Shoppers of a peculiar variety flocked to Jervis shopping centre last week. No, they weren’t there to stock up on essentials, but rather to engage in a bidding frenzy over the mall itself. Up to 13 first-round offers popped up like mushrooms after a rain, as the owners Paddy McKillen and Padraig Drayne, apparently keen to venture into other ventures, quietly put the €120 million property on the market.
This was less of a shopping spree and more of a game of high-stakes poker; the first sale of the shopping centre since it was lovingly birthed by McKillen, Drayne, and the executive Paschal Taggart in the 1990s. Who knew retail therapy could be such a lucrative gig?
The Sunday Times reported a veritable who’s who of bidders—think of it as a talent show but for real estate. Among the usual suspects were the Comer Group, property whiz Hines, Peter Horgan’s Lugus Capital, and Patron Capital. Also showing up, evidently intrigued, was the eagle-eyed David Goddard’s Lanthorn on behalf of his clients. One wonders if a bidding war could ever rival a Black Friday sale. Spoiler: it can.
Speaking of sales, while the auction was heating up, Marlet’s trio of retail parks attracted their own throng of eager bidders, receiving ten initial offers, proving that retail has become the new darling of the property investment world—just in time for the holiday season, of course. It’s almost like the world learned to appreciate the joys of shopping in person, post-pandemic—who knew?
Things have been so robust in the retail sector lately that one could almost forget the doom and gloom prophecies circulating during the pandemic. It appears that bricks-and-mortar stores have pulled a Houdini—vanishing act and then reappearing stronger than ever. According to the latest statistics, in-store spending has risen by a pleasant 2% compared to last year. Imagine that: the art of shopping has made a comeback, and it’s not just about the discounts.
In the wake of retail giants taking a plunge, we’ve seen a metamorphosis in the shopping landscape. With customers flocking back for the “customer experience,” retailers are now piling on more stores like toppings on a pizza. And not just any toppings—think of entertainment venues and a cornucopia of food and drinks. It’s a buffet of retail opportunities!
BPerfect Cosmetics, for instance, started off selling online, only to realize that customers enjoy wandering through aisles and having face-to-face banter. Brendan McDowell, the man behind the brand, now has physical stores in the UK and Ireland after testing the waters with pop-up shops in locations like Blanchardstown. Apparently, if you take them by surprise with a short-term deal, they won’t notice the bait and switch until they are neck-deep in cosmetics!
In short, the retail landscape is changing faster than aisles can be stocked. Just as local institutions used to dominate the market, now it’s a free-for-all. Private equity funds are trading up retail properties like Pokémon cards. Who knows? Maybe next week we’ll have a bidding war involving extraterrestrials. Whatever happens next, one thing is clear: the game of retail is alive and kicking, and it promises to be more entertaining than your average reality show!
