Sinners of consumerism invaded the Jervis Shopping Centre last week, and they weren’t just here for the sale signs. Oh no, up to a whopping 13 first-round offers were raised for this retail sanctuary, which its modest owners, Paddy McKillen and Padraig Drayne, decided to stealthily market recently. Clearly, they consider discretion to be the better part of valor (or in this case, cash).
In a plot twist worthy of a soap opera, this is the first time the shopping centre has been available since the 1990s. Back then, when hairstyles were questionable and fanny packs thrived, McKillen, Drayne, and their third musketeer, Paschal Taggart, decided to grace the world with this mall miracle. Now, it stands among the last bastions of shopping centres still clinging onto their original creators like a toddler to a wilting balloon.
Rumor has it that the bidding buffet included the likes of the Comer Group, US property titan Hines, and more financial buzzwords incarnate—Peter Horgan’s Lugus Capital and Patron Capital, along with David Goddard’s Lanthorn (which sounds suspiciously like a Batman villain). All of this was happening against the backdrop of Marlet’s triumphant retail parks making headlines in Dublin, Louth, and Tipperary. Ten bids flew in like moths to a flame, proving again that shopping is alive and well, despite retailers having experienced a meltdown reminiscent of the Titanic.
The retail sector is strutting its stuff, outperforming other investment ventures like an over-caffeinated aerobics instructor. Over the last year, it has become the star performer in the property investment market and is attracting capital faster than a “Buy One, Get One Free” sale. Meanwhile, the office sector’s sales are reportedly lower than the temperature in Antarctica, and the private rental schemes are stumbling like a toddler on stilts. Amid this chaos, retail has decided to rise from the ashes like a phoenix—but with better lighting and POS systems.
According to the Estate Agents’ Annual Snore-Fest, the retail segment made up half of all property deals in the first quarter. How’s that for market resilience? Meanwhile, US giant Realty Income, freshly $950 million lighter from its Las Vegas casino escapade, is charging through with its retail parks in a €220 million deal. That’s right, the post-pandemic “Death of Brick-and-Mortar” narrative turned out to be about as believable as a “no-carb” diet at an all-you-can-eat buffet. Surprise!
AIB’s latest retail report revealed a 2% uptick in in-store spending from last year, which is surprising for those convinced we’d be glued to screens perpetually. Apparently, people still enjoy the tactile joy of shopping—the smell of overpriced candles and the subtle panic of fitting room scales. In a shocking turn of events, an EY index revealed that 70% of consumers still prefer brick-and-mortar shops for everyday items. Yes, the brick-and-mortar shops simply refuse to go gently into that good night.
Jean McCabe, wielding her CEO badge at Retail Excellence Ireland, remarked that customers are valiantly returning for the “customer experience,” as if retail therapy were a legitimate form of self-care. Retailers are seemingly falling over themselves to open more stores, perhaps in a misguided attempt to achieve economies of scale, or maybe just to dust off the ‘Push Your Cart’ signage. So whilst shopping malls undergo renovations akin to extreme makeovers, a significant tenant mix of entertainment venues and Irish brands is being ushered in, leaving consumers breathing a sigh of relief. At least they won’t have to cycle through ancient VHS tapes while searching for their next purchase.
Fast-forward to the burgeoning success story that is BPerfect Cosmetics, which has opened 13 physical stores across the UK and Ireland. This explains why the CEO, Brendan McDowell, decided to pop into shopping malls like someone trying to find a decent tea after 3 PM. Once he found success with pop-up shops at places like Blanchardstown and Tallaght, he’s been on an opening spree and claims “When we first opened in Blanchardstown in 2022, there were a lot of empty units, making it a ‘good time to open.’” Or was it just a clever ruse to negotiate ‘better deals’ like some retail version of The Art of War?
Maybe the only war here is a war on empty spaces. Despite reports of vacancies in some areas, Bannon reveals that closures can lead to better tenancy mixes, allowing new blood to fill the vacuum. With a sprinkle of irony, it seems retail is changing faster than brand allegiances on social media. As we face the possibility of future retail closures, remember this: resilience isn’t just a buzzword—it’s retail’s new middle name.
