The catchment area of a Shopping Centre is a Key factor when evaluating the feasibility of a potential scheme. In this respect, Gentalia considers:
To determine the potential success of a Shopping Centre, an in-depth study of local competition must be undertaken, taking into consideration the following factors:
Territorial scope and catchment area: The Centre may have a catchment area of regional, urban or supra-regional character. Depending on the type of scheme, isochrones at 10, 20, 30, 60 and 90 minutes are studied and the resultant catchemnt areas compared with those of schemes currently operating or due to be developed in the future
Access to the centre, both now and in the future
By pedestrians, by public or private trasnport. In order to facilitate easy access, consideration is given to correct signage, as well as to possible traffic or parking problems within the catchment area.
Types of Competition
Nature of existing or future competition: shopping and/or leisure centres, pure leisure schemes, retail parks, outlet centres, multiscreen cinemas, fitness centres, bowling alleys, supermarkets, etc
State of the competition
Extracting all the relevant facts in relation to competing schemes such as size, planning statuts, developer, strengths and weaknesses, etc.
Guidelines to be taken into account when establishing the size of a Shopping Centre include:
- Defining the Centre Concept – it´s market positioning
- Size based on sales potential
- Percentage of leasing activity (Tenant Mix)
- Distribution of leasing activity on plan to enhance internal circulation and avoid dead zones
At the time of conceiving the centre from an architectural point of view there are several factors to be taken into account:
- Access, parking.
- Distribution of leasing mass and architectural volume
- Flow of visitors
- Horizontal and vertival communications
- Utilities: electricity, plumbing, air-conditioning, etc
- Requirements of retail units: good lifts, loading docks, rubbish disposal, etc
Once the feasibility of the Shopping Centre is established, an appropriate tenant mix must be found. This depends on the type of retailers incorporated to the scheme: food, apparel, leisure, restaurants, household goods, etc
The process starts with the design and preparation of a Leasing Brochure wich draws together the principal characteristics of the project (location, design, catchment area, tenant mix, ...)
2Negotiation and signing of the anchor units
Based on the design concept and desired tenant mix of the centre, the leases process starts with the presentation, negotiation and signing of the anchor units: Multiplex cinemas, bowling alleys, sport superstores, appareal, household goods, ... essential for the subsequent presentation of the project to the market.
Next, the scheme will be presented to the major national and international retail chains as well as to the key franchises. Local retailers will also be identified and contacted.
Management and Operation
Management in all senses
Keeping the Shopping Centre "alive" day-to-day, providing the means for retailers to increase sales:
Safeguarding the return of investment:
The management methodology
The management methodology to be applied starts with the fixing of a strategic medium term plan based on annual objectives, from which are derived management plans; operating management, asset management and re-leasing.
Management covers all areas
Management covers all areas: real estate, leasing, marketing, administration, legal and financial. Together they contribute to a global service.
The Centre Owner will be kept constantly informed
The Centre Owner will be kept constantly informed about the management of the centre through periodic communications and reports.
Real Esate Management
Maintenance and preservation of the centre through services such as security surveillance, cleaning gardening and building repairs.
Various activities directed at attracting the end user, such as product promotions, leisure, exhibitions, as well as follow-up and study of customer behaviour in order to better focus activities.
Budget optimisation and control
This encompasses actions to prepare the service charge budget as well as follow-up, administration and accounting control, tax returns, cash flow and banking, invoicing and control suppliers.
In order to maximise returns on the property asset, the following works are undertaken:
Monitoring and enforcement of lease contracts
Negotiation and implementation of lease variations
Invoicing and rent collection
Reporting and management plans
Analysis of profitability and of sales and invoicing of variable (turnover rents)
To assist in the implementation of management activities, various legal procedures are carried out such as:
Advice and drafting of lease contracts
Term extensions, subrogations rights
Follow up of litigation, lease contract enforcement and legal summons