Professional Documents
Culture Documents
Introduction To Malls
Introduction To Malls
Paper 580/2.2
Whats mall ?
Mall can refer to either a shopping mall a place
where a collection of shops all adjoin a pedestrian
area or an exclusively pedestrians street that allows
shoppers to walk without interference from vehicle
traffic.
Mall is generally used in North America to refer to a large
shopping area usually composed of a single building which
contains multiple shops, usually "anchored" by one or more
department stores surrounded by a parking lot, while the
term arcade is more often used, especially in Britain, to refer
to a narrow pedestrian-only street, often covered or between
closely spaced buildings. A larger, often partly covered and
exclusively pedestrian shopping area is in Britain also termed
a shopping centre, shopping precinct, or pedestrian precinct.
A shopping mall or shopping centre is one or more
buildings forming a complex of shops representing
merchandisers, with interconnecting walkways
enabling visitors to easily walk from unit to unit, along
with a parking area a modern, indoor version of the
traditional marketplace.
Classes of malls
Regional malls
A regional mall is, per the International Council of Shopping Centers, in the United
States, a shopping mall which is designed to service a larger area than a
conventional shopping mall. As such, it is typically larger with 400,000sqft
(37,000m2) to 800,000sqft (74,000m2) gross leasable area with at least two
anchors and offers a wider selection of stores. Given their wider service area, these
malls tend to have higher-end stores that need a larger area in order for their
services to be profitable. Regional malls are also found as tourist attractions in
vacation areas.
A super regional mall is, per the International Council of Shopping Centers, in the
U.S. a shopping mall with over 800,000sqft (74,000m2) of gross leasable area, and
which serves as the dominant shopping venue for the region in which it is located.
Outlet mall
An outlet mall (or outlet centre) is a type of shopping mall in which manufacturers
sell their products directly to the public through their own stores. Other stores in
outlet malls are operated by retailers selling returned goods and discontinued
products, often at heavily reduced prices. Outlet stores were found as early as 1936,
but the first multi-store outlet mall, Vanity Fair, located in Reading, PA didn't open
until 1974. Belz Enterprises opened the first enclosed factory outlet mall in 1979, in
Lakeland, TN, a suburb of Memphis.[
Components
Food court
A common feature of shopping malls is a food court: this
typically consists of a number of fast food vendors of various
types, surrounding a shared seating area.
Department stores
When the shopping mall format was developed by Victor
Gruen in the mid-1950s, signing larger department stores was
necessary for the financial stability of the projects, and to
draw retail traffic that would result in visits to the smaller
stores in the mall as well. These larger stores are termed
anchor store or draw tenant. Anchors generally have their
rents heavily discounted, and may even receive cash
inducements from the mall to remain open. In physical
configuration, anchor stores are normally located as far from
each other as possible to maximize the amount of traffic from
one anchor to another.
But many experts consider Highland Park Shopping Village in Dallas , Tex.,
developed by Hugh Prather in 1931, to be the first planned shopping center.
Like Country Club Plaza, its stores were built with a unified image and managed
under the control of a single owner, but Highland Park occupied a single site and
was not bisected by public streets. And its storefronts faced inward, away from the
streets, a revolutionary design.
In the 1930s and 1940s, Sears Roebuck & Co. and Montgomery Ward
set up large, freestanding stores with on-site parking, away from the
centers of big cities. Nighttime shopping was inaugurated at Town & Country
Shopping Center in Columbus, Ohio, when developer Don Casto hired Grandma Carver (a
woman who dived from a 90-foot perch into a 4-foot pool of flaming water), to perform
her act in the lighted parking lot, bringing shopping center promotion to a new level.
The early 1950s marked the opening of the first two shopping centers
anchored by full-line branches of downtown department stores.
Northgate in Seattle, Wash., (two strip centers face-to-face with a
pedestrian walkway in between) opened in 1950, and Shoppers World
in Framingham, Mass. (the first two-level center), debuted the
following year.
The concept was improved upon in 1954 when Northland Center in Detroit, Mich.,
used a cluster layout with a single department store at the center and a ring
of stores around it. The parking lot completely surrounded the center.
Northland was also the first center to have central air-conditioning as well as
heating.
Suburban development and population growth after World War II created the need for
more housing and more convenient retail shopping. Most of the centers built in the 1950s
and 1960s were strip centers serving new housing developments.
Regional malls like South dale and The Galleria in Houston, Tex., had become a fixture in
many larger markets, and Americans began to enjoy the convenience and pleasure of
mall shopping. During the 1970s, a number of new formats and shopping center types
evolved.
were built in Baltimore, Md., New York, N.Y., and Miami, Fla., and have been emulated in a
number of urban areas.
The Bicentennial year also marked the debut of the countrys first urban
vertical mall, Water Tower Place, which opened in Chicago, Ill., on Michigan
Avenue. To many experts, Water Tower Place with its tiny stores, hotel, offices,
condominiums and parking garage, remains the preeminent mixed-use project
in the United States. With the opening of Water Tower Place and Faneuil Hall, the
shopping center industry had returned to its urban roots.
The 1980s saw an unparalleled period of growth in the shopping center industry, with
more than 16,000 centers built between 1980 and 1990. This was also the period when
super regional centers (malls larger than 800,000 square feet) became increasingly
popular with shoppers. In 1990, a Gallup poll found that people shopped most frequently
at super regional malls and neighborhood centers.
Between 1989 and 1993, new shopping center development dropped nearly 70%, from 1,510
construction starts in 1989 to 451 starts in 1993. The sharp decline in new center starts was attributed
to the Savings and Loan crisis, which helped precipitate a severe credit crunch. While overbuilding
occurred among small centers in some regions of the United States, shopping centers remained the
most attractive and best-performing real estate category for investors during this difficult period.
The year 1993 was marked by the transition of several privately held, familyrun shopping center development companies (Simon, Taubman, etc.) into
publicly traded real estate investment trusts (REITs ). The access to Wall Street capital
provided a financial jolt to an industry that still had not fully recovered from the credit crunch.
One of the newer retail formats that has become increasingly popular in the
United States is the power center, which loosely defined is a center between
250,000 and 600,000 square feet, with approximately 75% to 90% of its space
occupied by category killers or destination anchor stores. Power centers are
often located near regional and super regional malls. San Francisco-based Terranomics
is credited with pioneering the concept at 280 Metro Center in Colma, Calif. In 1993, 16 power centers
opened in the United States, compared with only four super regional malls.
Factory outlet centers were one of the fastest growing segments of the shopping center industry in the
1990s. In 1990, there were 183 outlet centers. Today, there are over approximately 312 outlet centers in
the United States. Outlet malls are tenanted by manufacturers selling their own goods at discounted
prices. Some large projects combine outlet stores with traditional off-price stores like Marshalls. One
such project, Sawgrass Mills in Sunrise, Fla., is more than 2 million square feet and features outlets,
discounters and retail clearance stores.
The largest mall in the United States is currently Mall of America in Bloomington, Minn., which includes
a seven-acre amusement park, nightclubs, restaurants and covers 4.2 million square feet (with about
half that total devoted to retailing). The center has been heralded as a bellwether for its innovative
mixture of entertainment and retailing. The forerunner to Mall of America, and the largest mall in North
America, is West Edmonton Mall in Alberta, which encompasses 5.5 million square feet.
As the 1990s drew to a close, Internet retailing was heralded as the wave of the future and a
threat to the stability of the shopping center industry. In July of 1998, Time magazine predicted
the demise of the shopping mall. In bold type, Times cover advised its readers to, Kiss Your
Mall Good-Bye: Online Shopping is Cheaper, Quicker and Better. While the cover was purely
sensational, the tone was clear. The shopping center industry was under attack, yet again,
from an alternative shopping format. Several years earlier similar claims were made about the
impact home television shopping would have on the industry. In fact, the cover of
BusinessWeek magazine in July of 1993 read, Retailing Will Never Be the Same: The Home
Shopping Revolution.
Unlike home television shopping, Internet retailing quickly captured the attention of the public,
the media and Wall Street as companies rushed to develop websites that would sell directly to
consumers. In the euphoria it mattered little that many of these Internet companies had little
or no retail experience.
Fearing the cannibalization of store sales, brick-and-mortar retailers at first were hesitant to
sell directly to the public via the Internet. However, when it became apparent that they had
some clear advantages over pure Internet retailers (brand name recognition, distribution
facilities, supplier relationships, ability to accept returns at stores, etc.) brick-and-mortar
retailers launched their own websites. These advantages quickly paid off for brick-and-mortar
retailers. In fact, in 1998, brick-and-mortar retailers websites captured 60% of online sales.
In addition to buying online, brick-and-mortar retailers discovered that their consumers were
using the web as a research vehicle. Consumers were logging on to retailers websites to
search for goods, and services, and armed with product information, were making purchases at
stores. Thus the Internet has transformed a large and growing number of retailers into multichannel retailers with all sales channels (stores, web, and catalog) working as one to help
retailers maximize the value of their brands.
Understanding that there is great synergy between the Internet and brick-and-mortar stores,
shopping centers owners have created their own websites and are working with their retail
tenants to create distribution channels to satisfy the consumer, whether the consumer decides
to shop at a shopping center, on the Internet or both.
Shopping Center
Types
Mall: any large shopping center (usually enclosed) with adjacent parking and
out buildings
Open-air: a shopping center in which stores are directly accessible to the public; exterior
walkways may be covered, but the stores are not enclosed under a single roof
Outlet (or off-price) mall: a shopping center with national brand-name retailers,
factory outlets, or close-out outlets selling discounted merchandise
Power mall: a shopping center containing several category-killer stores, such as homeimprovement, discount department, toys, and stationary
Regional center: a shopping center with 400,000 to 800,000 square feet GLA, often an
enclosed mall, with 40 to 100 stores anchored by one or more department stores
Shopping center: a planned group of connected retail stores, usually with an attached
parking area, specially developed on a parcel of private property and managed by a
single organization
Strip: a small open-air neighborhood shopping center, typically smaller than 10,000
square feet GLA , with at least three stores, arranged in a connected row facing a parking
area
Super-regional center: the largest classification of shopping center; it is usually an
enclosed mall larger than 800,000 square feet GLA with more than 100 stores, including
several department stores
Urban mall: shopping center located within a city, the largest of which may be on
several levels with adjacent multi-level parking
Value-oriented mall: a large shopping center characterized by low-end, discount, and
outlet stores
Village center: an open-air shopping center having several wings and often a central
plaza
General Terminology
Anchor stores: the largest retail outlets, usually located at the ends or corners of
shopping centers, and chosen in part for their potential to attract customers to the
shopping center generally; departments stores usually anchor regional and super-regional
malls and supermarkets are typical anchors in community centers
Arcade: an entertainment area offering coin-operated computer games and other
amusements
Back of the house: the office, stock room, and other non-retail areas of a store
Big box: a large stand-alone store that specializes in a single line of products, such as
home improvements, toys, or office supplies; no-frills discount stores that sell in volume
and category killers are often big box stores
Brownfields: a potential shopping center site contaminated by chemicals, such as a
former industrial location
Cart: a wheeled display from which merchandise is sold in pedestrian areas of a mall,
often fitted out with shelves, display racks, and the like
Cash wrap: the front counter with the cash register and often a wrapping or packing area
Category killer: a large national chain store specializing in one line of products, such as
home improvements, office supplies, or toys, that can overwhelm both smaller and more
diverse competitors because of its size, variety of merchandise, and prices
Community room: an area available for public use, ranging from a bare meeting room
that can accommodate folding chairs and tables to a more elaborate hall with stage,
adjacent kitchen, and other services
Double dumbbell shape: a cross-shaped shopping center with anchor stores at the end
of each cross
Draw tenant: a store that attracts a large number of potential customers to a shopping
center, often an anchor store
Factory outlet: a retail store that sells merchandise direct from the
manufacturer, usually at reduced prices
Gross lease able area (GLA): the total area of floor space (usually cited in square feet)
leased for retail shops, consumer services, and entertainment, including restaurants. The
total floor area of any shopping center or mall is inevitably larger than the gross leaseable
area; the difference can be accounted for by mall offices, utility areas, storage, rest rooms,
interior plazas, and other non-revenue producing spaces. Areas that are not let on longterm leases, such as assembly halls, exhibition space, public meeting rooms, and the like
are usually not included in GLA figures, though they may produce some rental revenue.
Junior department store: (1) a small department store offering a limited selection of
goods; (2) a scaled-down version of a full-sized department store
Mall mayor: the retailer who acts as the informal spokesperson for the tenants of a
shopping center
Mall walker: person who walks in a shopping center for exercise, especially during a
period set aside for this purpose before stores have opened in the mornings
Market area: the geographical area from which a shopping center draws its customers
Mall rat: young person who frequents a shopping center primarily for socializing and
entertainment, rather than for shopping
Off-price center: a retail store that sells brand-name clothing or other goods (often
with labels removed) at reduced prices
U-shaped: a linear array of stores forming the shape of the letter U, with anchors
placed in the center or on the two ends and parking inside the U
Amusement park
Today's scenario
excerpts
Amusement Parks
Are recreational
facilitiesas:
that offer a
in
India
varied range of entertainment
Recreation industry in
India
Recreation Industry is
Government Support
New projects shall be exempt from Luxury Tax for ten years
from the date of commencement of commercial operations.
New projects shall be exempt from Sales Tax for ten years from
the date of commencement of commercial operations.
Dedication
"To all who come to this happy place welcome. Disneyland is your land. Here age
relives fond memories of the past and here
youth may savor the challenge and promise
of the future. Disneyland is dedicated to the
ideals, the dreams, and the hard facts that
have created America ... with the hope that
it will be a source of joy and inspiration to
all the world."
Walter E. Disney, July 17, 1955 4:43pm
Concept and
construction
The concept for Disneyland began one Sunday,
when Walt Disney was visiting Griffith Park with
his daughters Diane and Sharon. While watching
his daughters ride the Merry-Go-Round he came
up with the idea of a place where adults and
their children could go and have fun together.
His dream would lie dormant for many years.
Walt Disney's father helped build the grounds of
the World's Columbian Exposition of 1893 in
Chicago. This perhaps gave Disney the creative
spark whence Disneyland originated.
Park layout
When the park initially opened, it
consisted of five themed areas:
Adventure land
Critter Country
Fantasyland
Tomorrow land
Fantasy
Land,
Mumbai
The Fantasy Land
is one of the
leading theme
parks in Mumbai.
The park, Located
at Jogeshwari is
rich with all sorts
of new rides,
which drags
attraction from
people all round
the country.
Kishkintha,
Chennai
Athisayam
Amusement
Park, Madurai
Located in Madurai near the
Vaigai River, the Athisayam
Amusement park is a marvelous
entertainment center for
children, adults and old. The
park showcases enough for all
kinds of people including the
different rides, which are
wonderful. The Athisayam Park
is famous for its cleanliness and
safety. Athisayam was born on
2000.
MGM Dizzy
World, Tamil
Nadu
Veega
Land,
Cochin,
Veega
Land is situated 300 feet
above sea level and is set amongst
30 acres
of surpassingly grand and
Kerala
incomparably idyllic environs, at
Emaar Properties
The Dubai Mall has 1015 distinct 'mallswithin-a-mall', totaling 9 million ft (84 ha) of
shopping retail space (comprising of a total of
1200 stores, when fully operational). Featured
attractions include: the world's largest Gold
Souk with 220 retailers; the 850,000 sq ft
(79,000 m2) Fashion Catwalk atrium; Fashion
Island (Avenue), with 70 stores dedicated to
haute couture; the Middle East's first Galleries
Lafayette department store; Oasis Fountain
Waterfall; and Waterfront Atrium. Other
attractions include the region's first SEGA
indoor theme park, SEGA Republic covering
76,000 sq ft (7,100 m2); KidZania, a 80,000 sq
ft (7,400 m2) children's 'edutainment' centre; a
22-screen Cineplex, the largest in Dubai; and
The Grove, an indoor-outdoor streetscape with
fully retractable roof. It also features over 160
food and beverage options, 220 gold &
jewellery outlets; a supermarket and an
organic food mart. Among the shops is British
toy store Hamley's, which opened a 32,000square foot (3,000 m) store that includes a
replica of London's Regent Street, with the
franchise owned by Retail Arabia
2005
West Edmonton
Mall cont..
Location
Canada
Opening date
1981
Developer
Management
Owner
Edmonton, Alberta,
September 15,
Triple Five Group
Stacey Claffey
800+
8
350,000 m2
(3,800,000 sq ft)
20,000+
World Waterpark
The World Waterpark is the world's largest
indoor waterpark, built in 1985, with a size
of over 20,000 square meters (4.9 acres).
The park has the world's largest indoor
wave pool and is known for its high-speed
water slide called the Sky Screamer, which
is often mistaken as the park's tallest slide
at 24 meters (79 ft). The highest slide in
the park is the Twister, which is 25.3 meters
(83 ft) high. The wavepool has six wave
bays, each with two panels with a total of
1,500 horsepower (1.1 MW) generating
waves up to two meters high.
Ice Palace
Professor WEM's
Adventure Golf
Gallery
Bourbon Street
Chinatown
Europa Boulevard
Masks at Bourbon Street
Food courts
Europa Boulevard
Cevahir Mall
Location
Istanbul,
Turkey
Address
Bykdere Cad
No. 22 iliIstanbul
Opening date
15 October
2005
Developer
Cevahirler
Group
Management
Jones Lang
LaSalle
Owner
St Martins
Property Group
Opening date
Developer
Management
Owner
No. of stores and services
No. of anchor tenants
Storage,
Cinemas
October 2003
Berjaya Group
Berjaya Group
Berjaya Group
1,000+
3, Cold
Borders Group
and Golden
Screen
13 (mall area)
Mall of America
Location
States
Opening date
Developer
Bloomington,
Minnesota, United
An
Store formats
Specialty
category
Department
store/ supermarket/
hypermarket : Catering two or more categories of
retail. The distinction between set of products carried.
Mall
Mushrooming of malls
in cities
Distribution of Mall
Space
27%
Delhi
30%
Bangluru
5%
Hyderabad
7%
Pune
5%
Specialty Malls in
India
Gold
Souk
Wedding Mall
Ishanya
Haldiram Food City
Kolkata 600,000 sq.ft.
Another interesting phenomenon
taking shape is the development
of highway malls. A number of
developers are considering
setting up highway malls, as the
rates of land acquisition are
lower and the potential of
footfalls high. Almost 10-15 such
highway malls are expected to
come up in the next three to five
years.
Ishanya
Ishanya
contd. :
With 5,50,000 square feet of retail and services
space, Ishanya is a single sourcing point for
over 52 categories of products and services,
materials and knowledge, drawn from across
the best in India and across the globe. It offers
over 100 outlets, over 5,000 brands and
services plus a knowledge and research centre,
mock up and simulation centers and a
creativity centre
It is the only design centre endorsed by the
Institute of Indian Interior Designers (IIID) and
the Confederation of Construction Products and
Wedding Mall
In India, weddings are big business. Big enough, in fact, to
support entire shopping centers that sell everything from
gowns to honeymoons
Mall development in
India
As the modern shopping centre
phenomenon continues to impact
Indias urban landscape , with about
500 malls expected to be operational by
year 2010 , the chances of over supply
of retail space is also becoming a cause
of worry for most developers . The need
of the hour clearly is a concept and
design differentiator.
Design denominators
Apart from matters aesthetic, design is also a function
of practicality and astute planning. From frontage to the
flooring , the lighting to play of colors ,the common
space to the parking lot, the visibility to the branding
the design is what defines , differentiates and works.
The idea is , attracting not only prospective occupants of
space at the shopping centre , but end customers as
well; attracting the right tenant mix, commensurate with
the positioning of the centre; using each design element
to inspire a psychological situation wherein the casual
wanderer becomes a shopper and in general putting
together the whole experience of being present at and
shopping at a mall.
Alankar Plaza
Alankar Plaza is situated on Kempegowda Road in
Bangalore. The place offers ample parking space
for the cars as well as two wheelers. There are
many lifts and escalators in the mall. It is fully airconditioned and has regular power supply.
The place offers many branded outlets. You can
easily buy the things that you require, like
clothing, footwear, watches, jewellery, perfumes,
toys, furnishing and what not. There is also a food
court in Alankar plaza. Many national and
international cuisines are offered at that place.
There is a nice sweet shop just at the entrance
where you can satisfy your taste buds. There is
also a children zone where the kids can play and
enjoy.
Amprapali Mall
Amprapali Multiplex Mall is located at Bareilly. It is a
commercial project and is developed by Amprapali
Group. It is located on the national highway
connecting Lucknow. It is situated in the Lohia Vihar
residential colony.
Amprapali mall is one of its kinds. It has many
features in it. It has 3 multiplexes and also has a 3
star hotel with multi- cuisine restaurants. There are
many branded fashion stores, bookstores and toy
shops. One can also purchase jewellery and
cosmetics. If you are fond of electronic gizmos then
the Amprapali mall is the right place to buy them.
Amprapali mall has ample parking space and also
offers windowed lifts and escalators.
DLF Mall
Garuda Mall
Iskon Mall
Iskon Mall is located in the West
Ahmedabad. It is one of the most
popular and famous mall of
Ahmedabad. It comprises of all the
famous international and domestic
brands in categories of garments,
electronics, cosmetics, accessories,
shoes etc under one roof. The Iskon
Mall offers all the comforts like,
central air conditioning, smoothly
moving escalators, lifts and a big
parking area which can
accommodate many vehicles. The
mall also has a food court where you
can relish the food of your choice.
Reliance and Westside are the major
anchors of Iskon Mall. The mall is
opened throughout the week. The
shoppers feel good as they can get
everything they want at one place
only.
Mega Mall
Oasis Mall
Oasis Mall is located in Bangaluru. It boasts of a
200,000 sq.feet of shopping and office space. There is
ample space to move around. It has all the basic
amenities like 24 hour power supply, lifts and
escalators. The mall offers ample parking space also.
The mall boasts of a variety of exclusive showrooms
like Calvin Klein and FCUK. The SPAR supermarket is
also a must see. The Oasis mall specializes in
designer products ranging from watches to
sunglasses and clothing from some of the top fashion
houses in the world. It offers a wide range of watches
from brands such as Dolce & Gabbana, Emporio
Armani and Frederick Stein, Perfumes from Ghost,
Calvin Klein and Burberry. One can also purchase
branded perfumes, jewellery, handbags, branded
clothes and many such more things.
Pacific Mall
Sahara Ganj Mall is located in Lucknow. Sahara Ganj Mall was opened
in November 2005 to provide the city with the best entertainment
arena. It has the built up area of around 525 thousand sq. ft. It has in
total 4 floors. Sahara Ganj has been crafted by W.S. Atkins and the
construction work was carried by a renowned company called
Nagarjuna Construction Company Ltd The customers get a safe
environment to shop, relax and enjoy as the place is fully guarded.
Big Bazaar and Pantaloons are the anchors along with the other
occupants who are in the sections of garments, entertainment,
furniture etc. The food chain McDonald is an integral part of the Mall.
The attached 4 screen multiplex by PVR is a value added attraction of
its own kind.
Shipra Mall
Shipra Mall is the largest mall in
the National Capital Region (NCR)
of Delhi. The mall is basically
situated at the junction of
Ghaziabad, Noida and Delhi
borders. The mall, which is
located in east of Delhi at
Indrapuram, has a built-up area of
4.5 lakh sq ft. It has been
constructed in Classical Romanstyle architecture. It comprises of
many famous and big brand
stores, three new generation
cinema halls, kids zone, food
court, an amphitheatre and has a
parking space for around 1000
cars.
It has four anchor stores namely,
Shoppers Stop, Globus, Food
Bazaar and Fashion Station to
provide an all together different
experience to its shoppers.
Sigma Mall
Spencer Mall
Shoprix Mall
Located in sector 62, Noida in
Uttar Pradesh, the Shoprix Mall
is a great place to be. A
happening and upcoming
surrounding area helps in
making this mall a very hip
place. Beautifully structured
and with great interiors, the
mall has a very good inflow of
shoppers and buyers who are
attracted by the variety of
stores present in the mall. A
very fine dining experience can
be had once you are in this
mall. There is something for
everyone in the family in the
mall. A great collection of
fashion wear, accessories,
jewellery can be seen in the
The Esplanade
The Esplanade Mall is located in Cochin. It is
located near Saint Teresa College, Ernakulum in
Cochin. The mall has all the basic facilities.
Throughout the mall one can find many escalators,
lifts and parking space.
The specialty of the mall is exclusive Esplanade
signature goods including memorial coins, a
variety of clothing items, soft-toys, post-cards,
stationery and books on Esplanade. There are
many music stores also that are opened in the
mall. One can buy CD sets also. Book stores are
also there and you can easily get the book of your
choice. Whatever you want, everything is
available in this mall.
The Esplanade has achieved lot of name and fame
and is also a favorite hang out place for everyone.
The Indian Retail Sector is booming and mall growth is being seen
as
a clear indicator of the economic prosperity in India. These
shopping
cum entertainment options are getting bigger and better, sporting
multiplexes and food courts to woo shoppers. Dominant retail
activity
is visible in the top cities but tier II and III cities are also
witnessing change.
Read about the huge investments in malls and what the future
holds for them Malls are springing up in every city and are fast
becoming sought after
entertainment hotspots, with shopping as the by-product. From a
situation where there were no malls about a decade ago, the
country
The hitherto restricted retail real estate sector was opened up for
Foreign Direct Investment in 2005. As a result, malls of international
scale and quality are expected to come up;
Mall growth is being seen as a clear indicator of the economic
prosperity in India. Significantly, the number of malls in the country
has increased at a fast pace. And they are doing brisk business. A
trip to the local mall (there will be one in every locality soon!) will
bear this out;
From almost no malls existing in the country over a decade ago,
there were 96 operational malls in August 2005;
Heres more good news. This phenomenon is not restricted to major
cities of the country alone. It has percolated to the Tier II and Tier
III cities as well. The contribution of Tier II cities in organized retail
sales is expected to be about 20 25%.
Mumbai, Bangalore, Hyderabad, Pune and New Delhi are expected
to have nearly 75% of the retail space in the country
Niche, specialty malls, discount malls, highway malls are the new
trends
Transitional, High
Growth, Emerging and Nascent), each of which is at a different stage in its
retail market
evolution and offers different types of opportunities for retailers and the property
sector.
Organised retail activity is still overwhelmingly concentrated in Delhi and
Mumbai (the
Maturing Cities) and considerable opportunities still exist in these two vast and
diverse
metros. We expect these two metros to contribute 40% of national organised
retailing by
year 2008. Delhi and Mumbai lead the Indian mall culture with estimated total mall
stock
of 22 million and 15 million sq ft respectively by 2008-09. Nonetheless, the report
concludes that increasing competition in the NCR and Mumbai markets, combined
with
growing opportunities in India's regional markets, is encouraging both retailers
and
property developers to move into new and potentially more rewarding markets
further afield.
Organised retailing in India's other main cities, such as Bangalore, Kolkata,
Hyderabad, Pune and Chennai (the Transitional Cities) is growing rapidly
however such
is the pace of change, that many smaller Tier III cities are now firmly on the radar
of the
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