Shoppers of an unusual variety descended upon the Jervis shopping center last week, presumably searching for bargains or perhaps just a good Wi-Fi signal.
Up to 13 first-round offers were flung onto the auction table for this Dublin city center paradise, which its owners, Paddy McKillen and Padraig Drayne, decided to discreetly “put on the market” — aka, throw a digital “For Sale” sign up while sipping lattes.
This could be the first time since the 1990s that the Jervis shopping center has seen any serious suitors. One might say it’s as rare as finding an empty parking space at a shopping mall on a Saturday. It’s one of the last gems from a bygone era still wearing its original owner—like a vintage T-shirt from a now-defunct band.
Rumor has it that bidders included the likes of the Comer Group, the US property titan Hines, and Peter Horgan’s Lugus Capital. Let’s not forget David Goddard’s Lanthorn, who seems to be procuring assets faster than a kid at a candy store. Meanwhile, Patron Capital is probably sitting back with popcorn, watching the bidding wars unfold.
The auction followed the remarkable bidding frenzy sparked by Marlet’s assorted retail parks, which saw ten initial bids. Who knew that retail parks could be so popular? It’s almost like they’re the cool kids in school, while offices and private rentals linger awkwardly by the lockers.
For more than a year, retail has proved to be the darling of the property investment scene, drawing in capital like it’s free pizza. While everyone was lining up to invest in offices—remember those?—the retail revival came as a surprise diversion, as if a surprise birthday party popped up amid a pandemic.
In-store spending is rising! According to AIB, there was a 2% increase in the first quarter of this year compared to last. Apparently, consumers were bored of their sofas and fancy “Click & Collect” options, opting instead for the thrill of shopping in person—like our ancestors had to do, in a time before the internet and its unfathomable clutter.
Funny enough, Jean McCabe, head honcho at Retail Excellence Ireland, claims customers are currently “returning for the customer experience.” Retailers are also strategically expanding their store locations, presumably to establish their own personal Monopoly board one property at a time. Shopping centers are mixing things up with entertainment venues; maybe that movie theater next door will finally stop playing movies no one wants to see.
Brendan McDowell, founder of BPerfect Cosmetics, initially built his empire online but decided real estate was more lucrative and so opened 13 stores across the UK and Ireland as if playing an advanced version of ‘Where’s Waldo’ but with cosmetics instead. When he debuted at Blanchardstown, the market was so ripe he could practically pick his lease terms off a tree, like apples.
And guess what? It turns out that bricks-and-mortar retail isn’t dead yet. Statistics suggest a narrative change, with shoppers flocking back to actual stores rather than letting their fingers do the walking. Retail’s resurrection is akin to hearing that someone miraculously survived a zombie apocalypse—unexpected but welcomed.
Lastly, while it’s true that the market isn’t booming everywhere—some retail spaces are as vacant as a Tinder profile after thought—many previously sad spaces are being snatched up faster than you can say, “I’ll take two please!” It’s all about adapting, with some retailers reaping benefits from their forebearers’ exit. Turns out even retail space can have a second act, just like a washed-up stock broker hitting the gym and coming back as a personal trainer.
