Russian shopping centers are looking for new tenants in Uzbekistan - Olga Antonova

The industry relies on businesses from "friendly" countries to fill vacant spaces.

The Chamber of Commerce and Industry of Uzbekistan is collecting applications from local companies interested in renting premises in Russian cities, according to the press service of the Chamber.

Russian shopping centers have approached the Chamber with an invitation to collaborate. The parties intend to jointly search for and attract tenants for vacant commercial spaces in these establishments.

As reported by RIA Real Estate, the Russian Council of Shopping Centers contacted the Chamber through the trade mission in Uzbekistan. The parties are "working closely on this issue," the Chamber noted.

Earlier, the industry organization reported negotiations on attracting new foreign retailers to Russia. It is expected that they will be able to replace the foreign companies that have suspended their operations in Russia.

Following the onset of military actions in Ukraine, several major foreign brands announced temporary or permanent exits from the Russian market. Some of them, such as IKEA, are planning to terminate their lease agreements.

As of June, estimates suggest that 9.6% to 13% of shopping center spaces in Moscow were vacant. In a pessimistic scenario, 15–30% of spaces could become vacant by the end of the year, primarily in large complexes.

Owners of Russian shopping centers have approached the Ministry of Foreign Affairs with a request to simplify the entry process for businessmen from "friendly" countries in Asia, Africa, and Latin America. However, many industry representatives doubt the effectiveness of these measures.

They argue that easing visa requirements will not impact the investment climate, which has changed significantly since the beginning of the year. Only a few retailers are willing to enter the Russian market and establish logistics under current conditions.

As noted by Olga Antonova, a partner at CMWP, foreign businesses need motivation to start operating in the country. This includes subsidies and tax benefits, she added.

Source: Spot.uz
Photo: Istock