Shoppers of a rather eccentric kind descended upon Jervis shopping centre last week—no, not the type who casually browse, but rather a battalion of bidders armed with pockets deep enough to drown a whale in cash.
Up to 13 tantalizing first-round bids were hurled like confetti at the Dublin city centre mall, stealthily placed on the market by owners Paddy McKillen and Padraig Drayne. The two seem to have decided that their little shopping bonanza needed a change of hands—perhaps to fund their next venture in yacht racing or exotic fees for private islands.
This marks the first time the shopping centre has been available since its birth in the 1990s, courtesy of McKillen, Drayne, and entrepreneur Paschal Taggart. Surprisingly, it remains one of the last relics from the era still adorning the original developers’ wallets. How nostalgic!
Among the willing participants salivating over this retail powerhouse, The Sunday Times suggests, are the Comer Group, US investment heavyweight Hines, and Peter Horgan’s Lugus Capital. One can only imagine their conversations—“My shopping centre is bigger than yours!” Ah, the joys of commercial rivalry.
This auction comes on the heels of fierce bidding for Marlet’s collection of retail parks in Dublin, Louth, and Tipperary, which themselves garnered an impressive ten initial bids. Clearly, retail real estate is the new black, and everyone is trying to get a piece of this expensive pie.
For over a year, retail has flexed its muscles as the prima donna of the property investment market, luring in capital like a moth to a flame. Meanwhile, office spaces and private rental schemes are languishing like sad, forgotten puppies. Who would have thought the pandemic could lead to a retail revival? Perhaps the reports of bricks-and-mortar’s demise were exaggerated, much like my uncle’s fishing tales.
Statistics indicate that in-store spending rose by a staggering 2 per cent in the first quarter, as reported by AIB, accompanied by a buddy-system increase in the previous quarter—proof that consumers prefer physical stores for acquiring their crucial daily supplies. “Why not click and collect in person when you can have the joy of dodging hordes of other shoppers?” said no one ever, but such is the charm of in-person retail.
Jean McCabe, the executive director of Retail Excellence Ireland, commented that customers are “returning to stores for the genuine experience”—because who wouldn’t want to relive the chaotic thrill of long lines and lost shopping carts? Retailers, in turn, are leaping at the chance to expand their empires by opening more stores to achieve glorious economies of scale—presumably to fund future Netflix subscriptions.
Brendan McDowell, founder of BPerfect Cosmetics, started his makeup and skincare brand online but has now opened 13 physical stores across Ireland and the UK, because why not add more to his already chaotic schedule? “When we first opened in Blanchardstown in 2022, many stores stood empty. It’s an investor’s dream!” McDowell mused, referring to empty units as “opportunity” and not “a visual nightmare.”
Retail parks are steadily reclaiming their positions as the darlings of the investment class, drawing yields like moths to a flame compared to their more tightly-wound mall cousins. Bannon, a commercial property agent, has characterized this shifting landscape with the charm of a documentary narrator discussing the extinction of dinosaurs.
So, in this grand, sprawling epic of retail, it appears we might be entering the era of renewed bricks-and-mortar vitality—where even the specter of recent store closures could pave the way for hip newcomers to snag a spot, like the latest trendy bandwagon. After all, when one door closes, another one opens, provided that there’s still a shopper willing to squeeze inside.
