Now Might Not Be A Bad Time To Invest In Shopping Malls
Yet Credit Suisse still expects real estate investment trusts focused on malls to perform quite well.
A paradox? Not quite.
First, sales remain strong at so-called class-A malls that include chic foreign brands such as Zara and Uniqlo. What's more, the forces of supply and demand seem to be doing their thing: recent growth of mall square footage has been just 1 percent per year, and the result is a 94 percent occupancy rate.
With little slack, owners should be able to raise rents by an average of 13 percent in 2015, according to Credit Suisse, which also forecasts that malls will be the best investments among REITs in 2015, expecting them to yield 14 percent returns. Take that to the bank - it's on the second level, just past the food court.
The Financialist is a digital magazine presented by Credit Suisse that looks at the trends and ideas that drive markets, businesses and economies.
- Exploring the world on wheels: International road trips from India
- 10 worst food combinations you must avoid as per ayurveda
- Top seeds that keep you cool all summer
- 8 mouthwatering mango recipes to try this season
- India's hidden gems where the thermometer doesn't cross 20 degrees
- Nothing Phone (2a) blue edition launched
- JNK India IPO allotment date
- JioCinema New Plans
- Realme Narzo 70 Launched
- Apple Let Loose event
- Elon Musk Apology
- RIL cash flows
- Charlie Munger
- Feedbank IPO allotment
- Tata IPO allotment
- Most generous retirement plans
- Broadcom lays off
- Cibil Score vs Cibil Report
- Birla and Bajaj in top Richest
- Nestle Sept 2023 report
- India Equity Market