“Retailers cannot keep up with developers. They move faster than retailers are able to find financing and develop their business,” according to the CEO of AAV Group, Vicentiu Zorzolan. AAV Group has the franchise rights for Esprit, Springfield, Women’ Secret and Marc O’Polo brands.
Developer Mivan Development’s head of Retail, Marius Barbu, also spoke of the gap between developers and retailer expansion speed. “Many new investors came onto the market recently, and Romania still has rather few retail companies. However, major retailers know how to settle in attractive shopping areas, so developers who recently came onto the market and stores located in city outskirts are the most affected,” Barbu told Business Standard.
However, all the 100 projects announced are not expected to be finalized. Zorzolan said the figure is not realistic and that a slowdown of this market segment, due to financing difficulties, would be welcome.
