“With a diminishing number of new projects, ongoing adjustments and renovations of existing developments have consistently introduced fresh dynamics to the market. Although Chengdu’s total retail sales experienced slow growth, more robust incentive policies have driven increased consumption of electronic products and appliances, contributing to a stable average vacancy rate across citywide shopping malls.”

SOPHY PAN, SAVILLS RESEARCH

Policy boosted consumption of electronic products

• Retail sales of consumer goods in Chengdu reached RMB174.9 billion in the first two months of 2025, up 5.6 % year-on-year (YoY).

• No new shopping mall opened in Q1/2025. Chengdu retail market’s supply volume continued decreasing.

• Ito Yokado Plaza officially ended operation on Feb 28, which was then taken over by Jinjiang IMIX Park and is currently undergoing thorough renovation.

• Thanks to the bunch of policies to boost the consumption of electronic products and electrical appliances, citywide average vacancy rate of shopping malls remained stable around 10%.

• With limited leasing activity in Q1/2025, shopping malls’ average rent continued declining. The first-floor average rent reached about RMB 405 per sqm pmth, down by 2.5% YoY.

• Chengdu retail market is expected to continue the low supply trend in 2025. New shopping malls are more likely to be situated at the suburban areas or newly developed districts in the city.