According to CB Richard Ellis (CBRE), retail transactions accounted for 35% of total European real estate investment activity in the first half of 2009, compared to the last five-year average of 26%.
The sector’s share of the H1 European market is the highest proportion on record. CBRE said that in contrast to recent years, very few large deals took place during the first half of 2009. The average transaction size for the market as a whole fell to €18.4m in H1 2009, a -59% decline from the €44.4m average at the peak of the market (H1 2007). At €27m, the average retail investment transaction size is not markedly different, however, completing larger transactions is proving easier in the retail sector than in other parts of the European investment market.

Eight of the top ten European investment transactions completed in the first half of 2009 were retail.

The restrictive debt market has not yet eased significantly and difficulties in obtaining finance remain in most European markets, therefore impacting the type of retail property being purchased. The reduced number of shopping centre transactions has reflected this landscape, as larger deal sizes are difficult to finance without large equity commitments. Historically, shopping centres have constituted nearly half of total retail investment turnover but their share fell to only 33% in the first half of 2009.