The R2 Asset Management team visited the annual MAPIC Russia commercial real estate exhibition held this year offline from September 16 to 18 at Crocus Expo. “The pandemic has not actually changed consumer scenarios, but it has affected the development vector,” the event participants actively shared their thoughts. In particular, the presence of regional retail real estate projects has become noticeable. The development of regional shopping centers, which is especially on-trend for Moscow and St. Petersburg, aroused no less keen interest. The trend for development of medium-and small-sized shopping centers remains strong. There is also a more pronounced rotation of tenants. For instance, along with premium brands, mass-market products are becoming increasingly present in shopping centers. Obviously, there has been an increase in the presence of Russian brands in malls. For years, leading real estate market players have been asking the question: how do we work with various shopping center audiences? This explains the combination of brands of different price ranges, and the change in the development vector towards strengthening the entertainment component. The pandemic has not changed consumer attitudes in general: 85% of citizens still prefer traditional offline formats. This situation also forces developers to revise their concepts by allocating areas for public spaces. Experts predict that the social function in retail real estate will increase. Another trend in the market is the one towards polycentric development. Food retailers are moving to residential areas. Food halls are also being opened there, with public, educational, and cultural spaces established. New collaborations and seasonal projects are emerging.
