Russia Leads Europe's Shopping Centre Boom

RUSSIA LEADS EUROPE'S SHOPPING CENTRE BOOM, WITH ITALY AND TURKEY CLOSE BEHIND, ACCORDING TO JONES LANG

LASALLE'S NEW SHOPPING CENTRE DEVELOPMENT REPORT RELEASED TODAY AT MIPIM

MIPIM, Cannes, 11th March 2008 - Over six million sq m of new

shopping centre space was completed in Europe in 2007, one million more than in 2006,

according to Jones Lang LaSalle’s Shopping Centre Development report released today. Eastern

Europe is leading the boom, with Russia, once again, the most active market (1 million sq m

opened in 40 schemes in 2007). Italy was just behind (0.8 million sq m), followed by Poland (0.7

million sq m). Germany, Turkey and Spain remained highly active, although completion levels in

Spain have moderated from the previous year.

Central Europe also remained a development hotspot in 2007 with southern Europe not far

behind. As expected, Western Europe was relatively muted, although new development is taking

place with the emphasis on redevelopment and extensions.

Neville Moss, Head of European Retail Research at Jones Lang LaSalle commented: “We expect

current trends to continue over the next two years. Russia’s pipeline is phenomenal at over 6

million sq m and accounts for almost a quarter of the planned new space in Europe in 2008-

2009.”

He continued: “Over 2 million sq m of new space is forecast in Italy, Turkey and Poland over the

same period. More than 1.5 million sq m is due in each of the markets of the UK, Germany and

Spain, and over 1 million sq m is due in both Portugal and the fast developing Ukraine.”

In Russia, Moscow and St Petersburg are still the most active development markets. In spite of

the rapid growth of new space