Most active shopping centre development takes place in China

Global shopping centre development continues apace with 39 million sq m under construction, slightly ahead of the pipeline of new space (36 million sq m) in 2013, says global property advisor CBRE.

China remains by far the most active market, although tier I and tier II cities in India and Southeast Asia are also among the most active globally.

Nine out of the top 10 most active cities globally are contained within the borders of China. They include Chengdu and Tianjin, with Shanghai, Chongqing and Shenzhen not far behind.

In other parts of Asia-Pacific, Kuala Lumpur (Klang Valley), New Delhi in India and Cebu in the Philippines are also highly active.

Total shopping centre space currently under construction in Southeast Asia is around 3.3 million sq m, nearly 40% of which is located in Greater Kuala Lumpur.

One of the most high profile projects currently under construction in Asia is the 469,000 sq m SM Seaside City Cebu in the Philippines, which reportedly will be the fourth largest shopping mall in the world upon completion in 2015.

In Vietnam, Ho Chi Minh City and Hanoi have also seen the addition of a large volume of new supply in suburban areas.

CBRE says the strong economic growth in many Asian countries is attracting an ever increasing number of cross-border retailers. However, there is still a shortage of high quality retail space in many markets, the type of space demanded by incoming retailers. It is this, together with the urbanisation of large cities and growing middle class populations that is driving the boom in shopping centre development.