Shoppers of an entirely different nature crowded the Jervis shopping centre last week, and not just for a mediocre latte or a practically-necessary trip to the perfume shop. We’re talking serious bidders — up to 13 offers, to be precise — for a piece of prime Dublin real estate, quietly listed for sale by its illustrious owners, Paddy McKillen and Padraig Drayne. Quietly? Perhaps they meant “loudly desperate for cash.”
This is Jervis’ grand debut on the market since its glamorous development in the 90s by McKillen, Drayne, and the stylish businessman Paschal Taggart. Fun fact: it’s one of the last shopping centres still owned by its original developers. Should we get them a trophy for sentimental achievement?
Among the eager bidders were the Comer Group (who clearly have more money than sense), US real estate giant Hines (because who doesn’t want a piece of Dublin?), Peter Horgan’s Lugus Capital, Patron Capital (some sort of investor Avengers team), and David Goddard’s Lanthorn, representing clients whose identities remain more mysterious than the plot of a telenovela.
And let’s not overlook that this auction followed a spirited bidding war for Marlet’s trio of retail parks in Dublin, Louth, and Tipperary — which garnered no fewer than ten initial bids. Ten! Someone hand me a selfie stick; I must document this rare moment of enthusiasm in property investment.
Meanwhile, it appears that retail has taken the crown as the star performer in the property investment arena, aspiring to displace unsung heroes like charming little coffee shops and artisanal bakeries. Who would have thought, right? Given the actual apocalypse vibe during Covid, it’s surprising that anything retail-related is bouncing back at all. A recent AIB report sauntered into the spotlight with the revelation that in-store spending surged by 2% from last year. Cue the confetti!
And if you think that’s all, let’s introduce US-headquartered Realty Income, which recently considered investing in shopping as seriously as it did in gambling—$950 million into the Bellagio casino. They’ve flocked to shopping as if it’s the next exotic holiday destination, investing €220 million in a saga of eight retail parks and getting cozy as the preferred bidder for Marlet’s retail park portfolio. “Post-pandemic, we’re experiencing the retail revival ride of a lifetime!” Who needs roller coasters?
As for those demolishing pessimistic narratives about retail’s demise, it seems the industry is alive and kicking (probably with a shopping bag in tow). Retail parks are coming back into fashion, and it appears sister malls are to be left dusty in the closet. Much like that old party dress we swore we’d wear again but “forgot” during lockdown. Who knew that shopping would again become a ‘thing’?
As we laugh and roll our eyes at the ups and downs of the industry, let’s not forget that the grand old shopping centre has charm. In fact, Brendan McDowell, founder of BPerfect Cosmetics, reported that he’s opened 13 physical stores over the last five years, because why not add to his workload? Retailers are clambering back into physical spaces like kids on Christmas morning, eager to experience the ‘in-store atmosphere’ while shunning a digital shopping spree. Is the tangible experience truly making a comeback, or is it just a ploy to sell face masks and health supplements easily? Who knows!
So, as it stands, new retail centres are being project-cast into existence, while old ones are fielding bids like a seasoned contestant on a reality show. The race is on! Who will nab the iconic Jervis centre? Who will take the plunge and redefine retail like never before? Keep your popcorn ready; the drama of the retail market continues, and it’s going to be an exciting season of ‘As the Shopping Mall Turns’!
