Market Report | Austria 2025/2026
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Geschäftsflächenbericht
Introduction The economic climate, in general, and the difficult situation in the retail sector, in particular, underscore the need for structural transformation, initiative and innovation – more than ever today. And real
trade is no longer able to carry the current bureaucratic backpack. The uncontrolled growth of regulations, restrictions, gover- nmental constraints and audits must be urgently reduced. Among others, the rental contract fee which, for example, no longer applies to apartments, should be eliminated because it has become an inacceptable liability given the increasingly shorter lease terms. However, challenging times also bring new opportunities. The experienced EHL Retail Team will be happy to help you set course in a new direction and successfully realise your ideas.
estate investors and developers as well as retailers are showing day after day that they are ready and willing to meet these challenges. New developments and reforms are neces- sary but cannot be handled by companies alone, active participation by politics and public authorities is also required. The necessary developments require new and better operating conditions – the retail
Mag. Michael Ehlmaier FRICS
Mag. Stefan Wernhart MRICS
Managing Partner EHL Immobilien GmbH
Managing Director EHL Gewerbeimmobilien GmbH
Mag. Mario Schwaiger
DI Alexandra Bauer MRICS
Head of Retail Properties EHL Gewerbeimmobilien GmbH
Head of Office Agency EHL Gewerbeimmobilien GmbH
Austria | 2025/26
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Developments on the Austrian retail market
Innovation & new structures: Pressure for change in the re- tail trade The decline in purchasing power, changing consumer habits, rising costs, the steady expansion of online retail and the generally difficult economic climate have crea- ted major challenges for the Austrian retail trade. The pressure to change has now also spread to good loca- tions in the city centres.
The retail trade has faced a particularly challenging environment this year which has been reflected in weaker earnings, in- solvencies and a decline in the demand for space. Particularly evident is the structural shift of consumer spending away from the purchase of goods and more to services and vacation/leisure. The location consul- tants at “RegioData“ note that the share of non-food in consumer spending has fallen from 16 to 12.5 per cent, or by more than 20 per cent, over the past ten years. In other words “the money is there but is not finding its way into the retail trade. And not by accident, but structurally”. In addition, this year could also bring a decline in the real income available for consumer spending. The expiration of subsidies like the climate bonus, pension increases that are likely to fall below the inflation rate, and rising unemployment make the ‘pot’ smaller, while the previous sharp rise in personnel expenses and the continuing increase in energy prices have had a particularly negative impact on brick
and mortar retail.
normally be found fairly quickly for vacant space. The turnover is high, but vacancy rates are acceptable. However, new rentals have become much more difficult at smaller locations that have lost their attractiveness for consumers.” Relief is provided, to a cer- tain extent, by the fact that the continuous decline in space has not been offset by any notable new production. “Practically no new locations are under development, the expansion of existing locations is rare, and investments are generally focused on quality improvements.” Innovation and sustainability are no longer an add-on but a strategic necessity today. Retailers and retail properties are coming under increasing pressure to develop new concepts with a greater focus on services, the leisure experience and emotional factors.
This challenging situation is also noticeable in the market for retail space and is sprea- ding to the good, central locations that generally develop better than the market as a whole. Standort+Markt Managing Direc- tor Hannes Lindner places the vacancy rate for inner city areas at 5.5 per cent in 2024, which represents a substantial increase over the previous year. This is, however, mainly attributable to smaller cities where vacancies are nearly three-times as high at 15.6 per cent. Space occupancy is also affected by massive structural changes: The discounters who have tripled their market share over the last ten years are increa- singly entering top locations and the luxury segment is continuing to expand – not the least impressed by the economic crisis. “These numbers illustrate what we see in our work every day”, explained EHL’s retail specialist Mario Schwaiger. “The pressure to change is high in all inner city areas but in major cities, especially in Vienna but also in Salzburg and Linz, new tenants can
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Retail Market Report
Interview: City marketing creates the brand
Ms. Limberger: Today, every large and medium-sized city seems to have its own marketing campaign. But do bouncy castles and local events really benefit the retail trade and justify this direct or indirect co-financing? I wouldn’t count bouncy castles as part of city marketing. Events are basically only one of the many themes for city marketing, and here more or less a side issue, while special local festivities have a rather limited function. Modern city marketing creates a brand and uses a much broader range of instruments for its core objective: to present and create a greater awareness for the particular characteristics and strengths of a city. The quality of a location is also defined by
Nearly 150 years. Much of the space used for retail over the past decades was historically a location for production, traditional crafts or logistics. New uses must now be found for part of this space, for example through creative-artistic functions, services, leisure activities and entertainment, and much more. This interaction makes a city and its centre attractive and, in this way, to a more frequented, successful retail location.
retail trade when customers come via bicycle and not with an auto. The interac- tion in an attractive city is clearly much more than sealed space for mobility. I also see my job as a city marketer in providing support for optimisation. We know the respective city, its location pro- blems and opportunities, the real estate investors, current tenants, local parties interested in space, and the political and municipal decision makers. We connect these players and can develop solutions by consensus and by including all sides. An important aspect in this process is continuous cooperation with the real estate branch, especially brokers. Our job is to optimise and make the locations attractive, the broker must identify the company that can benefit the most from these efforts.
But in the end, aren’t hard facts like transport connections, parking or space efficiency more important?
Of course, a city must be accessible.
the emotions that consu- mers associate with a city, and strategically planned city marketing can make significant changes. And having said this, vacancies in many cities, also in top locations, are still fairly high…
Modern city marketing creates a brand and uses a much broader range of instruments for its core objective: to present and create a greater awareness for the particular characteristics and strengths of a city.
Dieser This strong focus on the retail trade is, based on the age of our cities, a recent development.
Whereby current studies impressively show the above-average benefits for the
Daniela Limberger
Vice-President of the Umbrella Association for City Marke- ting in Austria and Managing Director of the Location and Business Agency in Leonding
Austria | 2025/26
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Vienna Inner City
Vienna | Inner City: Comeback with luxury labels Many European shopping streets are currently confron- ted with vacances and a decline in frequency, but Vien- na’s Inner City is experiencing a surprising comeback. Supported by international tourism and driven by luxury labels, it remains one of the most dynamic retail loca- tions in Europe – with rising turnover, new brands and record pedestrian frequency.
The Vienna Inner City has been one of the most important retail locations in Europe for many decades. With its unique mixture of historical buildings, cultural charisma and international visitors, it is a magnet for
Inner City can almost match the Mariahilfer Strass – the previous undisputed number one among Vienna’s shopping streets.
pre-corona record levels in 2024 and 2025. This was a decisive impulse for many luxury labels whose business models are heavily dependent on international customer. Visi- tors from Asia, the USA and the Gulf states are responsible for a disproportionate share of turnover in the City. Local frequencies fluctuate as a result of changing work and consumer habits, but tourists are a source of stable revenues and premium purchases. Particularly noticeable is the connection between rising overnight stay statistics in the Vienna luxury hotels and increasing turnover in the so-called ‘Golden U’ – the axis between the Kohlmarkt, Graben and Kärntner Strasse. The luxury branch is, and remains, the strongest driver: Brands like Louis Vuitton, Chanel, Hermès and Cartier have steadily expanded their presence in recent years. And new market entries – like Celine
A central factor for this positive develop-
luxury labels as well as gastro- nomy and traditional retailers.
The Vienna City continues to defy the European trend: International tourists and luxury labels are the guarantee for sta- ble turnover and make the Inner City one of the most dynamic retail locations in Europe.
Many of Europe’s shopping streets are faced with declining frequency, rising vacancies and the growing popularity of the Internet, but the Inner City in Vienna has been remarkably resistant – and much, much more: It continues to grow and has retained its position as one of the most dynamic submar- kets in Austria. With roughly 210,000 sqm of selling space
spread over 1,428 shops along a street length of more than ten kilometres, the
ment is the comeback of international city tourism. Vienna nearly reconnected with
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Retail Market Report
New lettings Inner City 2024/25 (excerpt)
3
4
Meeting zone Pedestrian zone
7
Fashion
1
2
Fashion
2
6
1
Fashion
3
Watches
4
5
Fashion
5
Gastronomy
6
Bar
7
Watches
8
8
Shoes
9
Chocolate
10
(Kohlmarkt, 2025) and Loewe (Kohlmarkt, 2025) – underscore the attractiveness of the City for international labels. The Graben and Kärntner Strasse are the undisputed leaders with nearly 70,000 passers-by each day during the week and on the weekends. Also represented in this top group is the Kohlmarkt, Vienna’s luxury mile, where the frequency is comparatively lower but the clientele has above-average purchasing power.
Ø daily pedestrian frequency Kärntner Strasse Graben 56.037 57.783
9
10
31.681
Kohlmarkt
Source: WKO Wien
Austria | 2025/26
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Vianna Mariahilfer Strasse
Vienna | Mariahilfer Strasse: Vienna’s shopping mile in transformation
The Mariahilfer Strasse continues to hold its position as the most important shopping street in Austria – and, at the same time – is reinventing itself. The restart of the Lamarr shopping mall project, the extension of the underground system and the entry of inter- national flagship stores is creating an increasingly attractive urban adventure area where the retail trade, gastronomy and leisure activities smoothly interact.
With slightly over 212,000 sqm of selling space, the Mariahilfer Strasse has been Austria’s most important and longest shopping street for many years. It connects the Western Railway Station with the Inner City over a length of nearly two kilometres and is a magnet not only for Vienna’s residents but also for international guests.
the shopping mall has found a new owner with the Stumpf Group. After the difficulties encountered by the former developer, the project will now continue in a different form. Demolition on the shell started in spring 2024 with the removal of most of the lower floors. The current goal is to signifi- cantly reduce the construction volume and
mixed use: The front part of the building will still be reserved for selling space, while roughly 200 apartments are planned for the upper floors. These functions will be supplemented by a hotel in the rear part of the building. Of special note is the publicly accessible roof terrace, which is legally protected by an easement and also part of the latest planning. This new focus should make the former Lamarr project a lively urban building block that connects the retail trade, housing, the hotel business and public open space. The project is sched- uled for completion at the end of 2027 or the beginning of 2028. A related project by the City of Vienna involves the expansion of the Neubaugasse underground station, which will serve as a hub between the U2 and U3 lines. The station is already highly frequented and should become one of the most popular in Vienna. For the Mariahilfer Strasse, that will
The Mariahilfer Strasse has under- gone a fundamental transition in recent years that has confirmed its position as a top location for Vienna’s retail market. The Lamarr shopping mall on the Mariahilfer Strasse was once seen as one of the most important new construction projects for Vienna’s retail trade. The change in ownership raised the question of whether and
The Mariahilfer Strasse remains Austria’s most im- portant shopping mile – and is growing above and beyond retail: Housing, hotels and events make it a lively building block for the city’s future.
how the Lamarr’s vision would be realised. Originally developed by the Signa Group,
place the project on sustainable long-term footing. The revised concept calls for
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Retail Market Report
Excerpt from new rentals Mariahilfer Strasse 2024/25
2
3
1
5
6
4
9
8
10
7
3
mean a massive increase in visitor numbers and an even more attractive location for national and international retailers. Consumer habits have changed significant- ly in recent years. The focus on pure selling space has been replaced by adventure, brand staging and gastronomy. Consumers are no longer looking only for shops but for places that combine shopping with emoti- on, service and quality time. Examples are innovative concepts like the Adidas Brand Center, which opened in 2025 with state- of-the-art retail technology and interactive experience zones, or the numerous flagship stores operated by international brands which shape the image of the Mariahilfer Strasse. This offering is supplemented by a growing variety of gastronomy facilities that combine shopping with culinary highlights and make the Mariahilfer Strasse an in- ner-city experience area in which shopping, strolling and enjoyment intertwine.
Meeting zone Pedestrian zone
Pop-up stores create additional dynamics and temporary concepts set new impulses that create a diverse and lively ambience throughout the shopping street. New international market players also give the location a special boost: The cult label Dr. Martens opened its first Austrian store in 2024 and the Scandinavian lifestyle brand ARKET followed in 2025 with a representative flagship store and café. Austrian concepts have also contributed to this diversity – for example: Biogena Plaza, a further HONU Tiki Bowls location and Morawa booksellers at Mariahilfer Strasse 20 – a project accompanied by EHL Gewerbeimmobilien GmbH.
Gastronomy
1
Bookstore
2
Fitness
3
Fashion
4
Discounter
5
Health
6
Fashion
7
Shoes
8
Fashion Fashion
9
10
Ø daily pedestrian frequency Mariahilfer Strasse
154.599
15.781
Neubaugasse
Source: WKO Wien
Austria | 2025/26
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Retail Locations in Vienna and the Surrounding Areas
Wien Mitte The Mall
Goldenes Quartier
01
02
Top Shopping Locations
District
1030
District
1010
Total space
30,300 sqm
Total space
11,500 sqm
Gewerbepark Stadlau
Center Alterlaa
Westfield SCS
G3 Shopping Resort Gerasdorf
07
08
10
09
District
1220
District
1230
District
2334
District
2201
Total space
66,000 sqm
Total space
20,000 sqm
Total space
192,500 sqm
Total space
70,000 sqm
Landstrasser Hauptstrasse
Kärntner Strasse
Graben
Kohlmarkt
01
02
03
04
District
1010
District
1010
District
1010
District
1030
Total space
35,000 sqm
Total space
18,000 sqm
Total space
7,500 sqm
Total space
82,300 sqm
Favoritenstrasse
Innere Mariahilfer Strasse
05
06
07
More Shopping Streets
Meidlinger Hauptstrasse
1010 1010 1010 1020 1020 1070
Kohlmarkt
Rotenturmstrasse
Wollzeile
Taborstrasse Praterstrasse Neubaugasse
1080 Alserstrasse 1150 Äussere Mariahilfer Strasse 1160 Thaliastrasse
District
1060/1070 127,400 sqm
District
1100
District
1120
Total space
Total space
72,400 sqm
Total space
40,700 sqm
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Retail Market Report
BahnhofCity Wien Hbf
BahnhofCity Wien West
Auhof Center
Westfield Donau Zentrum
03
05
04
6
District
1100
District
1140
District
1150
District
1220
Total space
23,000 sqm
Total space
51,000 sqm
Total space
22,000 sqm
Total space
120,000 sqm
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More Shopping Locations
1150 1190 1200 1210
Lugner City
1010 STEFFL 1010 Ringstraßen Galerien 1020 Stadion Center 1030 GALLERIA 1070 Gerngross 1100 1100 Columbus 1110 Gasometer Shopping 1110 Huma Eleven 1110 ZS Zentum Simmering 1120 VIO Plaza
Q19
Milennium City
Citygate 1210 Shopping Center Nord 1230 Riverside
U1
A22
S2
U6
07
U4
06
U2
U5
02 03
U3
07
01
04
02
01
A1
U2
05
04
05
U4
U5
03
06
U3
U2
A4
08
U1
A23
U6
A21 A2 S1
Austria | 2025/26
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Success strategies for Austria’s retail trade
Cities need more than just retail Standort+Markt shareholder and corporate officer Roman Schwarzenecker on the necessary transformation of the retail landscape and bureaucratic obstacles that must be urgently removed to get brick and mortar retail back on track.
Mr Schwarzenecker: Is the situation in the branch-based retail trade really as bad as the media currently report with nervous regularity? Roman Schwarzenecker, Standort+- Markt: In connection with our publication “S+M City Retail Österreich“, we examine the 40 largest cities in Austria each year. The vacancy rate in the 24 largest inner city areas equalled 5.5 per cent in 2024 and showed a substantial increase over the previous year. That is, naturally, disappoin- ting but doesn’t mean the retail trade is generally in a bad state – in reality, the situation is very different. Developments in smaller cities are particu- larly negative, where vacancies have risen to 15.6 per cent. Small district capitals are also faced with substantially more massive issues than primary or secondary cities. Cities with a strong peripheral offering that are difficult to reach or have problems with the availability of parking find it particularly hard to support inner-city retail. However, retail is generally suffering from e-com- merce competition: It now makes up a
significant share of consumption, especially in city-relevant branches and this trend can be expected to continue in the coming years. We have also identified a certain shift in the opposite direction. An increase in vacan- cies is often accompanied by a reduction in space during the following year, and this space is directed to another (normally non-retail) use. This space is no longer included in the calculation, which leads to a decline in the vacancy rate in the next year. It would, however, be completely wrong to see this as an improvement in the situation. That’s why I always recommend a look at the data in detail. Lists that rank by vacancy rate can be very misleading.
nomy is not enough, the data clearly show this. The increase in gastro space has also been minimal, “Gastro is the new retail“ has never really materialised. In my opinion, cities and building owners have relied much too long on retail. The high rents were a great temptation to create retail space, and we now have a mono-structure that is causing problems. In the past, cities were much more multi-functional, not only with retail but also with medical and legal offices, commercial businesses and public facilities – that is also illustrated by analyses that data back to 1970. The trend is now moving in this direction. Compared with 50 years ago, the cities still have substantially more retail space than at the start of our data collection – even after the last reductions.
What would effective counterstrategies look like?
I hope we won’t see the same urban structures we had 50 years ago…
An orderly reduction in excess shop space will be necessary to address the increasing vacancies and structural shifts. Transfor- mation strategies can help to minimise vacancies and support the functional redesign of cities. A sole focus on gastro-
Certainly not, even though it’s definitely a real challenge to keep city centres attractive or, in some cases, to make them attractive again. We are seeing a general polarisation in location development. Luxury
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Retail Market Report
shops are becoming more important (at a li- mited number of locations) and discounters are gaining ground (promotional product markets are one of the few business forms
the ambience and shopping experience of a city. An inner city visitor is definitely more inspired by boutique store windows and less by supermarkets or bank branches.
supply chain and waste regulations also don’t make life easier. And then we often have very peculiar fees, like the charge for commercial rental contracts. The latest discussions are focused on the preferential treatment of e-commerce: Internet retailers can be open 24/7 and hire staff with other (more business friendly) collective agreements, while brick and mortar retail is fighting with much less efficient weapons – to use a fairly martial metaphor.
that are actual- ly expanding), while the “broad middle” is shrinking. Struggling companies like
Luxury shops are beco- ming more important and discounters are gaining ground, while the “broad middle” is shrinking.
What can be done to counter this development? It appears to be really problematic at some locations.
kika/Leiner, Gerry Weber, Jones, My Shoes, Reno, Hallhuber, Northland, Palmers, Esprit etc. illustrate this trend. This list shows that the clothing branch has been particularly impacted by this development. Over the past decade, fashion & shoes have lost 120,000 sqm of space in Austria’s 24 largest inner cities. Clothing stores occupied nearly one-third of all shop space in 2014, but only take up slightly more than one-fourth today. For the appeal of inner cities, this decline is even more significant than the quantitative share of retail space because these shops define
Cities, retailers and property owners
are constantly hearing what they should do differently and what they should do better. But today, I want to emphasize the point that politics and the public authorities ur- gently need to do their homework because the retail trade is definitely suffering from a bureaucratic overload. In Austria, the retail trade is one of the most heavily regulated branches. For example: Driving and delivery bans make it difficult to supply branch locations, nine different regional development acts don’t really create transparency, and the EU
In conversation
Roman Schwarzenecker
Secretary General of ACSP - Shareholder and Corporate Officer, Standort+Markt
Austria | 2025/26
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Focus on the provincial capitals
Provincial capitals: The growing importance of tourism
Bregenz
Developments in the inner city retail locations of the largest provincial capitals have differed widely in recent times. But one thing they have in com- mon is the growing importance of tourism-related turnover.
Innsbruck
The development of the retail markets in the Austrian provincial capitals reflects the general trend towards concentration on a limited number of stronger locations. The markets in larger cities that receive greater attention from retailers continue to outperform the market as a whole. This applies to vacancies and rent levels as well as the supply of space. Salzburg Festival One particularly positive case at the present time is Salzburg. The vacancy rate in this festival city has dropped by nearly half and, according to S+M City Retail Austria, currently equals only 3.1 per cent. In the top locations, vacancies have fallen by slightly more than half and are now at a nearly negligible 1.7 per cent. The combination of this upward trend and the positive development of tourism – with overnight stays that have already topped the pre-corona level – is apparent, and the declines in the key fashion segment have been more than offset by branches like
gastronomy which are heavily dependent on tourism.
less than one to 5.5 percentage points and is now higher than the 1.9 increase to 5.1 percentage points for the entire inner city. A plus point, in contrast, is the end of the steady decline in space during recent years. With a minimal increase of 400 sqm to 169,100 sqm, Graz has consolidated its position as Austria’s number two after Vienna. The outlook for future development is linked to the economic situation in the region, which is heavily dependent on the crisis-torn automotive sector. Its importance for the future of retail trade and gastronomy is, at least over the short- term, more important than positive local measures to strengthen the location such as a new tram line near the Neutorgasse and the new sidewalks and cycle paths planned for completion this year. Further decline in vacancies for Linz Vacancy trends in the capital city of Upper Austria have recently been generally positive. According to S+M City Retail
The highly anticipated expansion of the Europark (currently 8,400 sqm to 50,700 sqm of selling space) is scheduled to open this year. Since this facility has a substan- tially larger catchment area than the city of Salzburg, a massive impact on the city centre is not expected. Any effects would also be moderated by the absence of a shopping mall in the inner city and the lack of an impact on the most important tourism revenues. Bad news for the city, in contrast, is the at least preliminary cancellation of the S-Link regional railway. It would have had the potential to entice consumers from the surrounding cities and communities to return to the city centre. Weak phase in Graz After several very positive years, Graz has started to weaken. The vacancy rate at prime locations has risen sharply from
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Retail Market Report
Linz
St. Pölten
Vienna
Eisenstadt
Salzburg
Graz
Klagenfurt
Austria, the vacancy rate fell by 1.1 to 3.0 percentage points in the inner city retail locations and by 2.0 to 2.8 percentage points at prime locations. Prime locations represent an above-average share of the total inner city space with 83,500 sqm of the total 141,500 sqm. New to the city are the McFit and FITINN fitness chains as well as the Trzesniewski delicatessen shop. The extensive refurbishment of the three central shopping centres – the Linzerie, Atrium and Passage – will be an important factor for the overall market. As an important frequency bringer, they play a key role for the inner city retail businesses. The neighbouring sections of the Landstrasse can only benefit to a limited extent from these projects. The street scene here is overshadowed by a number of larger vacan- cies, especially in the southern part of the
shopping axis. In contrast, development in the sections of the Landstrasse close to the main square is positive as a result of traffic calming and other plans for improvement. Difficult development in Innsbruck Vacancies in the retail location Innsbruck rose sharply during 2024/25: With an increase from 2.4 to 5.4 percentage points, performance in the prime locations was even weaker than the city where vacancies rose by 1.1 to 5.0 percentage points. And these numbers still do not reflect the complete situation because the exit of Media Markt from Kaufhaus Tyrol is not yet included. Together with this factor, the vacancy rate would equal roughly 7.8 per cent according to S+M City Retail Austria.
exceeds the pre-corona level. The main beneficiaries are the hot spots surrounding the Goldene Dachl, like the Herzog-Fried- rich-Strasse, and the gastronomy sector in general, while the Maria-Theresien-Strasse, which is more important for the location, is primarily frequented by local consumers. The city should benefit in the coming years from improvements for pedestrians and cyclists as well as an increase in the attractiveness of areas like the Bozner Square.
On a positive note, tourism in the Tyro- lian capital has recovered and currently
Austria | 2025/26
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Investment
Increasing interest by investors in retail properties
Mag. Franz Pöltl FRICS
Managing Partner EHL Investment Consulting GmbH
DThe real estate investment market presents a very fragmented picture in the retail area. Individual segments are again more popular with investors, while others are still confronted with major challenges. Investors have basically shown little or no interest in the retail segment since the outbreak of the pandemic at the beginning of 2020. This picture would also not be changed by the inclusion of the high, cyc- le-independent demand for supermarkets
and local shopping infrastructure which has continued for over ten years.
ting during the past five years. There are, however, signs of a trend reversal: Several retail parks and properties with local supply functions have already been sold this year and other similar transactions are currently in a stage of advanced negotiations. Investors generally place their trust in the Austrians’ purchasing habits, which means the shopping experience in stationary spaces is more important than online buying for consumer goods. This is also
The hype in the logistics sector which led to a strong yield compression was also visible in the retail segment, but with an opposite sign. There has not been a single transac- tion for a large, cross-regional shopping centre in Austria since the end of the last decade. Although retail parks have a prima- rily local supply function, investors’ interest in this segment was also rather disappoin-
Office and retail yields 2016 - 2025
7 %
6 %
5 %
4 %
3 %
2 %
2016
2017
2018
2019
2020
2021
2022
2023
2024
2025*
Retail (Retail park)
Retail (Shopping mall)
Retail (High street)
Office
*Forecast, Source: EHL Market Research | Q3 2025
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Retail Market Report
demonstrated by the square metre turnover in retail parks which, in contrast to the turnover from rentals in the fashion and shoe business with their predominance in shopping centres and high street proper- ties, have seen no significant decline in space productivity.
years. The seller side includes a wide range of groups from funds to private investors and developers. After the long standstill in transactions, they are benefitting by the growing interest of investors for their retail park sale plans. The buyers include private investors, special funds and, in part, also
which come onto the market.
The situation in traditional shopping streets like the Mariahilferstrasse, Favoritenstrasse or Landstrasse is completely different. It remains very challenging due to the noticeable trend in both rents and average shop layouts. These developments can be seen as a cost-side reaction by retailers to the decline in space productivity. Special situations have depressed not only retailers’ turnover but also the general sentiment: One evident example is the Mariahilfer Strasse in Vienna, which is confronted with ongoing underground hub construction as well as the change in development plans for the Lamarr shopping mall to cancel or reduce the available retail space.
In addition, retail parks also offer comparatively attracti- ve returns with prime yields of 5.75 per cent and average yields between 6 and 7 per cent for good, functioning centres. The continuing harmonisati- on of the tenant structure in centres and the high percen-
There has not been a sing- le transaction for a large, cross-regional shopping centre in Austria since the end of the last decade.
developers who see a potential in refurbis- hing
outdated centres.
tage of retailers in nearly all functioning centres is leading to a steady increase in the standardisation of retail parks as an investment product. The long phase of restraint has been followed by a number of property owners who have decided to test the market and put their properties up for sale. This offering has been met with a corresponding demand, given the fact that there have been few good and relatively risk-averse purchase options on the market for several
The high street property segment has become increasingly fragmented. The top locations in Vienna’s Golden U, Salzburg’s Getreidegasse and the Grazer Herrengasse are still sought after by both tenants and investors. There are virtually no price declines here and, in contrast, further rental increases can be found. With regard to yields, the changes in the interest landscape have left little to hardly any traces. This situation is also not expected to change because of the very limited number of properties in these locations
Reference projects: Investment
Franz-Jonas-Platz
FMZ Kapfenberg
This fully rented office and commercial building directly at the Floridsdorf railway station on Franz Jonas Platz 2-3 in Vienna’s 21st district was brokered by EHL to a private investor.
The Kapfenberg retail park with over 14,000 sqm of rentable space was brokered to the Saller Group from Weimar, Germany, which completed its entry into the Austrian market with this transaction.
Total Space Customer
11,035 sqm S Immo AG.
Total Space Customer
14,000 sqm
LLB Immo KAG
Austria | 2025/26
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Valuation
Key variable: vacancy risk
Astrid Grantner-Fuchs MSc MRICS
The vacancy risk has a significant impact on the sustainable achievable income and thus the market value of commercial space.
Managing Director EHL Immobilien Bewertung GmbH
In the income approach, vacancy risk is typically captured by applying percentage discounts to the gross income and by taking into account a market-standard risk of rental loss. The amount of these discounts depends on the type of proper- ty, the quality of the location, the rental situation, and market dynamics. The starting point for the analysis is an inventory : • Current vacancy rate • Remaining terms and structure of rental agreements • Creditworthiness and industry risk of tenants • Competitive situation at the location • Historical rental periods for comparable properties
For commercial space, the assessment of re-letability is also particularly important: • Attractiveness and flexibility of the floor plans • Technical equipment and state of modernization • Visibility, accessibility, and foot traffic Methodologically, vacancy risks are quantified in two ways: 1. Market-based derivation: Compari- son with vacancy rates and new lease durations in similar properties and locations. 2. Property-specific forecast: Scenario
In tight markets with structural changes in demand – for example, due to e-commerce or changes in consumer behavior – a more conser- vative risk assessment is required. In such situations, the valuation is based on a flat-rate discount for structural vacancy applied to the determined value. In weak locations, this can be as high as 30 %. As with the determination of sustainable rent, the vacancy risk is not a flat-rate figure, but requires an individual assessment specific to the property and market.
analyses of future occupancy rates, ta- king into account planned investments or expected changes in demand.
Reference projects: Valuation
ShoppingCity Seiersberg
DEZ Shopping Centre Innsbruck
This third largest shopping mall in Austria and the largest in the pro- vince of Styria is only 20 minutes by car from the Graz city centre. The location also connects direct- ly with the A9 motorway.
The DEZ in the Amras district of Innsbruck has roughly 130 shops with an annual visitor frequency of nearly 7.5 million as well as direct connections to the Inntal autobahn A12.
Total space Customer
88,400 sqm Finanz. Bank.
Total space Cusomter
36,000 sqm Finanz. Bank
18
Retail Market Report
Center Management
Next Level Entertainment
Georg Burgstaller, MA
In order to attract customers to shopping centers, entertainment and leisure offerings must be further developed. With innovative concepts, stationary retail can stand up to online competition.
Head of Asset Management EHL Gewerbeimmobilien GmbH
It has become an obvious fact that a successful tenant mix and broad product offering are no longer sufficient and shopping centres must now also rely on entertainment. But it is also evident that simply passing the time between shops is not enough to keep pace with the online competition. Many products – from clothing to electronics and food – are now often ordered from home and brick and mortar retail is losing customer frequency as a result. The undisputed efficiency benefits of online – time savings, product variety, comparability of offers etc. – must therefore be compensated or, in the best case, more than just compensated by the added
emotional benefits of physical shopping. Products alone no longer attract consumers into shopping centres, experiences, inspi- ration and recreational value have become important factors. A visit to a shopping centre should be fun, spark emotions and make social interaction possible. Bouncy castles and evergreens from the Hammon organ are definitely no longer enough, the focus has turned to creative, target group oriented and continuously updated offerings. Families with children and young people, in particular, are more likely to visit a shopping centre when it has more to offer than just shopping. Entertain- ment offers make a centre attractive for broader target groups and create emotional
ties to the location. That increases the time spent and, indirectly, also the turnover of the remaining retailers and gastronomy. The wide variety of international trends that are only beginning to take hold in Austria is impressive: Successful entertainment con- cepts include, for example, movie theatres, escape rooms, virtual reality zones, gaming areas, indoor playgrounds, climbing or tram- poline halls, temporary children’s gymnastic studios, cultural events, concerts, theatre performances, workshops, pop-up stands or art installations. Entertainment was once an additional offering but has now become a strategic core element of centre manage- ment and will remain so in the future.
Reference projects: Center management
Arena Mattersburg
A successful concept was implemented in the Arena Mat- tersburg with the help of EHL Center Management. The former P2 disco area was converted into an indoor recre- ation area and outfitted with a football cage concept. Indoor football court in the Arena
The Arena Mattersburg with 18,000 sqm of retail space in 30 outlets is the district’s most im- portant shopping centre. EHL has been responsible for manage- ment since 2021.
Total space Customer
18,000 sqm
LLB Immo KAG
Austria | 2025/26
19
Outlook
Top 7: Future trends on the retail market
From modern space to premium stores and flexible rental models: These seven trends provide a clear overview of the future for the Austrian retail market.
These seven most important medium- and long-term trends will influence the market for retail properties in Austria during the second half of the current decade:
the inner cities in popular destinations like Vienna, Graz, Salzburg and Innsbruck.
reduce vacancies, attract international businesses and create a more attractive shopping experience.
4. Stable top segment, weak secondary locations
7. More flexible rental agreements and usage concepts
1. Modernisation with no trade-offs
Major city centres, highly frequented shop- ping malls and trendy tourist locations can expect a continuation of the upward trend in demand. In contrast, secondary locations are faced with increasing pressure and, in part, are disappearing completely from the market.
Many commercial areas can no longer keep up with today’s requirements. Modern layouts for efficient use and technical upgrades – for example, stronger flooring for fitness centres – are essential in many cases to remain marketable over the long term.
Shorter contract terms are becoming more popular and the range of models is increasing: Scaled rents, space differenti- ation and turnover-based components are now much more important. This trend has been accompanied by the development of multi-functional zones that combine retail, services, co-working and events – while conventional shopping streets and malls are losing ground.
5. Stronger focus on convenience items and basic needs
2. Rising demand for reduced space
There is a growing demand for smaller to medium-sized selling space. Larger areas of 1,000 sqm or more are, in contrast, loosing their appeal – with the exception of the discount sector, which continues to focus on larger units.
The change in mobility behaviour and decline in competitive pressure from online retail have been reflected in a rising demand for supermarkets and convenience shops. Their share of the total demand for space will, as a result, continue to increase.
3. Premium/luxury and mono-brand stores
6. Pop-up stores and temporary uses
Short-term tenants have long since become much more than “gap fillers” for vacant space. The target-oriented management of pop-ups and temporary concepts can
High-status shops in the top segment are becoming increasingly important as a frequency anchor. The focus here is on
20
Retail Market Report
Market Entries and Relocations 2024 | 25
Selected Market Entries & Relocations
Mariahilfer Straße 70 1070 Vienna
Shoppingstraße 1 7111 Vienna
Shopping City Süd 1 2334 Vösendorf
Mariahilfer Straße 71 1060 Vienna
Kärtner Straße 1 1010 Vienna
Landwehrstraße 6 1110 Vienna
Kohlmarkt 6 1010 Vienna
Jasomirgottstraße 3a 1010 Vienna
Neubaugasse 22/24 1070 Vienna
Graben 17 1010 Vienna
Mariahilfer Straße 20 1070 Vienna
Mariahilfer Straße 122 & Mariahilfer Straße 42-48 1070 Vienna
Mariahilfer Straße 42-48 1070 Vienna
Mariahilfer Straße 52 1070 Vienna
Mariahilfer Straße 53 1060 Vienna
Austria | 2025/26
21
References
Our retail reference projects
Experience our expertise in action with a small selection of our rental mandates. From exclusive retail space at inner city locations to large-scale selling areas in retail parks or shopping centres – discover the many projects in our portfolio.
Game Over Escape
OURS Pilates
EHL Gewerbeimmobilien GmbH brokered 165 sqm of commercial space at Kärntner Ring 4 in Vien- na’s 1st district to OURS Pilates.
790 sqm of commercial space at Mariahilfer Strasse 103 was successfully brokered by EHL Ge- werbeimmobilien GmbH success- fully to Game Over Escape.
Total space
165 sqm
Total space
790 sqm
District
1010 Vienna
District
1070 Vienna
Viktoria & Viktor
Morawa
EHL Gewerbeimmobilien GmbH brokered 104 sqm at Porzellan- gasse 11 in the 9th district of Vienna to the exclusive Viktoria & Viktor fashion studio and shop.
EHL Gewerbeimmobilien GmbH brokered 1,333 sqm of space at Mariahilfer Strasse 20 in the 7th district of Vienna to Mora- wa, where this bookseller plans to open its third branch in the Austrian capital.
Total space
104 sqm
Total space
1.333 sqm 1070 Vienna
District
1090 Vienna
District
22
Retail Market Report
Pop Up: Fielmann
Woolworth
Following brokerage by EHL, the Woolworth retail chain rented two new areas in Vienna: 1,003 sqm at Meidlinger Strasse 70 in the 12th district and 2,044 sqm in the StopShop Stadlau retail park in the Donaustadt.
Fielmann opticians opened a pop- up store on127 sqm at Meidlin- ger Hauptstrasse 55 in the 12th district of Vienna. The space was brokered by EHL Gewerbeimmo- bilien GmbH.
Total space
127 sqm
Total space
3.047 sqm
District
1120 Vienna
District
1120+1220 Vienna
dm
FITINN
This druggist chain is expanding its selling space at the TELFSpark in Tiro. Based on brokerage by EHL Gewerbeimmobilien GmbH, an additional 475 sqm were rented.
Roughly 900 sqm of ground floor space in the 21-storey “High Five“ project on Bulgari Square in Linz was brokered by EHL Gewerbeimmobilien GmbH to the FITINN fitness chain.
Total space
475 sqm 6410 Telfs
Total space
900 sqm
District
District
4041 Vienna
Ernsting’s family
Kaiser’s
EHL Gewerbeimmobilien GmbH brokered 230 sqm of space to the well-known Ernsting‘s family fashion chain, which will become the location for a new branch in the “Stadtpark Center“ shopping mall in Spittal an der Drau.
EHL Gewerbeimmobilien GmbH brokered 92 sqm of retail space at Herrengasse 13 in Graz to “Kaiser’s Kaiser’schmarrn“, which is expanding its presence with this popular traditional Austrian dish.
Total space 230 sqm District 9800 Spittal a.d. Drau
Total space
92 sqm
District
8010 Vienna
Austria | 2025/26
23
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EHL Gewerbeimmobilien GmbH T +43 1 512 76 90-700 retail@ehl.at www.ehl.at
Cover: Mariahilfer Straße 20, 1070 Vienna | © EHL The information and forecasts in this report are provided without guarantee, warranty or liability. The electronic version of the report is available for download at www.ehl.at/research.
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