Colliers Market Report Denmark 2023

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Retail - Colliers Market Report 2023

Nørreport

Location , location and location Relocation trend towards high streets Location and visibility remain keywords in the Danish high-street retail market. In times of uncertainty, ten ants tend to be more prepared to pay the higher rent charged in prime locations to safeguard future sales by choosing the best possible sales channels with a proven track-record. As shops and chains with stores in secondary locations are expected to increasingly relocate to prime high-street and shopping destinations, the best located retail units will still be in demand. The Copenhagen high street, Strøget, was boosted by the strong return of inbound tourism in 2022, with sales at Strøget – relative to other shopping streets – relying heavily on tourism, whereas other, less extensive, shop ping streets cater mostly to the local catchment area.

the potential for exposure, secondly the Danish popula tion’s generally strong purchasing power, thirdly the per ception of Denmark as a safe haven for investments. Some chains have their sights on opportunities in the current sluggish market. Even at Strøget, they are no longer required to pay key-money to set up shop. In addi tion, landlords are more accommodating to achieve high occupancy and strong retail areas. We believe this trend will amplify. If domestic and foreign tourists continue to drive strong footfall, Strøget is in for a bright future as a location at Strøget is largely a matter of exposing consumers to a given brand. By the same token, it cannot be ruled out that the com position of shops may change over time with the addi tion of more showrooms for major domestic and inter national chains to display their brands, possibly with interactive in-shop experiences as an add-on.

Strøget continues to attract strong demand from inter national chains and brands due to multiple factors, firstly

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Masterplan for Frederiksberggade in effort to spur demand To reverse the trend and lift Frederiks berggade, thereby positioning the location better to compete with, e.g., Amagertorv, some private property owners have part nered up to form a consortium. By means of private funds as well as subsidies from the City of Copenhagen, the entire infrastruc ture of the street is to be upgraded. In addi tion, it is part of the strategy to target inter national tenants with special emphasis on young fashion and F&B anchor tenants.

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City Hall Square (Rådhuspladsen)