Bath has been identified as a top early target by leading international retail brands, according to latest research by commercial property specialist Colliers International.
The 2016 National Retail Barometer from the global real estate company shows that Bath was a priority destination for 40 per cent of major brands tracked for the study.
It was the first city outside London to host T2, the Australian tea retailer, and Anthropologie, KIKO, Milano and Smiggle also targeted Bath early in their expansion programmes.
Colliers International retail director Nick Turk, who covers the South West, commented: “Bath has hit the radar of international retailers because of its affluent population, potential tourist benefits and relatively low rents compared to many of the other major UK cities have proven attractive factors for international brands looking to grow in the UK.”
The Colliers International National Retail Barometer 2106 has tracked the openings of 10 international brands, across both luxury and mass markets, none of which had a significant UK presence prior to the 2008 economic downturn.
The brands are Michael Kors, Victoria’s Secret, Zara Home, Nespresso, Anthropologie, Urban Decay, & Other Stories, T2, KIKO Milano, and Smiggle.
The Colliers International National Retail Barometer uses proprietary Prime Zone A rents and centre vacancy data to monitor the health of the UK retail property market, and also tracks rental growth.
The latest Barometer for 2016 has found that no major UK cities have recorded a decline in rents since 2014, whilst 11 have seen a steady increase in rents.
Nick Turk said that in general larger towns and cities have performed best, often because they have been more successful in attracting shoppers who are prepared to travel further to these locations, attracted by experiential shopping and ample parking.
He said: “This increasing polarisation across the retail hierarchy is the result of changing shopping habits. Consumers are diverting an increasing proportion of their discretionary spend online, but a recent study by Verdict and British Land estimated that 89 per cent of all UK retail sales touch a physical store at some point in the customer journey from research to purchase.
“Over the past few years, we’ve seen that shoppers are looking for a diversity of retail, restaurants and leisure all in the one concentrated area. Larger centres are the logical choice to supplement online shopping.”
