Out-of-town retail will continue to beat the street

Non-high street retail subsectors have seen a stronger rental recovery from post-pandemic lows than high street shops. And we think this outperformance will continue given tighter availability and slightly more favourable demand drivers. That said, there will likely remain a performance gap between assets better tailored toward increased consumer preferences for convenience and services such as food and entertainment and those more traditional assets like malls and inner-city shopping centres.