China’s shoppers head for suburban outlets, a bright spot in retail property

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Outlet stores in suburban China are experiencing a boom in popularity, contrasting with struggles faced by traditional and luxury malls. These outlets offer discounted prices on well-known brands, attracting consumers like Beijing office worker Steven Zhou who seek better deals and a more convenient shopping experience. Analysts attribute this growth to changing consumer preferences for rational spending and weekend trips. Sales from outlets nearly doubled between 2021 and 2025, reaching 248 billion yuan (US$36 billion), establishing them as a key driver for retail sales across the mainland. This popularity is encouraging developers to invest in new suburban outlet locations, with several openings in recent months and more planned for the year.
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