Entering the property investment market can be a profitable and exciting business opportunity for smart entrepreneurs. Running a real estate business as a commercial landlord offers a lucrative opportunity to grow your capital exponentially. While a lot of investors consider office buildings, it can be interesting to look at the challenges of running a shopping mall investment.
Indeed, as a landlord, you have a duty to your visitors and your tenants – aka the shops in the area. In 2020, shopping malls can’t afford to follow the success recipes of the previous decades without embracing contemporary needs and demands. Nowadays, the expectations in shopping malls are higher than ever. It is your role to understand and meet them as best you can if you’re going to turn your investment into a success.
Accessible to All
Accessibility is a no brainer in public spaces. However, have you ever stopped to consider the accessibility situation in your local shopping mall? Tight alleys, small lifts, uneven surfaces are some of the most common complaints that guests with limited mobility cite. Therefore, it is detrimental to the success of your investment to check on these elements before you start promoting the space for rent. Tools such as Sunsight Instruments, for instance, are perfect for checking for alignment. You can not only use them to design simple navigation routes within the mall, but also to ensure that essentials such as toilets or lifts are never out of reach. It’s also a good idea to analyze the space with mobility design experts who can offer tips and recommendations.
Shop Owners Want Safety
You’re unlikely to attract premium brands if you can’t guarantee their safety. Security guards and CCTV cameras need to be included in your mall management strategy. The presence of guards is especially helpful to deter vandalism. While every business can choose to hire independent guards within their shop, your role as a shopping mall investor and manager is to create a safe public area for everyone.
A Modern and Engaging Experience
Shopping malls are becoming increasingly popular because they can organize large-scale events that drive visitors and encourage purchases. However, you can’t rely on events only to keep your visitors engaged and entertained. You need to maximize communication platforms to create your shopping mall culture. A social media wall can not only let you display subtle advertisements for the local brands but also organize competitions and candid photo exchanges for your visitors. You could create a #hashtag campaign to build a live feed, for example.
Every shopper is different, and therefore your shopping mall needs to showcase their interests. You can’t create a shopping experience that attracts only one very specific target group. You need to make sure you sign lease agreements with a variety of brands. First of all, it’s a positive environment for your visitors. But, when it comes to brands, embracing diversity and differences reduces the risk of competition you would typically encounter when you work with similar brands.
Running a shopping mall is a tough investment. It’s probably why a lot of shopping malls find it hard to generate long-term profits. As an investor, you need to have a strong understanding of shoppers’ psychology, and business needs.