This is a trade facing website. Visit the ACTís consumer site for information and advice on cycling and find your local independent cycle retailer.
The Association of Cycle Traders
This is a trade facing website.
Visit the ACTís consumer site at

Search News

Results: 1-10 of 1633

18 Jan 2019

Your chance to help stop potential damage on the growth of the e-bike market.

18 Jan 2019

Reports suggest that potholes across the UK could be self-repairing in the next 30 years.

15 Jan 2019

Halfords is seeing its consumer confidence weaken, something that will likely stretch into the next financial year.

15 Jan 2019

The Brownlee brothers are scheduled to open the 2019 London Bike Show.

14 Jan 2019

This year may mark the most brutal Christmas and New Year's for retailers ever.

10 Jan 2019

A company, claiming to be the ACT's preferred energy provider, has been calling cycle shops and trying to get them to move providers.

9 Jan 2019

Is click and collect the solution to channel online sales to bricks and mortar bike shops?

9 Jan 2019

iceBike* is back in the new year! Mark the date on your calendars, 19th-21st of February 2019.

9 Jan 2019

The Government plans to extend the charge of plastic bags to small retailers by 2020, with plans to increase the charge from 5p to 10p.

8 Jan 2019

Bicycle Retailer & Industry News investigates the new reality of the bike market in exploring the journey taken to get to where bikes are today.

Back to news menu

20-70% correction in retail properties

Posted on in Business News , Cycles News

London skyline 

According to a report published by Fidelity International, UK retail properties could lose up to 70% in value due to rent cuts.

Fidelity said it anticipates that UK retail real estate values will fall by 20% to 70% depending upon the nature and quality of the assets.

This correction is driven in part by, a 10%-40% reduction in rent to make them sustainable and affordable and by, the change in risk profile of the underlying tenants and their future cash flows de-rating the sector equivalent to 10% to 30%.

Data in the report has revealed that from 2015 to October 2018, the value of unlisted UK retail sectors has fallen by 5%, whereas listed retailers during the period have experienced a 17% drop.

Fidelity said:

"Profitability among bricks-and-mortar retailers in the UK has shown a marked deterioration"

This can be reverted if rental costs fall by 10% to 40%. Of course, this would then lead to the significant de-rating for UK retail real estate by anything from 10% to 30%.

This correction would be the largest in UK retail rents and would lead to major repercussions for landlords.

"Retail real estate would transform from a defensive, premium asset class into one of the most volatile elements in any real estate portfolio".

Fidelity, taking the issue wider and globally, said that countries with, "high retail space per capita, weakening consumer spending growth or a structure change to GDP away from consumer-driven growth are at risk of market repricing; with France and Australia being two markets of particular concern".

According to Fidelity, rent is the only key cost, amongst wages and supply costs, that can be reduced.

Back to news menu

Add a comment

The ACT will not share your email address with anyone and it will not be published on the website.