Magazines Archives - 2012 July

Colombo slated as 'second-fastest growing economy' after China, says new JLL report
Story 8 - Property Update

WITH new mall projects expected to be built in Colombo, Sri Lanka, within the next five years, the market is slated to be one of the region's most dynamic real estate markets, a new report revealed.

Global real estate services firm, Jones Lang LaSalle (JLL), has launched its operations in the city. Its report, titled Real Estate in Sri Lanka — Prospects and Potential. Translating Economic Growth into Real Developments in Colombo, stated that the city has become the second-fastest growing economy in Asia with a projected growth of 7%-8% expected this year.

"Our report confirms Sri Lanka as an attractive and emerging investment destination in the Asia-Pacific region; these are the factors that led to our decision to enter this booming real estate market," stated Alastair Hughes, CEO of Jones Lang LaSalle Asia Pacific.

"Sri Lanka is an extremely promising market for organised commercial, residential and retail real estate services. The country has been on a strong growth trajectory since the re-establishment of political stability," he continued.

With a combined retail space of 647,000sqf and an average vacancy rate between 3% and 8%, Colombo currently has eight operational malls. According to the group, three more malls are expected to add 1.05 million sqf to the country's retail space in the next three years.

Traditional wholesale areas in North Colombo and high-street areas along Galle and Duplication roads in the central business area remain the key retail locations in the country catering to the urban population.

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