In 2008, nearly 5 million ft2 of space in large retail developments will open in the UK, in projects ranging from mixed-use schemes in Bristol and Liverpool to enclosed malls such as London’s White City.These openings mark the high point of the retail development cycle.

However, as the impact of the credit crunch has widened, prospects for rental growth and increasing capital values have declined. As a result, the next generation of centres could be developed to very different value criteria, involving the review of many aspects of investment including public realm, logistics, sustainability and links to public transport.

The revival of retail development has also coincided with the work of the Urban Task Group and Cabe, which have championed the cause of mixed-use urban regeneration. Although the overall aim of retail development remains focused on generating pedestrian flow and providing the right retail mix to create critical mass – the wider development challenge has become significantly more complex, involving the reintroduction of town-centre housing, the creation of a vibrant, mixed-use economy and the enhancement of the sense of place and connectivity within the town centre.

One consequence has been the emergence of alternative models of retail development, characterised on the one hand by enclosed malls, and on the other by the development of more traditional streetscapes with a mix of covered and open space.

Although enclosed malls have many advantages with regard to the creation of a high-quality retail environment, they can be difficult to integrate into an existing town centre. By contrast, the absence of weather protection found in open schemes is seen as a disadvantage by some development partners.