UK developer St Modwen backs away from retail property after Brexit vote

London

BRITISH property developer St Modwen will not embark on any major retail projects as brick-and-mortar retailers are squeezed by lower consumer spending and the growing threat from online rivals.

The company would instead focus on building houses in areas with strong demand as well as "sheds and beds" as it looks to capitalise on the growth in demand for warehouse and logistic sheds from e-commerce companies and student accommodation projects, chief executive Mark Allan said. "In terms of actually putting projects on hold, the only thing I would point to is that we're cautious about retail investment and therefore not looking to invest into new retail development at this point," Mr Allan told Reuters.