Battle for prime retail locations as new brands redefine the market

According to data from Cushman & Wakefield Proprius, demand for retail space in the first quarter of 2026 remained strong, driven primarily by the continued expansion of international chains and the increased presence of new brands in the Greek market.

Although the pace of new brand entry has become more moderate compared with the strong activity recorded in late 2025, investor and retailer interest continues to focus on prime, high-visibility, and high-footfall locations.

A characteristic example is the further expansion of the H&M Group in Greece, with the opening of COS stores in Thessaloniki and on Ermou Street, as well as the introduction of ARKET to the Athens market. At the same time, new international brands such as New Yorker and Mohito are strengthening their presence in Greece, selecting central locations in both Athens and Thessaloniki. Meanwhile, companies such as Pandora, Plaisio, and Foot Locker continue to expand their networks, capitalising on the positive consumer momentum in the market. This trend confirms that Greece remains an attractive destination for international retailers seeking growth opportunities in Southeastern Europe.

Demand is concentrated mainly in the country’s most commercial high streets and leading shopping centres. Areas such as Ermou Street, Kolonaki, Glyfada, and Kifisia continue to exhibit extremely limited availability of retail space, intensifying competition among prospective tenants and keeping rental values at elevated levels. Most international chains now prefer flagship stores, which function not only as points of sale but also as spaces that enhance customer experience and brand visibility.

Major mixed-use developments are expected to play a significant role in shaping the future of the market. The Hellinikon project is set to substantially reshape the retail landscape in Attica by creating new high-standard commercial destinations. In particular, the Riviera Galleria is already attracting strong interest from both international and domestic tenants even before completion, demonstrating market confidence in the project’s prospects. Overall, retail development appears to be shifting toward models that combine shopping, entertainment, and experience, in line with evolving consumer expectations.

Alongside the positive outlook for the retail market, investment activity in commercial real estate is also showing strong momentum. In the first quarter of 2026, total retail investment volume reached approximately €534 million, marking a significant increase compared with previous periods. This development is mainly attributed to Prodea Investments’ landmark transaction involving the sale of a portfolio of 100 properties housing branches and retail outlets of the National Bank of Greece, for a consideration of €510.7 million. The transaction ranks among the largest carried out in recent years in the Greek commercial real estate market.

Overall, the prospects for the Greek retail and commercial property market remain highly positive. The continued expansion of international brands, the shortage of high-quality available space in prime locations, the development of landmark projects such as Hellinikon, and strong investment activity collectively create an environment expected to further support sector growth in the coming years.