Retail property investments are on hold in Kazakhstan
Even though the total floor space of retail real estate in the two largest cities of Kazakhstan hasn’t changed dramatically since the pre-pandemic year of 2019, some new projects have been completed there, according to Scot Holland | CBRE.
There are 510 and 430 square meters of retail space per 1,000 residents in Almaty and Astana respectively, the Scot Holland | CBRE data shows. For comparison, the same rate for Moscow is 575 m2, 765 m2 for Samara, 850 m2 for Warsaw and 750 m2 for Madrid.
Despite the relative lack of retail property in Almaty, the situation in the local market hasn’t changed since 2019, while in Astana the segment has grown by less than 5%.
Among new projects expected to open this year in the capital city is Republic Plaza on the right bank of the Esil River. Astana has been waiting for this mall for five years now, although the opening ceremony was initially expected in 2017. Construction of two other shopping centers Keruen II (51,000 m2) and Asia Park II (78,000 m2) has been frozen.
In Almaty, there no new retail centers have been built over the past three years (more than 5,000 m2 of floor space). For instance, the long-awaited Almaty Grand Mall (110,000 m2) has never opened its doors. This project on the intersection of Abay and Rozybakiyev streets was demolished. On the other hand, the well-known underground shopping center Almaly has been renovated and is expected to operate again. It was severely damaged during the protests in January. Another big project Aport East is expected to open next year.
Currently, among the largest retail property projects in Astana are Mega SilkWay, Khan Shatyr, Keruen, KeruenCity, Saryarka and Asia Park, Scot Holland specifies.
In Almaty, the list is twice as big and includes Mega Alma-Ata, Aport Mall, Dostyk Plaza, Mega Park, Grand Park, ADK, Esentai Mall, Mart, Asia Park and Forum.
