Landlords show willingness to negotiate retail rents

PHOTO: Vacancies for prime retail spots in CBDs are between 6 and 8 percent. Photo: 123rf

Landlords are doing what they can to hang on to retail tenants as the lockdowns bite into cashflow in the absence of critical foot traffic.

Recent surveys by commercial property broker Colliers has found vacancy rates were between 6 and 8 percent for prime retail in the central business districts, up from about 4 to 5 percent 18 months ago.

“From the stats that we’ve seen in some of the major locations, because the people aren’t there, the tourists aren’t there when we go into lockdown the office staff aren’t there as well, and so that is difficult,” Colliers head of research Chris Dibble said.