Moscow retail expansion plans fall victim to recession

Shopping complex MoscowMoscow retail expansion plans: Plans to build 900,000 m² of new mall space in Moscow this year are rapidly receding as Russia’s growing economic crisis restricts developers’ access to financing and slashes consumer spending, according to analysts from both both Knight Frank and Jones Lang LaSalle (JLL). While Knight Frank’s Olga Yasko is predicting a 20% drop in projected construction activity, a report from JLL released last week puts that figure as high as 44%, or the cancellation of 400,000 m². “Everything depends on how many planned projects have already secured financing,” said its deputy head of research Olesya Dzyuba .