Page 8 - Mall Management
P. 8
ANALYSIS
The developer makes his money by selling out space and is no more interested in managing and
upgrading the property Mall ownership should not be allowed to do back to back sales with
leasing properties. The developer picks up money from the bank by leasing the mall – the
developer has made his money and is no more interested in managing his property. He moves
on to the next venture and does not wish to invest in the old project. This leads to stagnation of
the property.
The leasing to tenants should generally be done on a long term basis, which are a result of
planning and designing of a mall and not a tug of war of pricing. The tenant interest is low in
short term lease. When a shop is leased for short duration the tenant exits and then perforce
the owner leases it out to whoever comes. This sabotages the initial planning regarding product
mix and zoning. From conceptualization to operations there should be one voice. There should
be no gap between the developer, line managers and the junior staff executing the service.
Single malls are tough to retain talents and tenants. Anybody who is entering into this market
should have long term view instead of market perceptions and market scenarios. It has been
observed the corporate Managed malls do better than private ownership. We anticipate that
the success of Indian malls will not only be achieved by housing the biggest and the best mix of
retailers, but also by setting up new standards and procedures in mall management that will
provide a platform to differentiate its products and services from competitors
The robustness of engineering which runs the project at least for a decade has to be well
planned. Presently the decision between two equipment is not long term but which is cheaper.
This leads to wrong equipment purchase.
Branding of companies vis a vis their malls have to be in long term basis and not as driving its
value out of the malls. Malls are Good tool for repositioning the original organization, but in
due course losses its value to the developer.
In the current market scenario, both consumers and retailers have limited choice in terms of
mall shopping experience. Developers will have to work harder to create a differentiation for
The developer makes his money by selling out space and is no more interested in managing and
upgrading the property Mall ownership should not be allowed to do back to back sales with
leasing properties. The developer picks up money from the bank by leasing the mall – the
developer has made his money and is no more interested in managing his property. He moves
on to the next venture and does not wish to invest in the old project. This leads to stagnation of
the property.
The leasing to tenants should generally be done on a long term basis, which are a result of
planning and designing of a mall and not a tug of war of pricing. The tenant interest is low in
short term lease. When a shop is leased for short duration the tenant exits and then perforce
the owner leases it out to whoever comes. This sabotages the initial planning regarding product
mix and zoning. From conceptualization to operations there should be one voice. There should
be no gap between the developer, line managers and the junior staff executing the service.
Single malls are tough to retain talents and tenants. Anybody who is entering into this market
should have long term view instead of market perceptions and market scenarios. It has been
observed the corporate Managed malls do better than private ownership. We anticipate that
the success of Indian malls will not only be achieved by housing the biggest and the best mix of
retailers, but also by setting up new standards and procedures in mall management that will
provide a platform to differentiate its products and services from competitors
The robustness of engineering which runs the project at least for a decade has to be well
planned. Presently the decision between two equipment is not long term but which is cheaper.
This leads to wrong equipment purchase.
Branding of companies vis a vis their malls have to be in long term basis and not as driving its
value out of the malls. Malls are Good tool for repositioning the original organization, but in
due course losses its value to the developer.
In the current market scenario, both consumers and retailers have limited choice in terms of
mall shopping experience. Developers will have to work harder to create a differentiation for
