maintenance of these areas in collaboration with recycling partners will be crucial to ensure a smooth and streamlined process.

With just over six months remaining until the implementation of the DRS, the Bannon Property Management Team is observing larger retailers in the firm’s shopping centre portfolio making preparations for in-store returns. While these changes may require initial investments and adjustments, the implementation of the DRS is likely to bring about positive changes in consumer behaviour, including increased footfall. The introduction of the DRS creates an added incentive for consumers to visit shopping centres. This increased footfall can translate into higher customer traffic, benefiting not only the recycling depots but also other retailers within the shopping centre.

By embracing this transition, shopping centre owners can demonstrate their commitment to environmental responsibility, attract socially conscious customers, and contribute to a greener future.

With over 25% of Ireland’s shopping centres under Bannon’s management, the firm is highly focused on implementing best practices that promote sustainability and reduce environmental impact while enhancing the customer user experience. If you would like more information about the DRS or discuss implementing sustainable practices in your properties, contact the Bannon Property Management Team today.

 

Author:               Alex Patterson, Director, Bannon

Date:                  13th July 2023

 

Bannon Retail Pulse – June 2023

/in , , ,

Bannon’s latest monthly Retail Pulse has now gone live.

In this publication we look at retail occupier activity on Henry Street & O’Connell Street and Neil Bannon discusses the juxtaposition of the vacancies created by Debenhams failure in Ireland and the UK.

To view the full report, please click here.

Rituals is now open in Athlone Towncentre

/in , , ,

It was super exciting to see Rituals open at Athlone Towncentre on Saturday. A great brand to further strengthen the Tenant mix.

For remaining leasing opportunities please get in contact with Jennifer Mulholland or Lorcan Keenan or our joints agents Cushman & Wakefield.

Lipstick Clothing now open at Nutgrove Shopping Centre

/in , , ,

We are pleased to have negotiated a new long term lease with Lipstick Clothing in Nutgrove Shopping Centre. Lipstick first opened in Nutgrove in 1984, it’s wonderful to see a brand stand the test of time after 39 years showing both the strength of the Centre, the retailer and their partnership together.

For further leasing opportunities please get in contact with Jennifer Mulholland.

Paul McNeive: Retail parks to benefit from new house builds across Ireland

/in , ,

Amid reports of a post-Covid hollowing out of city centres like San Francisco, and to a lesser extent New York and Los Angeles, as retailers suffer the effects of working from home, Ireland’s recovery is gathering pace, and by most measures is now stronger than it was pre-pandemic.

But Ireland too has a high reliance on technology workers, who may also be adopting hybrid working practices, so why is the Irish market performing better than the US, the UK, and many other markets?

I asked retail expert Neil Bannon, Executive Chairman at Bannon, and the first reason is that the US, for example, has six times more retail space per capita, than Ireland.

“Just imagine that we had another six Dundrum Town Centres, Liffey Valley’s, Blanchardstown Town Centres and six times every other shop in Dublin, and that is the scale of the over-supply in America,” he said.

In Ireland there has been no new shopping centre built since 2010 and no new retail park developed since 2007.

While our construction of new homes has been too slow, it has recently hit record levels, and this too, is driving demand.

There are just over two million households in Ireland, he told me, and the Housing for All Plan aims to produce another 300,000 new homes by the end of the decade.

‘In Ireland there has been no new shopping centre built since 2010‘

But there seems to be consensus that we need 500,000 new homes, which represents one new home for every four existing homes, “a staggering increase”, he added.

The impact of this growth is already being seen on Ireland’s 73 retail parks, 20pc of which are managed by Bannon.

Retail parks are the conduit for the overwhelming majority of spending associated with housing, Mr Bannon said – for example couches, TVs, white goods and floor coverings – with 85pc of sales taking place in store, according to Central Statistics Office figures.

“If every house in Ireland spends €2,500 annually on household goods, that’s up to €12.5bn of spend. If 500,000 new homes are built, and the average cost of kitting them out is €25,000, that’s another €5bn of expenditure,” he said.

One result is that Ireland’s retail parks are largely at full occupancy and rents are rising.

“We had expected some fall-off from the post-Covid DIY boom, but in fact, footfall and spending levels are stronger than pre-pandemic,” Mr Bannon said.

‘Ireland’s retail parks are largely at full occupancy and rents are rising.’

The most valuable retail park units were always those few with an ‘open user’ planning consent, permitting, for example, fashion retailers and not one that is just restricted to bulky goods.

However, a shift in the market is that furniture retailers are now out-bidding even open user retailers as evidenced by a deal just signed at Liffey Valley Retail Park where Danish brand JYSK has taken a 10,000 sqft unit plus mezzanine at a rent of approximately €25 per sqft.

That is, Mr Bannon notes, “a 40pc higher rent than pre-Covid”.

JYSK have taken half a dozen 10,000-15,000 sqft units in Ireland and continues to expand.

Another expanding brand that is already operating on several retail parks is EZ Living Furniture which also recently rented a 10,000 sqft unit plus mezzanine at Liffey Valley Shopping Centre.

It is not just the Dublin area as Limerick One Shopping Park has also seen new outdoor clothing and equipment retailer Mountain Warehouse recently lease a 7,000 sqft unit at approximately €28 per sqft.

The theme for the year ahead is “competition for space among brands and rising rents”, Mr Bannon concluded.

Article by The Independent

Vila store now open at Athlone Town Centre

/in , , ,

Fantastic to see the new Vila store now open at Athlone Town Centre.

It was a pleasure to work with our clients Alanis Capital to deliver this letting.

Further exciting new additions in the coming weeks and months ahead.

Bannon Retail Pulse – May 2023

/in , , ,

Bannon’s latest monthly Retail Pulse has now gone live. In this publication Neil Bannon shares some insights on what impact significant new housing supply will have on the retail sector.

 

To view the full report, please click here.

Music retailer HMV to return to Ireland with new Dublin store

/in , ,

HMV reopening in their original Henry Street store is great news for the Street! More new store openings to follow…

RTE News Article

 

Bannon Retail Pulse – April 2023

/in , , ,

Bannon’s latest monthly Retail Pulse has now gone live.

In this publication Neil Bannon discusses the up to date retail sales figures recently published by the CSO and how Irish consumers continue to confound predictions.looks at the stark decrease in the household debt to income ratio and what this might mean for the retail sector

To view the full report, please click here.

Bannon, a national agency with a local touch

/in , , , ,

The Bannon Property Management Team has continued its growth from 2022 with a number of new instructions across the island. Q1 of 2023 has started off on the same footing with a number of new hires across the surveying and accounts team.  Bannon now manages more than 1 in 4 of Irelands Shopping Centres & Retail Parks welcoming over 100 million customers every year. While the majority of our instructions are retail (Shopping Centres or Retail Parks), we also manage an increasing number of office buildings, most particularly in Dublin. This has required the team to focus on the sustainability aims of our clients and putting in place projects to achieve the goals.

The department has a 40-strong team of surveyors and accountants from 10 counties across Ireland. This is representative of the portfolio as we manage assets across all 4 provinces as we continue to grow our presence as a nationwide business.

The Bannon Head Office is based in Dublin, however, the firm adopts a hybrid working model for the Property Management Team. In several cases our surveyors live and work in the locality of the assets they manage.

The geographical spread of the Bannon portfolio and the surveyors who work with them, give us unique insights into the locality in which assets are located. Local knowledge is essential to ensure that the needs of local customers are met.

With recent instructions in Cork City and Cork County Bannon now has a major presence in the Cork market. This is in addition to new shopping centre management instructions in Waterford and Kilkenny.

If you want to talk to the Bannon team about managing a commercial property asset or are interested in joining Ireland’s fastest growing property management team, please check out www.bannon.ie.

 

Author:                 William Lambe, Divisional Director, Bannon 

Date:                     4th May 2023

 

Completely Retail Marketplace 2023

/in , ,

Bannon Retail Team having a productive day at Completely Retail Marketplace. A lot of meetings and discussions on the Irish Retail Market. Expecting some positive news on leasing activity.

James Quinlan, Jennifer Mulholland, Darren Peavoy

Retail sales grow in Dublin for eighth consecutive quarter

/in , ,

Neil Bannon comments ‘Another confirmation that the retail sector is defying gloomy predictions this time from Dublin MasterCard Spending Pulse. Sales are up YoY in all categories from Necessities to Entertainment. The data accords with results from the Bannon retail portfolio and indicates strong growth across the Country. Particularly interesting to see Household Goods holding onto and adding to the gains made in the pandemic with sales in the sector now 25% above where they were in Q 1 2020’.

Full Irish Times Article available here.

Dubray is now open on 39 Mary Street, Dublin 1

/in , ,

Another store acquisition on behalf of Dubray opened their doors this weekend on 39 Mary Street, Dublin 1.

Petstop opening at Blackrock Village Centre

/in , , ,

We are very much looking forward to the latest Petstop opening at Blackrock Village Centre which has an extensive range of pet foods and accessories for all pet lovers.

Understanding Sustainability of Income is Understanding Retail Assets

/in , , ,

At Bannon we analyse two types of sustainability, environmental sustainability attributes and the sustainability of an asset’s income. Sustainability of income is important as this considers the ability of the Occupier of the asset to pay rent to the Owner based upon the business they carry out in the building. Gaining an insight into this allows an Owner to understand whether they will maintain or improve income on the occurrence of lease events such as break clauses and expiries and also assess how solid or otherwise their income is in the context of market conditions and the implementation of asset strategy. The asset class that gives an Owner the greatest opportunity to use this analysis is retail where the performance of the business within the shop is directly relevant to the stability of income the Owner receives. 

Understanding the strength of the rental income by analysing the trading and commercial performance of the rent paying occupiers puts the Investor in the strongest position to negotiate and regear lease terms, react to market requirements and devise and implement strategic asset goals. Bannon carry out rental sustainability analysis for schemes utilising our depth of retail asset and occupier specific data. The occupier’s current position will be further validated by their wider commercial performance and the effect both macro and micro economic conditions may have on the occupiers and their ability to perform. 

The sustainable performance of an occupier is a key consideration for maintaining and forecasting income over the period of ownership. This gives our clients a clear advantage is assessing the value of an asset and looking at acquisition opportunities. The value of retail assets, especially shopping centres, has been depressed for some time despite their proven track record of producing strong predictable cashflows. Adopting sustainable rental analysis allows our client to see past the negative sentiment and acquire income producing assets at low cost when compared to other real estate investments. 

A comprehensive understanding on a schemes rental sustainability can inform decision making when devising and asset strategy and inform cashflow forecasting. This can aide in de-risking cash flow line items for owners over their ownership period. Understanding rental sustainability can serve as a means of curating the schemes occupier mix and planning strategic initiatives. Overall, the ability to enhance the knowledge and understanding of income for the owner serves as a means to promote good asset management and to improve income over the term of ownership. 

If you would like to know more about Bannon’s approach to rental sustainability analysis and how it can strengthen your asset strategy, please get in touch @ Consutancy@bannon.ie. 

 

Author:                 George Colyer, Surveyor, Bannon 

Date:                     17th April 2023

 

Foot Locker to open new store in Dublin’s Ilac Centre

/in , , ,

Bannon are delighted to have been involved in delivering a new 13,000 sqft flagship #Foot Locker offer at Ilac Shopping Centre and an upsize and relocation to 6,000 sqft at Swords Pavilions Shopping Centre for clients Hammerson Ireland and Irish Life Assurance plc.

Both stores are due to open in Q2 2023.

RTE News Article

Bannon Retail Pulse – February 2023

/in , , ,

Bannon’s latest monthly Retail Pulse has now gone live.

In this publication we look at what has been an encouraging start for our retail leasing team with significant impetus carrying forward from 2022. Our footfall trackers also indicate a positive start to the year with January data for our shopping centre portfolio tracking almost in line with 2019 levels. Finally Neil Bannon looks at the stark decrease in the household debt to income ratio and what this might mean for the retail sector

To view the full report, please click here.

Retail Healthcheck with Neil Bannon

/in , , ,

Neil Bannon joined Newstalk Bobby Kerr on Down to Business on Saturday to discuss what we might do to attract the investment our towns and cities need right now.

To listen to the full podcast, click here.

 

McDonald’s to open at Rosebank Retail Park in Carrick-on-Shannon

/in , ,

After many years of engagement McDonald’s will now soon arrive at Rosebank Retail Park in Carrick-on-Shannon. Great to have been involved in delivering another top brand to a very successful retail scheme.

Bannon acted for the owner and JLL Ireland for McDonalds.

A strong start to 2023 for the Property Management Team at Bannon

/in , , ,

Davy Real Estate has appointed Ireland’s largest, domestically owned commercial property consultancy firm Bannon, to manage Harbour Place Shopping Centre in Mullingar. The shopping centre which was opened in the mid-1990s comprises in excess of 100,000 sq. ft. of retail floor space and is anchored by Dunnes Stores. Other notable occupiers include Boots, Paul Byron Shoes, C.R. Tormey Butchers, Carraig Donn, Claire’s Accessories, Peter Mark, Holland and Barrett & Esquires.

Bannon manages over 55 retail shopping centres and retail parks across the country, covering seven million sq. ft. of commercial real estate worth c. €2 billion. As the market leader, Bannon has advised and managed the country’s most notable retail spaces in the last thirty years such as Dundrum Town Centre, Blanchardstown S.C., Swords Pavilions and The Square.

Commenting on the appointment, Director of the Bannon Property Management team, Ray Geraghty said “We are extremely proud to be working with Davy Real Estate on this important asset, and we look forward to working closely with the centre management team and occupiers. This instruction has particular significance for me given that Mullingar is my hometown. The midlands is going from strength to strength and we are proud to be supporting this growth. The appointment further validates the position we in Bannon hold as market leaders of retail property management in Ireland.”

Retail Sales Index

/in , ,

Changing spending patterns saw retail sales in December 2022 fall marginally from November figures indicating the traditional Christmas rush has turned into more of a marathon than a sprint. Annualised figures (excl. motors) show a strong increase in sales values of 7.88% albeit a nominal increase in volumes of 0.16%. This reflects the ongoing price inflation which saw the cross over in the value and volume indexes last year. The data also shows a strong shift away from household and electrical which enjoyed a stellar performance during periods when other retail outlets were closed due to COVID restrictions.

CSO (Central Statistics Office Ireland)

Bannon Retail Pulse – January 2023

/in , , ,

The first Bannon Pulse of 2023 is now live. We look back at the strong level of activity in 2022, highlighted by the large number of lettings and new market entrants. Our occupancy trackers finished 2022 in positive form, as did our trading analysis across the retail categories. Neil Bannon gives his take on the market concluding that, ‘The opportunity for informed investors is to acquire retail assets with robust performance but priced to reflect a negative narrative’.

To view the full report, please click here.

Bannon Retail Pulse – December 2022

/in , , ,

Our final Retail Pulse of 2022 has just gone live. All in all, an exceptionally busy year for the team at Bannon. 2023 is looking very promising for Retail.

Neil Bannon concludes this Retail Pulse with 10 Reasons to be Cheerful about the Retail Landscape in Ireland (page 4).

To view the full report, please click here.

Bannon Retail Pulse – November 2022

/in , ,

Bannon’s latest monthly Retail Pulse has now gone live. Neil Bannon looks at recent retail sales data to demonstrate how the negative narrative continues to clash with reality.

To view the full report, please click here.

 

 

Largest Irish Zara store to open at Blanchardstown Shopping Centre tomorrow

/in , , ,

A brand new Zara store will open at Blanchardstown Shopping Centre tomorrow just in time for Christmas.

The store is set to be the largest branch in Ireland and will open its doors and 9am. The fashion retailer’s Blanchardstown outlet has been temporarily closed as they moved to the 52,000sq ft former Debenhams unit in the shopping centre.

A spokeswoman for Blanchardstown Centre said: “The expansive new store will offer the latest womenswear, menswear and childrenswear collections, along with accessories, through a world-class and vibrant in-store experience.

“The new store features the latest technological innovations of Zara’s integrated online and physical store platforms. It is equipped with technological tools to offer customers a unique fashion experience. The store also includes new areas for the latest product lines, such as the menswear Athleticz line (the only one in Ireland), as well as footwear and accessories.”

Article by Dublin Live

MAPIC 2022

/in , , ,

A busy morning at MAPIC for our retail team Darren Peavoy and Jennifer Mulholland, catching up with retailers and colleagues in The International Retail Network (TIRN).

Camile Thai Kitchen is now open in Citywest Shopping Centre

/in , , ,

Great news for the Citywest community. The nationwide restaurant chain, Camile Thai Kitchen has chosen Citywest Shopping Centre for its latest location.

As property managers and letting agents for the centre, we wish Camile the very best of luck as they create new jobs for the local area and become part of this thriving scheme.

EZ Living Interiors have opened their fifteenth Irish store at The Retail Park Liffey Valley

/in , , ,

EZ Living Interiors have opened their fifteenth Irish store at The Retail Park Liffey Valley. The store, which adds to an already impressive retailer line up in the park, is home to over 100 sofa collections, 50 dining sets, 50 bedroom ranges and a divine collection of home accessories, with everything from the timeless to the trendy. With an array of furniture designed and manufactured locally in Ireland, the Irish-owned family business is passionate about supporting Irish jobs, skill and craftmanship.

Bannon are proud to act as Asset Manager, Property Management Agents and Lettings Agents for the scheme.

LUSH is now open in Dundrum Town Centre

/in , , ,

It’s been a few years in the making, working to get the right unit on the right pitch … but now it’s open. South Dublin has no excuse not to be smelling lovely with the sustainable, ethical and handmade cosmetics from LUSH.
The new Lush store opened in Dundrum Town Centre and we are proud to be part of the team opening their first flagship for Ireland, complementing Lush’s original Irish stores.

World Kindness Week

/in , ,

To celebrate World Kindness Week, the team at Malahide Road Retail Centre carried out some random acts of kindness by surprising some of our shoppers with gift cards across all our stores to help with their shopping!

Happy shopping everyone!

Walker Communications Irish Life Investment Managers

 

Bannon Retail Pulse – October 2022

/in , , ,

Occupancy rates continue to improve and retail sales reach an inflection point.

To view the full report, please click here.

The Crossings, Adamstown

/in , ,
12

A very exciting site visit earlier this week for Bannon’s Consultancy Team with Quintain Ireland at The Crossings, Adamstown where Tesco Ireland and Aldi Ireland are fitting out their new stores. Bannon are delighted to be appointed as Management and Lettings Agents for The Crossings, which upon completion will be the first new Irish shopping scheme delivered in over a decade.

For letting enquiries, please contact Darren Peavoy.

Society of Chartered Surveyors - SCSI Ireland

Address

Hambleden House
19-26 Pembroke Street Lower
Dublin 2
D02 WV96
Ireland
»Map

Contact Us

Phone: +353 (1) 6477900
Fax: +353 (1) 6477901
Email: info@bannon.ie

Compare Listings

Title Price Status Type Area Purpose Bedrooms Bathrooms