And there are further developments to come. The division between time rich and time poor shoppers has opened a niche for convenience-based centres. The success of bulky goods power centres in providing a cost effective and wide range of choice in a semi-warehousing environment will see the development of a network of bulky goods centres over the next 15 years. Meanwhile, we still have to work out how electronic shopping will be integrated into shopping facilities. And we are entering a major demographic shift as the baby boomers' children leave home over the next 15 years and family households with little time and little spare income are converted into young people households and into empty nester households with more time, more income and a good capital base.
Retail property is a yield proposition, with much more steady cash flow than commercial property.
The heady days of capital growth in retail are over. We are looking at an internal rate of return of around 10 to 11 per cent. This will be an interesting decade. Full Name E-Mail Receive weekly snapshot updates from 25 of the nation's leading financial organisations. AFSD Editorial Library Click here to access hundred s of other financial articles, reports and company research from Australia s leading Business and Financial Organisations FREE of charge, no registration required.