Demand for the reconceptualization of retail properties is strongest in Ukraine’s central regions, while western Ukraine is experiencing a boom in new retail formats, Yevhenia Loktionova, Director of UTG, told Interfax-Ukraine.
"Demand for the reconceptualization and creation of new real estate formats in Ukraine as of 2026 is extremely high and is currently in a phase of active practical implementation. Internal migration, changing consumer behavior, and heightened security requirements have forced developers to fundamentally rethink their approach to commercial real estate," Loktionova said.
Requests for reconceptualization projects and their implementation are distributed unevenly across regions due to security considerations and capital concentration.
According to UTG, the highest demand for reconceptualization is observed in the central regions and the capital. Owners of properties in Kyiv most frequently commission audits and redevelopment concepts because competition in the capital is intense and tenant requirements are very stringent.
"We see older or inefficient shopping and entertainment centers, particularly those exceeding 50,000 square meters, being actively reformatted. Large entertainment zones and vacant galleries are being replaced with mixed-use spaces that include coworking facilities, medical centers, offices, and sports hubs," Loktionova said.
According to her, the market is now focusing on retail parks—compact single-story complexes with floor areas of 10,000-20,000 square meters and dedicated parking—as well as local and neighborhood shopping centers in residential areas built around the concept of ‘shopping close to home,’ rather than traditional mega malls.
Western regions, including Lviv, Uzhgorod, Mukachevo, Ivano-Frankivsk, and Chernivtsi, are generating a steady flow of requests for entirely new formats designed to meet the needs of relocated businesses and new residents. In practice, these regions are the clear leaders in implementing such projects. According to the expert, these developments currently demonstrate rapid payback periods, often within just a few years.
As for the southern and eastern regions, including Odesa, Dnipro, Kharkiv, and Zaporizhia, demand is also increasing, although requests are primarily defensive and adaptive in nature.
"Businesses are looking for solutions to restore damaged facilities or create underground and protected retail spaces," Loktionova said.
Across all regions, developers are placing particular emphasis on autonomy, security, and accessibility. A mandatory feature of any renovated or newly developed format is the availability of properly equipped certified shelters, as well as autonomous power and water supply systems.
UTG was founded in 2001 and has developed more than 1,300 real estate concepts. Over the years, with the company’s involvement, 4.7 million square meters of commercial space have been leased in Ukraine.
