Shoppers of a distinctly different nature flocked to the Jervis shopping centre last week, proving that retail therapy isn’t just for the average consumer—but for those with an eye for real estate too!
A staggering 13 first-round offers were made for the Dublin city centre mall, recently put on the market by its owners, Paddy McKillen and Padraig Drayne, who must have decided they’d swiped enough discount coupons over the years.
This marks the first time the beloved shopping sanctuary has been up for grabs since its birth in the 1990s, when McKillen, Drayne, and business whiz Paschal Taggart shared a collective vision of retail glory. And lo and behold, this establishment is one of the final frontiers that steadfastly remains in the grips of its originators, like the last chapter of a book no one wants to end.
The bidding pool this time resembled a scene from a high-stakes poker game. Among the contenders were the ever-busy Comer Group, the property mogul Hines, and one shouldn’t overlook Peter Horgan’s Lugus Capital. Patrons like David Goddard’s Lanthorn—representing clients who probably didn’t even know they still needed a shopping centre—joined the fray. In short, this wasn’t your mom’s weekend sale.
Interestingly, the auction followed a robust bidding war involving Marlet’s retail parks scattered across Dublin, Louth, and Tipperary, demonstrating that retail isn’t dead yet. It’s merely transformed into the lead actor of property investment while other segments wallow in mediocrity like actors who forgot their lines.
A year-long hiatus of dullness in retail has now been upended, with industry reports revealing that retail accounted for half the value of all property deals within the last three months. It seems the pandemic’s prophecy of a retail Armageddon has been a massive overreach—sort of like that one gym membership I paid for but avoided like a contagious disease.
Even Realty Income, the US behemoth eyeing a spot on the retail throne with a cheeky purchase of eight retail parks from Oaktree Capital, appears convinced that more shopping is indeed the way forward. After all, what’s more appealing than trading your Netflix password for an actual shopping spree?
As we cautiously beckon the brave new world of in-store shopping, statistics reveal that in-store spending rose by 2% compared to last year, defying any doomsday predictions. It would seem that many consumers would rather tackle the crowds while rifling through racks than do their shopping via a smartphone cornered in their couch cushions.
And who can blame them? With retailers revamping their offerings to attract patrons—from more food options to, dare I say, entertainment venues—it seems retail landscapes, not unlike diet fads, are prone to frequent and exciting changes. Just ask Brendan McDowell, founder of BPerfect Cosmetics. His journey from online to physical stores has given him the audacity to proclaim, “It was a good time to open a store.” Because when vacancy rates are high, negotiating becomes a thrilling game of finance.
As the Jervis shopping centre auction proceeds with excitement, buyers are clinging to the hope that their risk will yield fruitful returns. New players are entering the arena, and according to Max Reilly, the landscape is primed for a riveting renaissance. Will retail parks return to their glory days, or are we merely experiencing a fleeting moment among the chaos like a well-timed blip in the stock market? Time will tell—ideally, while I sift through the sales racks.
