Selling or letting retail space: which yields more in 2026?
The short answer
Leasing yields more in the long term when you have a reliable tenant, the property is marketable, and you can handle the management. Selling yields more when the rent is below market, a sustainability investment is coming up, or the shopping area is structurally shrinking. The turning point is almost always in two numbers: the net yield after owner costs and the investment you still have to make over the next five years.
The calculation example
Take a retail space of 140 m² in a secondary shopping street, leased for €28,000 base rent per year.
With an indicative value of €311,000 (rent divided by a BAR of 9%), that is a net yield of approximately 6.5%. If €60,000 needs to be spent on facade repairs, installations, and sustainability within three years, that yield drops to just over 4% over that period. That is the moment when selling comes seriously into focus.
Five factors that tip the scale
- Remaining term of the rental contract. Below two years, the rent only counts for half in the valuation.
- Difference between contract rent and market rent. If you are above market, you sell now at a higher value than after a rent review.
- Sustainability task. For offices, the label requirement already applies; for shops, pressure from financiers has increased in recent years.
- Management burden. Small retail tenants require more attention than a national chain.
- Development of the shopping area. If vacancy in the street is structurally increasing, you are buying time, not yield.
What we see in practice
Owners underestimate how quickly a retail property 'burns' on the market. If a property is publicly for sale for twelve months, buyers assume something is wrong and bids drop. It is better to determine your bottom line in advance, compare two routes side-by-side, and make a decision within three months.
How to prepare for the choice
- Request a rental value indication from a local commercial estate agent.
- Have a multi-year maintenance plan (MJOP) drawn up; this is also useful when leasing.
- Request a direct offer to have a hard floor price.
- Calculate both scenarios over five years, including taxes.
You can find more in-depth information on our page about selling a shop property and in the explanation on valuation of investment properties.