“Despite the challenges of increasing vacancies and rental adjustments, new retail projects along with the existing stock upgrade promoted the ongoing retail supply structure optimization, which lays a solid foundation for the market’s quality improvement in the future.”

VINCENT LI, SAVILLS RESEARCH



Retail market experiences further adjustment

• Total retail sales of consumer goods decreased 5.1% year-on-year (YoY) to RMB866.1 billion in the first eight months of 2025, whilst general retail and F&B sales were RMB775.3 billion and RMB90.8 billion, respectively.

• In Q3/2025, four new projects, Longfu Phase II in Dongcheng District, Beijing Fun Phase II in Xicheng District, Fang Hua Li in Haidian District and Beijing Shangde Yintai City in Daxing District, entered the Beijing retail market, collectively bringing 213,600 sqm of retail space.

• By the end of Q3/2025, the citywide shopping mall stock reached 13.82 million sqm.

• The citywide shopping mall vacancy rate increased 1.6 percentage points (ppts) quarter-on-quarter (QoQ) to 8.6%.

• In Q3/2025, citywide shopping mall first-floor rents stood at RMB748.2 psm pmth, down 1.4% QoQ.

• Prime first-floor rents stood at an average of RMB1,275.3 psm pmth, down 2.5% QoQ. Non-prime first-floor rents decreased by 0.4% QoQ to RMB564.9 psm pmth.