High streets retail in Katowice

Jones Lang LaSalle published a report on high retail streets among the biggest Polish cities. The research examines central parts of the cities which are defined as natural retail destinations.

Most of retailers units of high streets in Poland occupy a short stretch of streets or focus on two or three locations, for example department stores. The high street retail in Katowice is much more expansive and spread across several streets. The major area for retailers in Katowice is located near a transportation hub of the Railway Station as well as across revitalized parts of the downtown including the Monopol hotel’s building and neighbouring streets. Thereby, following locations in Katowice were included in the report as the places of high street retail: Szewczyka Square, Stawowa, 3 Maja, Dworcowa, Dyrekcyjna, Św. Jana, Staromiejska and Młyńska Streets.

The “clothing, footwear & accessories” category dominates (32%) the total number of stores in the City. This category accounts for 30% on average among main Polish cities. Luxury brands form clusters and are mostly visible in the area of Dworcowa and Staromiejska St.

The “cafes, restaurants, pubs and bars” category’s number is still at a low level in the City and is estimated at 11% of all units. In Wrocław, Kraków and Poznań the number is around 30%.

The vacancy rate in Katowice is the highest among all the biggest Polish cities and exceeds 9,5% which stands for 17 unoccupied units.

According to Jones Lang LaSalle report, the rental level ranges from EUR 38 to EUR 45 sq.m/month and depending on the location in Katowice.

The situation may be completely changed when Galeria Katowicka will open its doors at Szewczyka Sq. in 2012. The shopping gallery will be localized in the heart of Katowice, while all shopping centers were built out of the City Center so far. Particularly, retail sector’s specialists predict the high streets retail are receding into the background and retailers have to increase efforts to attract buyers. “I think that at present the retail in Poland is shopping center driven, and high street retailing is further down in the retail hierarchy. H&M aims to launch stores, which will draw people not only by their offer, but also the atmosphere of a place, some form of additional value. Opening stores with a fresh design idea or a revitalization of a building in a market square, tenement house on a high street is an interesting idea to draw different group of customers and offer them more than a regular shopping center experience. An interesting case is our store in Katowice on Stawowa Street. After the opening, the footfall and retailing street increased and, additional services and gastronomy points arrived.” – Filip Pietkiewicz-Bednarek, H&M, was quoted in the Jones Lang LaSalle report.