How to Solve Tenant Mix Problems in Shopping Centres
When you are leasing a shopping centre and solving vacancy problems, the tenant mix should be optimized with the right tenants in the right locations.
It is not just about finding one tenant for one location. It is about taking a ‘global perspective’ for the property and the ultimate retail targets that you are trying to optimize.
Have you ever seen a retail shopping centre where the tenant mix is random and neglected? It happens all too often and it is easy to see. It is usually the result of a landlord and or property manager that is not leasing premises to benchmarks and strategic plans. You can do better and be better than the competition when it comes to leasing retail property and shopping centres.
Retail Shop Leasing Today
You can say that leasing vacancies in shopping centres today, is an essential service and ongoing activity. How many retail shopping centres are in your location?
Consider all types and sizes from the smallest neighbourhood centre right through to the high-quality regional retail properties. They all have vacancies and they all need specialist retail property leasing agents. You can be that person.
What can you do here? The shopping centre should have a Business Plan, as well as a Tenant Retention Plan and a Strategic Leasing Solution for vacancies throughout the year.
Those resources and ‘guideposts’ are created prior to the beginning of a financial year and updated each quarter as the property market and retail shopping indicators change. They are excellent ‘tools of choice’ for the Retail Centre Manager and the Leasing Executive.
Think Retail Leasing from a Global Location Perspective
So, what is a ‘global perspective’? Think about these things for starters:
- Nearby tenants and the balance of the retail offering
- The presentation of the shop fronts and the attraction to customers
- The clustering of tenants so sales can spread from one tenant type to others nearby
- Understand the strengths and weaknesses of the prevailing tenant mix
- Every vacancy can be a marketing story to be shared through the existing tenants
- Other properties locally or regionally that you must compete against
The ‘big picture’ here is that one vacancy can be a great opportunity for leasing and retail enhancements across the zone of the property in which the vacancy is located. Show the landlord client how you boost retail sales and customer interest through optimizing your tenant choices and decisions.
In this video today, we give you the strategic plan for reviewing a tenant mix and improving it over time.
