Commercial rents are starting to slide

Commercial rents, and therefore store values, are set to suffer strong pressure in the coming months, as the crisis generated by the coronavirus is growing both in intensity and duration, which is weighing on private consumption.

At the same time an increasing number of consumers are turning to online stores, a trend that is seen becoming permanent after the pandemic, forcing retail chains to amend their plans regarding their brick-and-mortar shops.

Property market professionals say that stores near popular commercial districts and within malls and shopping parks will show the greatest resistance. However, all other commercial properties are expected to face the prospect of closure, depending on the strength of each entrepreneur or the plans of each commercial chain. This is 2012-14 all over again, as the share of vacant stores, even in central spots, came to around...

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