Dubai in world top five shopping destinations

The emirate now ranks just behind the traditional shopping capitals of London, Paris and New York, according to new research.

Four malls have opened in Dubai in the past six months, including the Dubai Mall.

RETAIL Dubai is the fourth-most attractive city in the world for international retailers after the traditional shopping capitals of London, Paris and New York, according to research by CB Richard Ellis, the global property firm. In its annual report released yesterday, CB Richard Ellis surveyed 280 retailers from 67 countries, and 46 per cent of them had stores in Dubai. "It means that it is becoming a mature retail market," said Mark Morris Jones, the Abu Dhabi-based director of retail with CB Richard Ellis. "It is a market to be reckoned with." Dubai's international retail mix is just behind New York, with 47 per cent, and Paris at 50 per cent. The UAE also moved up the country rankings to fourth place, jumping four spots from 2007 and above more mature markets such as the US, Singapore and Hong Kong. Mr Jones said international retailers were lured to the UAE by the consistent double-digit sales growth in recent years and the rapid growth of retail space. Dubai is expected to have 4.25 million square metres of retail space by next year, up from 1.17 million sq metres in 2006, a jump of 263 per cent, according to the research firm RNCOS, based in Delhi. The ease for a brand to enter the UAE, by linking with a local retail holding group, also fuelled the trend. "This was seen as an area in the region that was receptive," Mr Jones said. Two other Gulf markets also climbed the rankings this year, with Saudi Arabia moving from 31st place to 15th and Kuwait from 30th to 19th. New store openings worldwide were concentrated in the Middle East, Asia and eastern Europe, CB Richard Ellis said. Saudi Arabia had the most new store openings last year, with Kuwait taking second place and the UAE fifth. Naeem Ghafoor, the chief executive of Skyline Retail Services, said mall developers had long encouraged retail groups to introduce new brands. But the Middle East Council of Shopping Centres has warned of a short-term oversupply of retail space, which will peak this year. In the past six months, four malls have opened in Dubai, including the 1.12 million sq metre Dubai Mall. Mirdif City Centre and the Mall of Arabia, one of the largest malls in the world, are due to open in 2011, but Nakheel announced it postponed its US$3 billion (Dh11.01bn) mall expansion plans because of the economic slowdown. But Mr Ghafoor said international brands would continue to flock to the UAE because of its long-term potential. "And throughout the history of Dubai, it's been a destination where you can shop till you drop." [e-mail]