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Shopping Mall Business Plan

Mar.17, 2023

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Table of Content

1. Shopping Mall Business Plan Sample and Template

This business plan for building a shopping mall can be a great resource for entrepreneurs looking to start their own shopping mall.

It provides an overview of the mall’s structure, operations, and financials to help them understand the market and make well-informed decisions.

Lastly, it includes a marketing strategy that outlines how to start a shopping mall and how it will differentiate itself from the competition, which can be used for various business plans like Supermarket Business Plan .

2. Executive Summary

Business overview.

The Arcade Shopping Mall is a one-stop shopping destination for quality products and services. It will offer its customers various products and services, from clothing, electronics, and health and beauty to entertainment and leisure activities. The small shopping mall business plan will also feature a large food court, a play area for children, and a variety of specialty shops.

The mall will provide a safe, pleasant shopping experience for its customers and will strive to create a sense of community within the mall. The mall will be conveniently located in a densely populated area, making it easily accessible to customers.

We plan to use the latest technology to create an enjoyable, stress-free shopping experience. Our mall will feature a variety of high-end stores, restaurants, and entertainment options, including a movie theater, bowling alley, and arcade. We plan to use innovative marketing strategies, such as social media campaigns and targeted advertising, to reach our target customers.

Our Wholesaling Business Plan offers a wide variety of products for customers. We offer a selection of luxury and everyday items, including

• Clothing and Apparel: T-shirts, jeans, dresses, jackets, activewear, sweaters, and accessories.
• Footwear: Athletic shoes, sandals, boots, and dress shoes.
• Electronics: Phone accessories, tablets, laptops, headphones, and speakers.
• Home Goods: Furniture, bedding, kitchenware, and home décor.
• Beauty Products: Makeup, skincare, hair care, and fragrances.
• Jewelry: Watches, necklaces, rings, and earrings.
• Toys: Action figures, dolls, and educational toys.
• Sporting Goods: Exercise equipment, team sports gear, and outdoor recreation gear.
• Books and Movies: Books, DVDs, and video games.

Customer Focus

Same as our Sandwich Shop Business Plan , we will ensure that our customers are always our top priority. We will provide excellent customer service in all aspects of our business. We will ensure that our customers always have access to the products and services they need. We will strive to create an enjoyable shopping experience for our customers. We will also use customer feedback to continuously improve our services and products.

Management Team

Our management team will consist of experienced professionals from various backgrounds. We will have a team of experienced managers and supervisors who will be responsible for overseeing the day-to-day operations of the shopping mall. Compared to our Food Truck Business Plan , we will also have a team of experienced marketing and sales professionals responsible for driving customer traffic and sales.

Success Factors

Our success will depend on several factors, including our ability to provide excellent customer service, our ability to source high-quality products and services, and our ability to market our products and services effectively. We will also need to be able to manage our operations and finances effectively. Additionally, we will need to be able to develop and maintain relationships with our suppliers and vendors.

Financial Highlights

Our financial highlights include revenue projections, capital and investment requirements, and estimated profits. In the business plan shopping mall project, we will generate revenue from selling products and services and tenant rent payments. We will also have initial capital and investment requirements to construct the shopping mall and purchase equipment and supplies. Our expected profits will depend on the success of our operations and our ability to generate customer traffic.

• Revenue growth of 8.5% year over year
• Operating profit of $5.0 million in Year 1
• Positive cash flow from operations of $2.5 million in Year 1
• Total capitalization of $20 million
• Debt-to-equity ratio of 1.0:1
• Return on equity of 15% in Year 1
• Payback period of 5 years

3. Company Overview

Who is arcade shopping mall.

Arcade Shopping Mall is a modern shopping complex located in the heart of a major metropolitan area. The mall offers a wide variety of goods and services and has grown to become a destination for shoppers from all over the region. The mall is owned and operated by a private developer who has invested significant capital into the mall to keep it competitive and up-to-date.

Arcade Shopping Mall History

Arcade Shopping Mall was opened in the year 2020 and since then has quickly become a popular shopping venue. It is conveniently located near public transportation and other nearby amenities. The mall business proposal offers a wide selection of department stores, specialty shops, and an array of dining and entertainment options. The mall also features an indoor play area for children and a movie theater.

The mall has a management team that is dedicated to providing excellent customer service and creating a safe and comfortable shopping environment. The team works hard to ensure that the mall is clean and well-maintained and that customers have an enjoyable shopping experience. The mall also works to keep up with the latest trends and to stay ahead of the competition.

The mall has grown steadily since its opening, and the management team is always looking for ways to improve the mall and make it more appealing to potential customers. The mall is committed to providing an enjoyable shopping experience for all who visit.

The key elements of the business concept of Arcade Shopping Mall are:

• Convenience: Arcade Shopping Mall provides customers with a convenient and easy-to-use shopping experience that can be accessed from any device.
• Rewards: We offer a variety of rewards programs that allow customers to earn rewards points for their purchases and redeem them for discounts.
• Variety: Our selection of products ranges from the world’s leading brands to unique and hard-to-find items.
• Quality: We are committed to providing customers with the highest quality products and customer service.
• Engagement: Our interactive shopping experience encourages customers to engage with our products and services.

4. Industry Analysis

The shopping mall industry has grown tremendously over the past several years, with the number of shopping malls in the United States nearly doubling since the 1980s. Shopping malls have become a staple of American consumer culture, providing various goods and services in one convenient location.

The global shopping mall industry is estimated to be worth $1.4 trillion in 2018, with the U.S. contributing the largest share of that figure. This growth is projected to continue, with the global market expected to reach $2.7 trillion by 2025. The growth is driven by several factors, including changing consumer preferences, technological advances, and an expanding global middle class.

The shopping mall industry is highly competitive and fragmented, with major players such as Simon Property Group, Westfield Corporation, and Brookfield Property Partners controlling a large market share. These companies operate large, regional shopping malls that are often the destination of choice for consumers.

Despite the competition, there is still room for smaller, locally-owned shopping malls to succeed. These malls can focus on providing a unique experience that appeals to local shoppers and differentiates them from larger national players. In addition, these malls can focus on providing services and amenities that larger malls may not have, such as specialty stores, local restaurants, and entertainment options.

Overall, the shopping mall industry is expected to remain a lucrative market for the foreseeable future. With the right approach, locally-owned malls can still achieve success in this crowded and competitive space.

5. Customer Analysis

Demographic profile of target market.

The target market for a shopping mall should be identified based on the location, the types of goods and services offered, and the demographic makeup of the local community. The demographic profile of the U.S. target market is highly diverse and includes a mix of gender, race, ethnicity, income level, and age. The U.S. population is estimated to be 329,064,917, with an estimated median age of 37.9 years. The population is 68.6% non-Hispanic White, 13.4% Hispanic, 13.3% African American, 5.9% Asian, and 4.3% of other races or multiple races. The average household income is estimated at $59,039, and the median is $50,895.

Customer Segmentation

Shopping malls should segment their customers based on their purchasing behaviors. For the shopping mall business plan, customer segmentation can be based on age, gender, income level, and geographic location. The segmentation can be further divided into sub-segments such as age (under 18, 18-25, 25-45, 45-65, and 65+), gender (male and female), income level (low, medium, and high), and geographic location (city, suburban, and rural). By segmenting the customers, the business can better understand the needs of each segment and develop marketing strategies to target specific segments.

6. Competitive Analysis

In developing a shopping center business plan, the shopping mall industry is highly competitive and there are a number of established players in the market. In order to succeed, our shopping mall business plan must consider the market competition and identify ways to differentiate our product offering and create a competitive advantage.

Direct and Indirect Competitors

Direct Competitors

The direct competitors of our shopping mall business plan include national and international shopping malls, department stores, specialty stores, and online retail outlets. We must consider the services, prices, location, and convenience factors that these competitors offer in order to compete effectively.

Indirect Competitors

Indirect competitors include other entertainment venues, such as movie theaters, amusement parks, and other leisure activities. We must consider how our shopping mall will provide unique experiences and services that will draw customers away from these competitors.

Competitive Advantage

It is important to identify the unique features and benefits the shopping mall offers to make it stand out from its competitors. Competitive advantages include low prices, convenient location, extensive product selection, and excellent customer service.

Our competitive advantage lies in our ability to offer a unique shopping experience. We will focus on creating an inviting atmosphere with high-quality customer service and an extensive selection of products and services. We will also focus on providing exclusive deals, discounts, and innovative shopping experiences, such as virtual reality tours and interactive displays.

7. Marketing Plan

The marketing plan for the shopping mall business model will focus on five key aspects:

• Target market identification: The target market for this shopping mall business is consumers who are looking for a convenient, wide selection of products at competitive prices. The target market will consist of individuals with various income levels and spending habits.
• Branding and positioning: The shopping mall will be positioned as a premier shopping destination offering an extensive selection of products at competitive prices. The brand will be associated with quality and value.
• Marketing mix: The marketing mix for this shopping mall business will include traditional advertising, direct mail, online marketing, and public relations. The focus will be on reaching the target market and communicating the message of value and quality.
• Professional website: The shopping mall will have a professional website with an e-commerce platform for online shopping. The website will feature information about the mall, including store listings, events, promotions, and more. The website will be optimized for search engines and will include social media links.
• Promotions strategy: The promotions strategy for this shopping mall business will include discounts, coupons, loyalty programs, and special events. The promotions will drive traffic to the mall and increase sales. These promotions and discounts could include special offers on particular days, “buy one get one free” offers and more.

The direct competitors for this shopping mall business are other shopping malls in the area. These competitors include large retail stores, department stores, and other shopping centers. The indirect competitors are online retailers and other e-commerce sites.

Promotions Strategy

We plan to offer a variety of promotions to attract customers to our shopping mall. As the owner knows how to open a mall, he suggested, we will offer discounts and special offers on a regular basis to encourage customers to purchase products and services. We will also host events and activities, such as fashion shows, product launches, and special offers.

We plan to partner with local businesses and organizations to offer exclusive discounts and promotions to our customers. We will also employ loyalty programs to encourage repeat customers.

Our pricing strategy will be based on offering quality products and services at competitive prices. We will offer high-end products and services at premium prices and budget-friendly products and services at more affordable prices. We will also offer discounts and special offers on a regular basis to attract customers.

We plan to offer various payment options to make our products and services more accessible to our customers. We will accept cash, debit, and credit cards, as well as e-wallet payments.

8. Operations Plan

Operation functions.

Security: The mall must ensure that customer safety is a top priority. This will include having a security team on-site to monitor activity and respond to emergencies.

Maintenance: The mall will need a team to keep the building and grounds in good condition. This will include regular cleaning, repairs, and upkeep of the facility.

Customer Service: The mall must provide customers with an enjoyable shopping experience. This will include providing friendly, helpful service and responding to customer inquiries and complaints.

Marketing: The mall must have a marketing plan to promote the mall and attract customers. This will include advertising, public relations, social media, and other promotional activities.

Management: The mall will need to have a management team in place to oversee the day-to-day operations of the mall. This will include setting goals, creating policies, and ensuring the mall operates efficiently and profitably.

4/15/202X – Obtain Funding

4/22/202X – Develop Business Plan & Hire Professional Team

5/1/202X – Lease Property & Secure Necessary Permits

5/8/202X – Begin Construction

5/15/202X – Hire & Train Staff

5/22/202X – Finalize Construction & Buy Necessary Fixtures & Equipment

6/1/202X – Launch Marketing Campaign

6/8/202X – Open for Business

6/15/202X – Monitor & Evaluate Performance

9. Management Team

The management team of the shopping mall will include a team of highly-skilled professionals who will be responsible for the day-to-day operations of the mall.

Company Staff

The Company Staff consists of experienced professionals who are dedicated to providing superior customer service. The staff is responsible for ensuring that the mall is safe, clean, and enjoyable for customers.

• VP of Retail
• VP of Real Estate
• Store Managers
• Sales Associates
• Support Staff
• Maintenance Staff
• Security Staff

10. Financial Plan

The financial plan for this shopping mall project is based on an initial investment of $10 million. This investment will be used to renovate the mall, purchase new inventory, and hire personnel to manage the mall. The investments will be made in the following areas:

• Renovation: $3 million
• Inventory: $2 million
• Personnel: $2 million
• Advertising/Marketing: $1 million
• Legal Fees: $500,000
• Miscellaneous: $1.5 million

The total cost of the project is estimated to be $10 million.

Key Revenue & Costs

The primary sources of revenue for the mall will come from rent from tenants, sales from tenants, and from other sources, such as parking fees and food court revenue. The mall is estimated to generate approximately $15 million in total annual revenue.

The primary costs for the mall will include rent for the space, personnel costs, and advertising/marketing costs. The mall is estimated to incur total annual costs of approximately $10 million.

Funding Requirements and Use of Funds

The total project cost is estimated at $10 million. To finance the project, the mall will need to secure loans and/or equity investments. It is estimated that approximately $7 million in financing will need to be secured to cover the project’s cost.

The funds will be used as follows:

Key Assumptions

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To successfully launch and operate the mall, the following assumptions will need to be made:

The mall will have a total of 140,000 square feet of retail space, including anchor stores and smaller shops.

The start-up costs for the project will be approximately $15 million.

The mall will be open for business 12 hours a day, seven days a week.

The mall’s primary target market will be middle-income shoppers in the local area.

The mall will have an initial occupancy rate of 75%, with an average rent of $25/square foot.

The mall will offer amenities such as a food court, movie theater, and play area.

A team of experienced retail professionals will manage the mall.

The mall will generate approximately $20 million in gross sales in its first year of operation.

The mall will generate a positive cash flow by the end of its first year of operation.

The mall will have an average annual occupancy rate of 90% over the next five years.

Financial Projections

All tables in PDF

• What is a shopping mall business plan? A shopping mall business plan is a document that outlines the operational and financial objectives of a shopping mall. It typically includes market analysis, marketing strategies, financial projections, operational details, and other information necessary to start and operate a successful shopping mall. The plan should also outline strategies for managing the mall, including leasing strategies, customer service, and marketing.
• Strip mall : A strip mall, also known as a strip center, is a shopping center that consists of a row of storefronts, typically with surface parking in front.
• Enclosed mall: An enclosed mall, or indoor mall, is an indoor shopping center that usually features a variety of stores and restaurants.
• Outlet mall: An outlet mall is a shopping center that features discounted, name-brand merchandise from various stores.
• Super regional mall: A super-regional mall is a large shopping center with numerous department stores, specialty stores, and restaurants.
• Lifestyle mall: A lifestyle mall is a shopping center with a mix of upscale retailers, restaurants, entertainment venues, and services.
• What are the main sources of revenues and expenses for a shopping mall? The main sources of revenue for a shopping mall include retail sales from stores, rental income from tenants, and income from food courts and other amenities. Retail sales are generated from the stores within the mall, which typically includes clothing stores, shoe stores, and other specialty shops. Rental income is generated from tenants who pay to occupy space in the mall. Finally, income from food courts, movie theaters, and other amenities can be a significant source of revenue. The main expenses for a shopping mall include property taxes, rent payments, utilities, maintenance costs, and marketing expenses. Property taxes are typically based on the assessed value of the mall’s property. Rent payments are made to the mall’s landlord and to the tenants who occupy space in the mall. Utilities include electricity, water, sewer, and other services. Maintenance costs include the repair and upkeep of the mall’s grounds and facilities. Finally, marketing expenses include advertising, promotions, and other activities to attract customers to the mall.
• How do you get funding for your shopping mall business plan? One of the most common ways to fund a shopping mall business plan is to approach investors. This can be done through a variety of options, such as through angel investors, venture capitalists, private equity firms, and crowdfunding platforms. Through these sources, investors can provide funding in exchange for equity in the business, meaning that they will be part-owners of the mall. Additionally, some investors may provide debt financing, which involves the mall receiving a loan from the investor that must be paid back, usually with interest. Other sources of funding may include grants and government programs, bank loans, and personal savings.

Download Shopping Mall Business Plan in PDF

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How To Write a Business Plan for Shopping Mall and Retail Center Construction in 9 Steps: Checklist

By henry sheykin, resources on shopping mall and retail center construction.

• Financial Model
• Business Plan
• Value Proposition
• One-Page Business Plan
• SWOT Analysis
• Business Model
• Marketing Plan

Welcome to our blog post on How To Write a Business Plan for Shopping Mall and Retail Center Construction in 9 Steps: Checklist. In this article, we will guide you through the process of revolutionizing the shopping experience with a multi-level retail center that incorporates state-of-the-art technology, sustainable design, and unique pop-up shops curated by local entrepreneurs.

The shopping mall and retail center industry is experiencing significant growth and transformation. According to recent statistics, the global retail industry is projected to reach a value of $31.88 trillion by 2023, with an annual growth rate of 5.3%. This presents a tremendous opportunity for innovative and forward-thinking businesses in the retail sector.

Now, let's dive into the nine essential steps to write a business plan for your shopping mall and retail center construction project:

• Identify your target market and choose a strategic location.
• Conduct thorough market research and analysis to understand your customers' needs and preferences.
• Assess the competition to identify your unique selling points and stand out in the market.
• Determine the feasibility and financial viability of your project by performing a detailed analysis of costs, revenue projections, and return on investment.
• Create a comprehensive construction budget to ensure you have a clear understanding of the financial resources required for the project.
• Develop a robust and tailored marketing strategy to effectively promote your retail center to your target audience.
• Establish partnerships with local entrepreneurs and secure funding from investors or financial institutions to support your project.
• Hire an experienced project management team to oversee and execute the construction process efficiently.
• Ensure you obtain all necessary permits and approvals from relevant authorities to comply with legal and regulatory requirements.

By following these nine steps, you will be well-equipped to write a comprehensive business plan for your shopping mall and retail center construction project. Stay tuned for our upcoming articles, where we will delve deeper into each step, providing you with invaluable insights and tips.

Identify Target Market And Location

Before embarking on constructing a shopping mall and retail center, it is crucial to identify your target market and select an ideal location for your venture. Understanding your potential customers and finding the right location are key factors in the success of your business.

Start by conducting thorough market research to determine the demographics, preferences, and shopping behaviors of your target market. This information will help you tailor your retail center to meet their needs and preferences. Additionally, it will allow you to curate a collection of pop-up shops that align with the tastes and interests of your target customers.

Consider the location carefully when choosing the ideal spot for your shopping mall and retail center. Evaluate factors such as accessibility, visibility, and proximity to your target market. Is the location easily accessible by public transportation? Does it have ample parking space? Is it located in a high-traffic area? These are all important considerations that will impact the foot traffic and potential success of your retail center.

Here are a few tips to help you in identifying your target market and selecting the right location:

• Research local market trends and consumer behaviors to gain insights into your potential customers.
• Conduct surveys or interviews with your target market to understand their preferences and shopping habits.
• Consider partnering with a retail consultant or market research firm to gain a deeper understanding of the market.
• Visit potential locations personally to assess the surrounding area and its suitability for your retail center.
• Engage with local business associations and chambers of commerce to gather information about the area and its potential for growth.

By thoroughly researching your target market and meticulously selecting the perfect location, you are setting the foundation for a successful shopping mall and retail center construction venture.

Conduct Market Research And Analysis

When embarking on the construction of a shopping mall and retail center, conducting thorough market research and analysis is crucial. This step will provide valuable insights into the demand for your project and help you make informed decisions throughout the planning and development process.

One essential aspect of market research is identifying your target market. Understanding the demographics, preferences, and shopping behaviors of your potential customers will enable you to tailor your retail center to meet their needs. Consider factors such as age, income level, and lifestyle when defining your target market.

Furthermore, it is important to assess the overall market dynamics in the area where you plan to build your shopping mall. Evaluate both the current and projected population growth, economic conditions, and consumer spending patterns. This information will aid in determining the potential demand for retail spaces and the viability of your project.

Market Research Tips:

• Diversify data sources: Obtain information from various sources such as government statistics, industry reports, and customer surveys to ensure a comprehensive understanding of the market.
• Analyze competition: Identify existing and upcoming competitors in the area and evaluate their offerings, pricing strategies, and target markets. This will help you position your retail center strategically.
• Engage with the community: Connect with local business associations, chambers of commerce, and potential customers to gather insights and build relationships that can support your project.
• Consider future trends: Stay updated on emerging retail trends, technological advancements, and sustainable practices to incorporate innovative elements into your shopping mall design and offerings.

By conducting thorough market research and analysis, you will gain a deep understanding of your target market, assess the market dynamics, and identify key competitors. Armed with this valuable information, you will be equipped to make informed decisions that will drive the success of your shopping mall and retail center construction project.

Assess Competition

Assessing the competition is a crucial step in developing a successful business plan for a shopping mall and retail center construction. Understanding the existing and potential competitors in your target market will allow you to position your retail center effectively and differentiate it from others.

First and foremost, identify your direct and indirect competitors . Direct competitors are those retail centers that offer similar products or services in the same geographical area. Indirect competitors, on the other hand, may not offer the same products or services but still compete for the same target market.

Next, analyze their strengths and weaknesses . Look at what your competitors are doing well and areas where they may be lacking. This analysis will help you identify opportunities for differentiation and improvement within your own retail center.

Additionally, examine their pricing strategy, marketing tactics, and customer experience . Understanding how your competitors position themselves in the market and attract customers will enable you to develop a unique value proposition and marketing strategy for your own retail center.

During the competitive analysis, look for any gaps or untapped opportunities in the market that your retail center can fulfill. These could be unmet customer needs, underserved demographics, or emerging trends that your competitors have not capitalized on.

Tips for Assessing Competition:

• Visit competitor retail centers to observe their operations, store layouts, and customer dynamics.
• Conduct online research to gather information about their online presence, customer reviews, and social media engagement.
• Engage with the local community and target market to understand their perceptions and preferences regarding existing retail centers.
• Stay updated on industry trends, emerging technologies, and innovative retail concepts to gain a competitive edge.

Determine Project Feasibility And Financial Viability

Before embarking on any construction project, it is crucial to determine the feasibility and financial viability of the endeavor. This step involves carefully analyzing various factors that can affect the success of the project, such as market demand, cost implications, and potential return on investment.

Market Demand: The first aspect to consider is the market demand for a multi-level retail center. Conduct a thorough market analysis to understand the needs and preferences of the target market. This will help determine if there is sufficient demand for the proposed shopping mall in the chosen location.

Cost Implications: Assessing the cost implications is vital to ensure that the project remains within budget and generates a reasonable return on investment. Calculate the estimated construction costs, including land acquisition, permits, materials, labor, and other related expenses. Consider consulting with professionals in the construction industry to obtain accurate cost estimates.

Potential Return on Investment: Analyze the potential return on investment by projecting the expected revenue and profit margins. Consider factors such as rental income, sales from the curated pop-up shops, and additional revenue streams like advertising or event hosting. Compare these projections with the estimated construction costs to determine if the project is financially viable.

• Engage with local real estate experts to understand the market dynamics and trends.
• Consider conducting a feasibility study to gain deeper insights into the project's viability.
• Explore potential revenue streams beyond traditional retail, such as hosting events or offering unique experiences.
• Factor in future growth potential and scalability of the retail center.

Create A Detailed Construction Budget

Creating a detailed construction budget is essential for the successful completion of any shopping mall and retail center construction project. A well-designed budget helps to ensure that all necessary expenses are accounted for and that the project remains financially viable.

When creating the budget, it is important to thoroughly analyze all aspects of the construction project. This includes determining the cost of materials, labor, equipment, permits, and any additional expenses that may arise during the construction phase.

Here are some key considerations to keep in mind when creating a detailed construction budget:

• Be realistic: Take into account the current market conditions and prices of materials and labor.
• Include contingency funds: Allocate a portion of the budget for unforeseen expenses or changes that may arise during the construction process.
• Consider sustainability: Factor in any extra costs associated with incorporating sustainable design elements into the construction.
• Engage with suppliers and contractors: Get accurate quotes and estimates from suppliers and contractors to ensure that the budget is as accurate as possible.
• Regularly review and update the budget throughout the construction process to account for any changes or unforeseen expenses.
• Consult with a financial advisor or construction expert to help you create a realistic and comprehensive budget.
• Consider building a buffer into the budget to allow for potential cost overruns.

By creating a detailed construction budget, you can effectively manage the financial aspects of your shopping mall and retail center construction project. This will help ensure that the project stays on track and within budget, allowing for a successful and profitable outcome.

Develop A Comprehensive Marketing Strategy

When it comes to successfully launching a multi-level retail center, a strong marketing strategy is essential. It allows you to create awareness, generate excitement, and attract potential customers. Here are some important steps to develop a comprehensive marketing strategy:

• Identify your target audience: It is crucial to understand your target market and create buyer personas. This will help you tailor your marketing efforts to reach the right audience.
• Set clear marketing goals: Establish specific and measurable goals that align with your business objectives. Whether it's increasing footfall, driving online sales, or securing long-term leases, these goals will guide your marketing activities.
• Define your unique selling proposition (USP): Highlight what sets your retail center apart from competitors. Focus on its state-of-the-art technology, sustainable design, and curated pop-up shops to create a compelling message.
• Create a strong online presence: Leverage the power of digital marketing by developing a professional website, using social media platforms, and implementing search engine optimization (SEO) techniques to ensure your retail center is easily discoverable online.
• Engage in content marketing: Share valuable and engaging content through blogs, videos, and social media posts. Provide updates on construction progress, sneak peeks of pop-up shops, and expert advice to build anticipation and create a loyal following.
• Implement targeted advertising campaigns: Utilize both online and offline advertising channels to reach your target audience effectively. Consider Facebook ads, Google AdWords, local newspaper ads, and outdoor billboards to maximize exposure.
• Organize captivating events: Create memorable experiences by organizing launch parties, fashion shows, and collaborative events with local entrepreneurs. These events not only attract potential customers but also foster a sense of community around your retail center.
• Collaborate with local influencers or bloggers to amplify your brand's reach.
• Offer incentives such as exclusive discounts or limited-time promotions to incentivize customers to visit your retail center.
• Regularly track and analyze your marketing efforts to identify what strategies are working and make necessary adjustments.

Establish Partnerships And Secure Funding

In order to successfully execute the construction of your shopping mall and retail center, it is crucial to establish strong partnerships and secure adequate funding. These partnerships will not only provide financial support but also offer valuable expertise and resources to bring your business idea to life.

1. Identify potential partners: Research and identify potential partners who share your vision and have experience in the construction and retail industry. Look for partners who can provide financial backing as well as contribute their expertise and resources.

2. Network and attend industry events: Attend industry events, conferences, and trade shows to meet potential partners who can support your project. These events provide opportunities to connect with industry professionals and discuss potential collaborations.

3. Create a compelling pitch: Develop a persuasive pitch that outlines the benefits and potential returns of investing in your project. Clearly articulate how your multi-level retail center will revolutionize the shopping experience and attract a diverse customer base.

4. Approach potential investors: Reach out to potential investors, including private equity firms, venture capitalists, and banks, who specialize in financing construction projects and commercial developments. Present your business plan, construction budget, and marketing strategy to demonstrate the financial viability and potential profitability of your project.

5. Consider government grants and incentives: Research government grants and incentives that support sustainable construction and economic development projects. Explore opportunities for public-private partnerships that can provide additional funding and resources.

• Highlight the unique features and benefits of your project to attract potential partners and investors.
• Build relationships with industry professionals through networking and attending relevant events.
• Prepare a comprehensive and well-researched business plan to instill confidence in potential investors.
• Consider seeking guidance from a financial advisor or consultant to optimize your funding strategy.

By establishing strong partnerships and securing adequate funding, you will be equipped with the necessary resources and expertise to successfully execute the construction of your shopping mall and retail center. These partnerships will not only ensure financial support but also provide valuable insights and support throughout the entire process.

Hire An Experienced Project Management Team

Hiring an experienced project management team is crucial for the successful execution of your shopping mall and retail center construction project. This team will be responsible for overseeing and coordinating all aspects of the project, from procurement and scheduling to quality control and budget management.

When choosing a project management team, it is important to consider their expertise in the field of construction and their track record of successfully delivering similar projects on time and within budget. Look for professionals who have a deep understanding of construction processes, regulatory requirements, and best practices in the industry.

Tips for hiring an experienced project management team:

• Seek recommendations from other business owners or industry professionals who have previously undertaken construction projects.
• Interview potential project managers to assess their experience, knowledge, and communication skills.
• Ask for references from past clients and take the time to check them.
• Consider hiring a team that has experience working with shopping mall and retail center projects specifically, as they will have a deeper understanding of the unique challenges and requirements of these types of developments.
• Ensure that the project management team has the necessary certifications and licenses required by local authorities.
• Discuss the project timeline and budget with the potential project management team to ensure they are able to meet your expectations.

By hiring an experienced project management team, you can mitigate risks, streamline the construction process, and ensure that your shopping mall and retail center is completed on time, within budget, and to the highest quality standards.

Obtain Necessary Permits and Approvals

In order to proceed with the construction of your shopping mall and retail center, it is crucial to obtain the necessary permits and approvals from the relevant authorities. This step ensures compliance with local regulations and safeguards the legality and safety of your project. Here are some important points to consider:

• 1. Research local regulations: Begin by thoroughly researching and familiarizing yourself with the specific permits and approvals required for constructing a shopping mall and retail center in your chosen location. Different municipalities may have varying requirements, so it is essential to be well-informed.
• 2. Identify the responsible authorities: Determine the specific government agencies or departments responsible for granting the permits and approvals you need. This could include zoning boards, building departments, fire departments, environmental agencies, and others.
• 3. Compile necessary documentation: Prepare all the required documentation and complete any necessary forms or applications. This may include architectural plans, site surveys, environmental impact assessments, engineering reports, and financial statements.
• 4. Secure support from experts: Engage the services of experienced professionals such as architects, engineers, and lawyers who are well-versed in the local regulations and can guide you through the permit application process. They can help ensure that your documentation is accurate, complete, and meets all requirements.
• 5. Submit your application: Once you have compiled all the necessary documentation and completed the required forms, submit your permit application to the relevant authorities. Be aware of any filing deadlines and ensure that your application is submitted well in advance to allow for processing time.
• 6. Follow up regularly: Keep track of the progress of your permit application and regularly follow up with the authorities to ensure that it is moving forward. Address any inquiries or requests for additional information promptly and cooperatively.
• 7. Address any objections or concerns: If there are any objections or concerns raised by the authorities or members of the community, address them in a professional and respectful manner. Work towards finding mutually agreeable solutions to ensure that your project can proceed.
• 8. Receive approvals: Once your permit application has been reviewed and evaluated, you will receive official approvals from the relevant authorities. These approvals will grant you the legal authorization to proceed with the construction of your shopping mall and retail center.

Tips for a Smooth Permitting Process:

• Be proactive and start the permitting process early to allow for potential delays or unexpected requirements.
• Communicate openly and effectively with the authorities, providing clear and concise information to facilitate their review process.
• Maintain a cooperative and collaborative approach when addressing objections or concerns, as this can help build positive relationships and foster support for your project.
• Stay organized and keep copies of all your submitted documents, correspondence, and approvals for future reference.
• Stay updated with any changes in local regulations or requirements that may impact your project, and adjust your plans accordingly.

In conclusion, creating a business plan for shopping mall and retail center construction in nine steps is crucial for the success of your project. By identifying your target market and location, conducting market research, assessing competition, and determining project feasibility, you will lay a strong foundation for your venture.

It is essential to create a detailed construction budget, develop a comprehensive marketing strategy, and establish partnerships to secure the necessary funding. Hiring an experienced project management team and obtaining the required permits and approvals will ensure smooth execution and adherence to regulations.

With careful planning and consideration, you can revolutionize the shopping experience by incorporating state-of-the-art technology, sustainable design, and unique pop-up shops curated by local entrepreneurs. By following this checklist and utilizing professional expertise, you can navigate the complexities of building a shopping mall and retail center successfully.

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15 Key Shopping Malls Design Touchpoints: A Roadmap to Success

In the ever-evolving retail realm, shopping malls are vibrant consumer culture epicenters where commerce, entertainment, and community converge. Designing these sprawling havens of experience is an intricate dance that requires a harmonious blend of aesthetics, functionality, and a deep understanding of human behavior. In this article, we’ll embark on an exploration of the pivotal elements that transform mere brick and mortar into captivating destinations. From the artistry of layout planning that influences foot traffic flow to the strategic positioning of anchor stores that guide the shopping narrative, we delve into the essentials that architects, retailers, and enthusiasts must grasp to create thriving retail utopias. Join us as we unravel the secrets behind captivating mall atmospheres, immersive experiences, and the symbiotic relationship between architectural brilliance and commercial triumph.

© Terrence Zhang

Designing Shopping Malls: 10 Must-Have Mall Creation Insights

Whether you’re an aspiring designer, a seasoned retailer, or simply someone intrigued by the captivating charm of shopping malls, the following tips promise valuable insights into crafting spaces where shopping transcends mere transactions and transforms into an enchanting journey.

1) Entrance Elegance

First impressions matter, and shopping malls are no exception. A grand, inviting entrance sets the tone for the entire mall experience. Take the example of The Grove in Los Angeles, where a lush garden entrance welcomes visitors, making them feel like they’re entering a vibrant urban oasis.

© Thegrovela.com

2) Awe-Inspiring Atriums

Ah, the heart of the mall – the atrium. A soaring, open space bathed in natural light can be a game-changer. The Dubai Mall, with its breathtaking central aquarium, epitomizes this idea. It’s a mesmerizing focal point that draws shoppers in.

© Adobe Stock

3) Wayfinding Wonders

Have you ever felt like a mouse in a maze? That’s what poor wayfinding can do to mall-goers. Effective signage, intuitive layouts, and landmarks like distinctive sculptures (think the ‘Bean’ in Chicago’s Millennium Park) help visitors easily find their way.

Starlight Place / Aedas. Courtesy of Aedas

The Bean by Anish Kapoor. © Choose Chicago

4) Sensory Havens

Shopping Malls aren’t just about shopping; they’re sensory experiences. Soothing sounds, pleasant aromas, and even tactile elements can create a multi-sensory wonderland. The Mall of Emirates in Dubai boasts an indoor ski slope, treating shoppers to the touch of natural snow.

© Majid Al Futtaim

5) Diverse Dining Destinations

Let’s talk about food, shall we? A mall isn’t complete without a diverse range of dining options. From food courts to upscale restaurants, the array satisfies various cravings. Take Sweden’s Mall of Scandinavia, which houses a mind-boggling 22 restaurants in its “Eats” section.

MLC Centre Food Court / Luchetti Krelle. © Michel Wee

6) Tech-Savvy Integrations

In today’s digital age, malls must keep up with tech-savvy shoppers. Integrating smart technologies for seamless parking, interactive directories (like the Westfield Century City mall’s touchscreen maps), and even virtual fitting rooms enhances the overall shopping experience.

© Acquire Digital

7) Retail Theater

Shopping is an art, and malls are the stage. Engaging displays, creative window dressings, and pop-up shops transform shopping into an immersive experience. London’s Selfridges takes this to heart with its ever-changing, visually stunning window displays.

Photo courtesy of Selfridges

8) Kid-Friendly Zones

Happy kids make for comfortable shopping. Incorporating play areas, child-friendly facilities, and even educational spaces like museums or workshops can turn shopping malls into a family haven. The Mall of America, with its Nickelodeon Universe theme park, is a prime example.

© Jersey Digs

9) Green Retreats

Amidst the concrete jungle, a touch of green can be rejuvenating. Rooftop gardens, indoor landscapes, and even vertical gardens (check out Singapore’s Jewel Changi Airport ) infuse shopping malls with fresh air.

© Velvet Escape

10) Local Flair

Every mall has a unique story, and integrating local culture and artistry into the design can create a special connection with the community. The Grand Bazaar Shops in Las Vegas celebrates the city’s vibrant spirit with its dazzling blend of architecture and entertainment.

11) Social Spaces

Shopping Malls aren’t just about shopping; they’re about socializing too. Cozy seating areas, lounges, and event spaces encourage visitors to linger, connect, and make memories. Toronto’s Eaton Centre has a stunning urban park-inspired atrium that serves as a communal hub.

© Pantages Hotel

12) Accessibility for All

Designing with inclusivity in mind is a must. From ramps and elevators to sensory-friendly spaces for those with sensitivities, malls should be welcoming to everyone. Mall of India in Delhi even features braille signage and tactile paths for the visually impaired.

© Address of Choice

13) Sustainable Practices

With environmental concerns on the rise, sustainable design practices have become paramount. Incorporating energy-efficient lighting, recycled materials , and even renewable energy sources like solar panels showcases a commitment to a greener future.

Mega Foodwalk / FOS. © Rungkit Charoenwat

14) Thoughtful Traffic Flow

Have you ever felt like swimming against the current in a crowded mall? A well-planned traffic flow prevents congestion and ensures a seamless shopping experience. The Mall of the Emirates in Dubai strategically separates its luxury and casual sections to cater to different shopper preferences.

© Time Out Dubai

15) Future-Focused Flexibility

Lastly, shopping malls should have room to evolve. Adaptable spaces for changing retail trends, emerging technologies, and shifting visitor preferences ensure that the mall remains relevant for years. New York’s Hudson Yards is designed with modular spaces that can transform based on needs.

© Hudson Yards

In a nutshell, designing shopping malls is no small feat. It takes a keen eye for aesthetics, an understanding human behavior, and a deep commitment to creating a multi-sensory wonderland. From awe-inspiring atriums to sensory havens, diverse dining destinations to smart integrations, and everything in between, the tips shared in this article offer valuable insights into crafting spaces where shopping transcends mere transactions. By incorporating these must-have mall creation insights, architects, retailers, and enthusiasts can create thriving shopping malls that elevate the shopping experience and leave lasting impressions on visitors.

Tags: Mall Mall Design Modern Mall Design Public Architecture Shopping Center

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SHOPPING MALL BUSINESS PLAN TEMPLATE

Explore Options to Get a Business Plan.

Introduction

A shopping mall is a large, often indoor, building with various stores representing many different businesses. Shopping malls are usually located in high-traffic areas near busy intersections or along major highways. The first shopping mall in the United States was the Country Club Plaza in Kansas City, Missouri, which opened in 1922. Today, thousands of shopping malls in the United States are popular destinations for shoppers and tourists alike. If you are thinking about starting your shopping mall, there are a few things you need to know. First, you will need to find a suitable location. Second, you will need to obtain the necessary financing. And third, you will need to develop a business plan. Starting a shopping mall can be a rewarding and profitable venture with careful planning and execution.

Global Market Size

The global market for shopping malls is estimated to be worth $1.2 trillion in 2015, according to a report by JLL. The U.S. alone is home to over 1,200 malls, which account for about 10 percent of the country's retail space. Several factors have contributed to the growth of shopping malls around the world. One is the rise of the middle class in many countries, which has led to more people having disposable income to spend on shopping. Another is the growth of online shopping, which has made it easier for people to compare and find the best deals on products. Despite the growth of the shopping mall industry, malls face several challenges. One is the rise of e-commerce, which has made it easier for people to shop from the comfort of their homes. Another challenge is the economic slowdown in many countries, which has led to less spending on non-essential items like clothing and shoes. Despite these challenges, the shopping mall industry is expected to grow in the coming years. This growth will be driven by the continued rise of the middle class in many countries and the growth of online shopping.

Target Market

If you're thinking of starting a shopping mall business, one of the first things you need to do is identify your target market. Your target market is the group of people who are most likely to shop at your mall. To identify your target market, you need to consider a few factors, including:

-The location of your mall. If you're in a densely populated area, your target market will likely be different than in a more rural area.

-The type of products or services you'll be offering. If you're selling high-end fashion, your target market will be different than if you're selling budget-friendly fashion.

-The demographics of your potential shoppers. This includes factors like age, income, gender, and so on. Once you've considered all of these factors, you should have a good idea of who your target market is. You can start planning your marketing and advertising strategies to reach these potential shoppers.

Business Model

Many different business models can be used when starting a shopping mall business. The most common and successful model is the anchor tenant model. This model relies on having one or more large anchor tenants, such as a department store or a grocery store, that act as draws for customers. The anchor tenant(s) then leases space from the shopping mall owner, and the smaller stores in the mall lease space from the anchor tenant(s). This model is successful because it gives customers a reason to come to the shopping mall and smaller stores with a built-in customer base. Another standard business model for shopping malls is the specialty leasing model. In this model, the shopping mall owner leases space to a variety of different stores that all specialize in a specific type of merchandise. This can be anything from a mall specializing in clothing stores to a mall specializing in electronic stores. The advantage of this model is that it can be easier to attract customers to a shopping mall with a specific type of merchandise they are looking for. Whichever business model is used, it is essential to have a well-thought-out business plan for the shopping mall. This plan should include a detailed marketing strategy, a financial plan, and a plan for operations.

Competitive Landscape

As you develop your business plan and start to think about opening a shopping mall, it's essential to understand the competitive landscape. Who are your potential competitors? What are their strengths and weaknesses? How can you position your shopping mall to succeed in the face of competition? Here are a few things to keep in mind as you research the competitive landscape for your shopping mall business:

• Know your market. Before you can understand the competitive landscape, you need to have a good grasp of the market you're targeting. Who are your potential customers? What are their needs and wants? What are their shopping habits? The more you know about your target market, the better you'll understand the competitive landscape.
• Understand your competition. Once you know your market, it's time to start researching your potential competitors. Who are they? What do they offer? What are their strengths and weaknesses? What is their market share? The more you know about your competition, the better you'll be able to position your own business for success.
• Develop a competitive advantage. Once you understand the competitive landscape, you must develop a competitive advantage. What can you offer that your competitors don't? What can you do better than them? If you can't find a way to stand out from the crowd, your shopping mall is likely to struggle.
• Keep an eye on the future. The competitive landscape is constantly changing, so keeping an eye on the future is essential. What are new shopping malls being developed in your area? What changes are happening with your existing competitors? You'll be better prepared to adapt and change as the landscape shifts by staying ahead of the curve.

Now that you have all the information you need to start your own shopping mall business, it's time to take the next step. If you're unsure where to start, consider hiring a professional business consultant to help you get started. With the proper planning and execution, your shopping mall can be a success.

• Business Plans can help to articulate and flesh out the business’s goals and objectives. This can be beneficial not only for the business owner, but also for potential investors or partners
• Business Plans can serve as a roadmap for the business, helping to keep it on track and on target. This is especially important for businesses that are growing and evolving, as it can be easy to get sidetracked without a clear plan in place.
• Business plans can be a valuable tool for communicating the business’s vision to employees, customers, and other key stakeholders.
• Business plans are one of the most affordable and straightforward ways of ensuring your business is successful.
• Business plans allow you to understand your competition better to critically analyze your unique business proposition and differentiate yourself from the market.
• Business Plans allow you to better understand your customer. Conducting a customer analysis is essential to create better products and services and market more effectively.
• Business Plans allow you to determine the financial needs of the business leading to a better understanding of how much capital is needed to start the business and how much fundraising is needed.
• Business Plans allow you to put your business model in words and analyze it further to improve revenues or fill the holes in your strategy.
• Business plans allow you to attract investors and partners into the business as they can read an explanation about the business.
• Business plans allow you to position your brand by understanding your company’s role in the marketplace.
• Business Plans allow you to uncover new opportunities by undergoing the process of brainstorming while drafting your business plan which allows you to see your business in a new light. This allows you to come up with new ideas for products/services, business and marketing strategies.
• Business Plans allow you to access the growth and success of your business by comparing actual operational results versus the forecasts and assumptions in your business plan. This allows you to update your business plan to a business growth plan and ensure the long-term success and survival of your business.
• Executive Summary
• Company Overview
• Industry Analysis
• Consumer Analysis
• Competitor Analysis & Advantages
• Marketing Strategies & Plan
• Plan of Action
• Management Team

The financial forecast template is an extensive Microsoft Excel sheet with Sheets on Required Start-up Capital, Salary & Wage Plans, 5-year Income Statement, 5-year Cash-Flow Statement, 5-Year Balance Sheet, 5-Year Financial Highlights and other accounting statements that would cost in excess of £1000 if obtained by an accountant.

To complete your perfect Shopping Mall business plan, fill out the form below and download our Shopping Mall business plan template. The template is a word document that can be edited to include information about your Shopping Mall business. The document contains instructions to complete the business plan and will go over all sections of the plan. Instructions are given in the document in red font and some tips are also included in blue font. The free template includes all sections excluding the financial forecast. If you need any additional help with drafting your business plan from our business plan template, please set up a complimentary 30-minute consultation with one of our consultants.

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Shopping Mall Business Plan Template FAQs

What is a business plan for a/an shopping mall business, how to customize the business plan template for a shopping mall business, what financial information should be included in a shopping mall business plan, are there industry-specific considerations in the shopping mall business plan template, how to conduct market research for a shopping mall business plan, what are the common challenges when creating a business plan for a shopping mall business, how often should i update my shopping mall business plan, can i use the business plan template for seeking funding for a shopping mall business, what legal considerations are there in a shopping mall business plan.

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How to Start a Retail Store Business in a Shopping Mall

Last Updated: October 19, 2023 Approved

This article was co-authored by Gina D'Amore . Gina D'Amore is a Financial Accountant and the Founder of Love's Accounting. With 12 years of experience, Gina specializes in working with smaller companies in every area of accounting, including economics and human resources. She holds a Bachelor's Degree in Economics from Manhattanville College and a Bookkeeping Certificate from MiraCosta College. wikiHow marks an article as reader-approved once it receives enough positive feedback. In this case, 80% of readers who voted found the article helpful, earning it our reader-approved status. This article has been viewed 191,971 times.

Opening a retail store in a shopping mall can give you immediate access to an existing flow of potential customers. In addition, your store can benefit from the amenities and structures that already exist in the mall, freeing you from having to create your own. That said, for many stores, the mall is full of competitors that sell similar products. This means that you'll have to price your products competitively and draw customers into your store. Setting up a store in this way is relatively straightforward if you use the following steps.

Planning Your Store

• For example, a store selling expensive, handmade men's shoes would not do well in a mall frequented by mostly lower-income customers.

• For example, an underserved demographic in a given market might be plus-size people or Latin Americans. If you notice a lack of stores serving a particular group in the mall, consider building your offerings around that group. [1] X Research source

• A franchise may be relatively simpler to open, but will limit your own freedom to make business choices. In addition, you usually have to pay a large, upfront franchise fee and make regular payments to the franchisor.

• Your store name should be trademarked.
• Your business name, on the other hand, is the legal name of your business, used on official documents like taxes and your lease contract. If your business is a sole proprietorship, your name is the business name.

Working Out Your Finances

• Some places may ask for multiple months of utility and rent payments upfront.
• Next, work with a floor planner and interior designer to determine the cost of upgrading the interior of your store to meet your needs.
• Consider other expenses you will have to pay before opening, like any materials you will have to buy and inventory costs. Also, consider technology costs—you'll have to purchase some method of collecting payments from your customers.
• Finally, think about monthly expenses you might have, such as paying employees and spending on marketing or public relations. [4] X Research source
• Understand the difference between a fixed cost and a variable cost.
• The costs that do not change every month are called fixed costs. For example, the rent, utilities, and payroll.
• The costs that change every month, such as marketing expenses, are known as variable costs.

• For more, see how to fund a business.

Deciding on a Location

• You should also try to locate your store near complementary stores. For example, a jewelry store might want to locate next to an upscale department store. That way, the stores can attract customers to the same corner of the mall together and both benefit from the targeted traffic they receive.

• Kiosks sit in the middle of mall concourses and usually showcase smaller goods, like phone accessories, jewelry, or watches.
• Mall carts, also called retail merchandising units (RMUs), are smaller than kiosks and are located in common areas within malls. They allow for displays of smaller items and can be used to provide simple services like engraving or watch repair.

Opening for Business

• Remember to create a place for your most important or fastest-selling inventory in a dominant position at the front of the store, right in front of the door. [9] X Research source

• Even experienced retail employees will need training in your specific products and in how you wish them to interact with customers.

• Alternately, you can hold a "soft opening" first, where systems and employees are tested before announcing a grand opening. This guarantees that your store is properly functioning before the grand opening.

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Thanks for reading our article! If you'd like to learn more about investments, check out our in-depth interview with Gina D'Amore .

• ↑ https://www.nypl.org/sites/default/files/retail_101_nypl_copy.pdf
• ↑ https://www.inc.com/guides/2010/05/choosing-a-franchise-location.html
• ↑ https://www.inc.com/articles/201108/business-start-up-costs-retail-store.html
• ↑ http://fitsmallbusiness.com/lease-retail-space/

About This Article

Starting up a retail store in a shopping mall is a lot of work, but you can set yourself up for success with the right location and products. Identify a need in the mall or your local market that you can fill. It could be a product such as plus-sized jeans, or a service such as a shoe repair shop. Then, write a business plan that lays out your strategy for operating the store and how you’ll turn a profit. Choose the best available location that meets your space and budget requirements. If you can’t finance your own start-up costs, contact a local bank or apply for a small business loan. You’ll also need to purchase inventory from wholesalers or producers of the items you plan to sell. You can also visit trade shows for your industry to find new, quality products that you can sell. For tips about how to design the inside of your business in a shopping mall, keep reading! Did this summary help you? Yes No

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Home > Resources > 11 Steps to Get Your Business into Shopping Malls

11 Steps to Get Your Business into Shopping Malls

We have created a unique team with dedicated resources in helping business owners like yourself to have a strong advantage against the market while building a stable foundation for your business to grow upon., prefer watching a video.

We know we do – and so we have placed together a comprehensive video summary of what the steps are to get your business into malls!

#1 It All Starts with Your Idea

The most important part of any business starts with an idea. An idea that is close to your heart and something that you truly believe in. The drive for which your business is built upon will resonate with your customers when they see you running your business.

This idea can come from anywhere. It may be a hobby, a passed down tradition or even technology to change the future. There are tons of ideas out there that may be the one for you. If you want to own your own business but are struggling to come up with an idea, may we suggest taking a look at possible franchisees that are tremendously successful overseas and bringing them into the Singapore market?

Alternatively, if you are looking to build upon your existing business, why not explore SCAMPER , a design thinking exercise on your business, and find relevant business ideas that would synergize with your current business, bringing about greater market share and revenue to you!

Click here for more resources on: Great Business Concepts and Ideas to Start in a Mall .

#2 Putting it on Paper into a Business Plan

Great! Now that you have an idea for your business, we need to create a business plan or a proposal for the malls. View your proposal as the executive summary of your business. What is your big idea? Grab the attention of the malls by explaining your unique concept, miles apart from their existing tenants.

The malls would want to know:

• What it would look like besides all the other businesses;
• The different types of offering in terms of products (food) your business will have;
• What plans the business has in place stay open during the mall’s opening hours;
• How the business will be bringing in customers of their own; and,
• What technical requirements the business has in terms of power and size.

Click here for more resource on: How to Create Your Business Plan To Get Accepted into Malls .

#3 Engaging a team of Real Estate Professionals

You have done your personal preparation, perhaps reached out to business consultants you know, family and friends for their advice and insight into your business idea. But now, you are ready to engage a real estate professional to represent your interest into the perfect space.

At MallSpacesAsia, we firmly believe in the sharing of knowledge and expertise. So rest assured when working with us, you are not just working with property professionals and their close extensive network with more than 100 malls, but professionals consisting of business consultants, branding consultants, interior designers, and F&B owners.

Our Real Estate Professionals will take you through every step and serve you exclusively along your journey in finding your perfect space and beyond!

Click here for more resources on:  11 Things to Look Out for when Engaging Real Estate Professionals for your Search for Spaces in Malls .

#4 Focus in on your Target Audience

After you have your idea, a business plan and have made contact with our Pro, we will help analyze your business strategies and define your target audience together with you.

Being clear about your target audience is akin to having a goal for your business. While the idea behind your product or service offering may be the difference between a Porsche and a Kia, identifying and acquiring the right target audience is the difference between a full tank of petrol and one running on two liters.

Our Pros have been trained by our team of business consultants in identifying strengths and threats to businesses along with identifying key targets and strategies for a multitude of businesses.

Click here for more resources on:  Why Your Target Audience will Make or Break your Business in Malls

#5 Shortlisting Locations with your Professional

Now it’s time to set your sights on a location. With their extensive network of contacts and relationships with malls, our Pros have access to the latest data analytics and surveys carried out in the industry to identify and shortlist the most suitable location based upon your requirements.

The perfect location for all business does not exist.

However, the perfect location for your business does. Our Pros take into account the type of business you are running, your target audience, type of crowd you prefer, your long-term business objectives, eCommerce enabled , the strength of your branding , and more…

#6 Location Sourcing by your Professional

Having gathered all the information and shortlisted locations, your Pros will start a conversation with the relevant leasing Cluster Managers on your concept and all the unique aspects of your business.

Cluster managers are responsible for most or all malls under their group. Thus, by talking to the cluster managers, we will essentially be talking to all malls under their group at once, increasing our efficiency and effectiveness in the process.

#7 Concept Presentation

Our Pros will usually hear back from the cluster managers within the week and be asked to officially present the concept for each location directly to the mall. This is where your business plan comes into play as an important and crucial document in the process.

We understand that malls are being run as businesses, often hedge their risks as well, and concepts that are accepted by malls are usually those that do not pose a financial risk to the malls as well. Malls have their own business and financial consultants who will review your numbers, this way, the mall is able to validate your business viability in the long run.

The objective of the concept presentation is to gather feedback, secure a buy-in and acceptance around your concept and business plan from the mall. Remember, malls are a business themselves and succeed by having successful businesses in their malls.

#8 Unit Proposal by the Mall

Good news! The mall and their team have thoroughly enjoyed what they heard and saw and have accepted your concept. Moving forward, the leasing manager from the mall will make contact with you and your Pro, proposing a location for your consideration.

Keep in mind that up till this point, you have incurred zero fees from! Because at MallSpacesAsia, we believe bringing you the best service and allow you to explore all your options without worrying about any charges or billable hours. Moving forward, your Pro will inform you with more details of the proposed location.

#9 Viewing & Evaluation

Your Pro will, after being proposed a location for your consideration, arrange an on-site viewing of the location with the leasing manager. The objective of this viewing is to address any concerns about the location and analyze the space from your business perspective.

It is in our best interest to have your best interest at heart. As such, your Pro will advise you of both the strengths and potential pitfalls of each location you view. Do not hesitate to ask any questions or voice out your concerns to your Pro.

Click here for more resources on:  10 Things to Look Out for when Viewing Spaces in Malls

#10 Offer to Lease: Presenting Your Offer

You have made it to your perfect space! You are happy and excited to start your business in your new unit. Now it’s time to have your Pro prepare an official Offer to Lease on your behalf to be sent to the mall.

If you are unsure about usual mall rental charges, take a look at our calculator and the article that goes along with it. If you are still unsure after reading the article and trying out the calculator, be sure to ask your Pro for assistance.

#11 Tenancy Agreement

Welcome to the last step of getting your business into a mall, the Tenancy Agreement. Once your Offer to Lease is accepted by the mall, you and your Pro will receive an official reply. The mall will then proceed to prepare the Tenancy Agreement and the payments process shall begin.

Only at this point in time will payment collected by your Pro for their service rendered to you. For more information on our fee policy, please visit our zero fee policy page .

#12 Bonus: Your Journey Begins

Congratulations for making it through the journey of getting your business into a mall! Now you enter the next phase of your business, setting everything up, advertising and reaching out to potential customers (that you have targeted previously). Reaching out to interior designers, logistical fulfillment companies, branding firms, social media marketing consultancies and more!

Depending on your product offering, your requirements will vary greatly from your neighboring tenants. Remember, starting and growing a successful business isn’t all luck. Sure, luck will help. But being prepared and ready for when your luck arrives will make the difference between thinking how to keep your business afloat and thinking where to open your eighth store!

Talking to a Professional who knows the Process

Have an idea? Looking to expand? Found a mall you want to enter? Let us know and we’ll be pleased to help you! We have a team of real estate relationship managers, business consultants, interior design consultants, marketing consultants, fulfillment consultants, and much more to assist you in any queries you may have.

Getting into a mall requires a process and it starts with your concept. Got a great idea for the mall? Talk to us and we can make it happen for you by recommending suitable malls and spaces for your needs. We know the in and out of Malls and will be with you every step of the way!

At the end of the day, we have searched for and hand-picked the best team of professionals in the mall industry to provide the assistance you require on one or more component in your journey.

Don’t hesitate to reach out to us and we will be in contact with you within the day.

Share this post with your team!

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The Big List of Shopping Mall Design Standards & Guidelines to Know

Maximize your roi with modern mall design standards that attract retailers and delight consumers.

May 11, 2023

Malls are evolving. From community hubs  for newly built suburbs in the 50s to fountain-in-the-middle havens for teenagers in the 80s, they are now re-emerging as entertainment centers catering to consumers of every stripe. Creating a smart design that fits the ethos of your neighborhood and target consumers can go a long way to making the project a success. Here are some mall design guidelines to think about:

• Layout design:  The anchor tenant model  is considered standard in mall design, with a few core stores serving as the biggest draws for consumers and supporting the smaller businesses. However, traditional anchor stores for malls (think Macy’s, JCPenney, or Nordstrom) have fallen on hard times . In response, some malls are rethinking the anchor tenant model  by using restaurants, entertainment centers, movie theaters, and even office spaces as main attractions.
• Building materials:  Aluminum, steel, and glass are the usual suspects in most modern mall designs. Retailers are leaving behind the giant box looks of yesteryear for sleek modern architecture . Reusable, eco-conscious materials like reclaimed wood can be added as accent features and in outdoor spaces, and working with locally sourced materials can reduce the carbon emissions that usually result from long-distance hauling of goods to construction sites.
• Energy efficiency and environmental considerations:  Malls can reduce their energy expenditure by installing LED light fixtures, utilizing motion sensors, and being conscious about keeping HVAC systems in good condition. Adding green spaces and patios with plants can offset carbon emissions, as well as provide mini-habitats for birds and a pleasant respite for shoppers.
• Interior design and aesthetics:  Whether you’re planning to build an indoor-only mall or have a mix of indoor and outdoor spaces, thoughtfully placed decor, furniture, and the overall flow of one area into another can significantly affect shoppers’ experience . If you’re following the anchor model, this is also a good time to involve your retail partners in planning foot traffic patterns  that maximize profitability by encouraging browsing.

Safety, accessibility, and security are crucial parts of shopping mall design standards. Some accommodations, such as having a certain amount of accessible parking spaces and bathroom stalls, are required by law . From wheelchair-accessible ramps and parking spaces to safety considerations during emergencies, these items are a must for any new retail center:

• Evacuation routes and emergency exits:  Your main entrance, anchor store entrances, and emergency exits need to be built in tandem with a thoughtful evacuation plan. Fires, active shooters, power outages, and other incidents are all threats you have to plan for and consider when designing a shopping mall. Communicating evacuation routes and procedures to the public via digital signage or through the use of digital indoor navigation is equally important.
• Accessibility features:  Features like ramps, accessible restrooms, and parking spaces are required by the Americans with Disabilities Act (ADA) , but the specifics will vary by state. You may also want to include guided navigation features for people with hearing or vision disabilities. It’s best to incorporate accessibility features early into your design with the understanding that they enhance the experience for all your shoppers — for instance, ramps are helpful not only to those in wheelchairs but also to people using canes, crutches or walkers, as well as very young children and people with strollers or carts.
• Loss prevention and security:  Shoplifting, employee theft, and accidental inventory mishandling can create shrinkage and loss for your tenants. While individual stores may want to implement additional security measures, you will need to install security cameras in common areas and engage a security service to help you with remote monitoring, safety patrols, and incident response.

Digital innovation is, paradoxically, coming to the forefront in brick-and-mortar retail. Shopping mall design standards now include augmented reality  to engage shoppers and provide retailers with valuable insights into customer preferences. Resonai’s computer vision enterprise program, Vera , helps retailers build and manage digital twins of their premises that allow for indoor navigation and an enhanced shopping experience. If you’re ready to learn more,  get in touch with Resonai today and set up a free demonstration.

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It should be noted that there is no special software required to use these templates. All business plans come in Microsoft Word and Microsoft Excel format. Each business plan features:

• Excecutive Summary
• Company and Financing Summary
• Products and Services Overview
• Strategic Analysis with current research!
• Marketing Plan
• Personnel Plan
• 3 Year Advanced Financial Plan
• Expanded Financial Plan with Monthly Financials
• Loan Amortization and ROI Tools
• FREE PowerPoint Presentation for Banks, Investors, or Grant Companies!

1.0 Executive Summary

The purpose of this business plan is to raise $30,000,000 for the acquisition of a 150 unit retail Mall showcasing the expected financials and operations over the next three years. Mall, Inc. (“the Company”) is a New York based corporation that will provide rental services to retail stores in its targeted market. The Company was founded by John Doe.

1.1 Products and Services

The primary revenue center for the business is acquiring and developing Mall building properties with the intent to rent the properties to retail stores. The business will generate profits from both the ongoing rental income paid to Mall, Inc. while generating capital appreciation from the long term holding of these properties. Now that that the real estate market has hit come to its bottom, Management expects that the market will have a future growth rate of 5% to 6% per year. The third section of the business plan will further document the Mall rental services offered by the business.

1.2 The Financing

Mr. Doe is seeking to raise $30,000,000 from an investor. The terms, dividend payouts, and aspects of the deal are to be determined at negotiation. This business plan assumes that an investor will receive 50% of the Company’s stock, a regular stream of dividends, and a seat on the board of directors. The financing will be used for the following: • Financing to acquire the initial Mall property. • Financing for the first six months of operation. • Capital to purchase a company vehicle.

1.3 Mission Statement

Mr. Doe’s mission is to develop Mall, Inc. into a premier regional real estate investment firm that will acquire and development Mall buildings and rent properties profitably.

1.4 Mangement Team

The Company was founded by John Doe. Mr. Doe has more than 10 years of experience in the real estate industry. Through his expertise, he will be able to bring the operations of the business to profitability within its first year of operations.

1.5 Sales Forecasts

Mr. Doe expects a strong rate of growth at the start of operations. Below are the expected financials over the next three years.

1.6 Expansion Plan

The Founder expects that the business will aggressively expand during the first three years of operation. As the real estate market returns to normal conditions, Mall, Inc. will be an excellent position to recognize profits from the sale of properties. In the future, the business may seek to acquire additional capital for the acquisition of additional Mall type properties.

2.0 Company and Financing Summary

2.1 Registered Name and Corporate Structure

Mall, Inc. The Company is registered as a corporation in the State of New York.

2.2 Required Funds

At this time, the Mall requires $30,000,000 of investor funds. Below is a breakdown of how these funds will be used:

2.3 Investor Equity

John Doe intends to sell 50% of the Mall in exchange for the capital.

2.4 Management Equity

John Doe will retain 50% of the business once the capital is raised.

2.5 Exit Strategy

If the business is very successful, Mr. Doe may seek to sell the business to a third party for a significant earnings multiple or divest the property or properties individually. Most likely, the Company will hire a qualified real estate broker to sell the properties on behalf of Mall, Inc.

3.0 Products and Services

Below is a description of the real estate services offered by the Mall.

3.1 Rental of Acquired Properties

The direct finance and purchase/development of Mall properties is the primary business of the Company. This type of real estate will provide a continuous stream of rental income that the Management will use for reinvestment and profit stability for the Company. Mr. Doe has already sourced a 15 unit retail Mall that will be initial property acquired by the business. Management is developing a complex economic pricing strategy that will determine the fair market rate of a property based on its capitalization rate in conjunction with the market values of commercial property.

4.0 Strategic and Market Analysis

4.1 Economic Outlook

Management is developing a very complex pricing method to ensure that the Company can continue to provide its units at profit despite possible drawbacks in the overall economic market. The Company’s two prong approach to real estate will allow the business to grow successfully in the rapidly changing real estate market. More importantly, this strategy will allow the Company to offset the risks from each business unit so that there is a diversified balance in the Company’s real estate portfolio. This is especially important as the business uses leverage to finance the acquisition of its properties.

4.2 Industry Analysis

Mall, Inc. plans to actively pursue a real estate acquisition and development program that will focus on the purchase of multiunit commercial buildings and related complexes with the intent of creating a recurring stream of income. Management will use reasonable leverage to purchase these properties so that a positive cash flow is generated after debt service has been paid. The recurring streams of revenue generated from the rental of Mall property will allow the Company to continually recognize revenue despite drawbacks in the real estate market. As these properties increase in value through capital appreciation, the Company will divest of these properties to reap its capital gain profits. The Company will divest its properties once Management feels that its real estate holdings have become overvalued. Mr. Doe has worked diligently to create a pricing model that will allow the business to understand when the properties have become overvalued. This model will examine the capitalization rates of the income producing properties for a determination of true asset value. There are tremendous tax benefits for the Company as it engages its real estate investments. As the business makes its real estate divestitures, The Company will recognize capital gain income rather than income on its properties. These windfall gains will be taxed at a rate that is significantly lower than the federal regular income tax levels. This assumes that the business will divest its properties after one year’s time

4.3 Customer Profile

As the Company intends to operate among several different investment and operating units, it is hard to characterize any specific type of retail tenant that will occupy the Company’s Mall property. However, Management will enact strict tenant quality and credit review procedures to ensure the Company’s revenues will not be interrupted by tenant default.

4.4 Competitive Analysis

Since real estate is effectually one of the most free market oriented businesses in the country, competition can not be accurately categorized. Mall, Inc. anticipates that there will be a sizable amount of competition from both single owner investment firms to large construction companies that are seeking to gain from the unusually high real estate prices throughout the New York metropolitan area.

5.0 Marketing Plan

Mall, Inc. intends to maintain an extensive marketing campaign that will ensure maximum visibility for the acquired units in its targeted market. Below is an overview of the marketing strategies and objectives of the Company.

5.1 Marketing Objectives

• Establish relationships with other real estate brokers and agents within the targeted market.

• Implement a local campaign with the Company’s targeted market via the use of flyers, local newspaper advertisements, and word of mouth.

• Develop an online presence by acquiring accounts for major online real estate portals.

5.2 Marketing Strategies

Retail property renter marketing will be the most difficult portion of the marketing strategy. This task will be accomplished through the business’s broad marketing campaign throughout its targeted market. Primarily, Mr. Doe intends to use local real estate brokerage firms to place tenants with the Company’s retail focused Mall. In addition to using a real estate broker, Mr. Doe intends to develop his own marketing strategies that will further increase the visibility of the business’s retail store units. This is especially important with the current real estate market environment. Mall, Inc. will also use an internet based strategy. This is very important as many people seeking real estate for rent use the Internet to conduct their preliminary searches. Mr. Doe will register Company and its initial Mall facility and subsequent properties with these online portals so that potential renters can easily reach the business. The Company will also develop its own online website. The Company will maintain a sizable amount of print and traditional advertising methods within local markets to promote the property that the Company is renting.

5.3 Pricing

In this section, describe the pricing of your services and products. You should provide as much information as possible about your pricing as possible in this section. However, if you have hundreds of items, condense your product list categorically. This section of the business plan should not span more than 1 page.

6.0 Organizational Plan and Personnel Summary

6.1 Corporate Organization

6.2 Organizational Budget

6.3 Management Biographies

In this section of the business plan, you should write a two to four paragraph biography about your work experience, your education, and your skill set. For each owner or key employee, you should provide a brief biography in this section.

7.0 Financial Plan

7.1 Underlying Assumptions

• Mall will have an annual revenue growth rate of 6% per year.

• The Owner will acquire $30,000,000 of investor funds to develop the business.

• The Company will not seek debt financing in the first three years of operations.

7.2 Sensitivity Analysis

The Company’s revenues can change depending on the general economic climate of the real estate industry. In times of economic recession, the Company may have issues with its top line income and rental income may decrease. However, the highly recurring nature of the Mall’s rental income streams will ensure that the business is able to maintain profitability and a positive cash flow at all times.

7.3 Source of Funds

7.4 General Assumptions

7.5 Profit and Loss Statements 

7.6 Cash Flow Analysis

7.7 Balance Sheet

7.8 General Assumptions

7.9 Business Ratios

Expanded Profit and Loss Statements

Expanded Cash Flow Analysis

• Deals Funded
• Deals in Process

Testimonials

Build a mall – complete guide (costs, construction & financing).

 December 24, 2019

If you want to build a mall, you’ll need the answers to many questions. For example, how much does it cost to build a mall? How much does it cost to build a small strip mall? What expertise do you need to build a shopping mall and how to build a strip mall? What’s involved if you want to build a shopping center?

This article addresses all of these questions and discusses shopping mall financing, including how Assets America ® can help. We also answer some frequently asked questions about how to build a mall.

Reem Mall Construction Time Lapse – June 2018

How Assets America ® Can Help

Assets America ® can finance your shopping mall with loans starting at $20 million. There is virtually no limit to the amount of financing we can arrange. Importantly, we have decades of experience financing all sorts of shopping malls and high-end commercial projects.

Our deep network of private investors and banks can most often provide financing even when your bank turns you down. Don’t make a move until you speak with us first. We will be happy to confer with you on a confidential, no-obligation basis. So please call us at 206-622-3000 or simply fill out the form below and expect a very quick response.

Apply For Financing

Types of malls.

Before discussing how to build a mall, it’s important at the outset to define the various types of malls.

A general term encompassing properties such as a shopping mall, shopping complex, strip mall, or pedestrian street.

Shopping Center/Mall/Complex

This is a series of one or more buildings containing shops, adjacent parking, and interconnected walkways. Usually, the shops are indoors. Shopping malls may contain entertainment and dining venues. They can range in size from neighborhood centers to super-regional centers.

An open-air shopping center usually arranged in a single row of stores fronted by a sidewalk. Typically, developers build strip malls as a unit accompanied by suitable parking facilities. Many are separate from pedestrian connections and rely on cars and mass transit. Power centers are large strip malls.

This is a marketplace, public square, or similar open space. It may include streets closed off to vehicular traffic.      

Outlet Mall

A mall in which manufacturers sell their wares directly to the public, usually at discount prices.

How Much Does It Cost to Build a Mall?

It’s not cheap to build a mall. The national average is $24.9 million for a medium-sized shopping mall , not including land purchase and clearing. To build a mall, demolition may be necessary, and this will add significantly to the total cost.

A typical mall has four anchor stores, two floors, and 56,000 square feet. Naturally, mall sizes and costs vary greatly according to size, site conditions, construction techniques, tenants, amenities, and location.

Mall construction requires the participation of an owner/developer, architects, general contractor, and subcontractors. Typically, malls use “best” quality building techniques and materials in order to minimize bonding and insurance costs.

Of the average $24.9 million total cost, the breakdown is:

The average construction costs are $442 per square foot , although costs range from $225 to $450 per square foot . These cost estimates assume that labor belongs to unions without mob control.

Non-unionized labor has the following national average costs:

Breakdown of Costs

To calculate “How much does it cost to build a mall?”, account for the following types of typical costs:

• Acoustic ceilings, suspended
• Brick face, stucco, or stone exteriors
• Communication systems
• Concrete foundation
• Display fronts with aluminum/glass double doors, bulkheads, finished walls, and lighting
• Doors and partitions
• Floors covered with carpet and sheet vinyl
• Fluorescent lighting, recessed
• Gypsum-board interior walls
• HVAC equipment and suspended ducts
• Office space and mezzanines
• Security and safety systems
• Six plumbing features per 4,000 square feet
• Stairwells, escalators, and passenger and freight elevators
• Steel roofs with plywood sheathing and five-ply insulation

Architect Costs

Typically, architects will consume about 17% ($4.23 million) of the total budget to build a mall. In return, you receive the following services:

• Develop/ascertain project budget
• Draft plans for proposed work
• Create schematics and floor plans
• Interface with structural engineers and governmental planning agencies
• Finalize all details for drawings, materials, and finishes
• Serve as or work with the project manager
• Obtain permits
• Advise about selection of contractors and bids
• Complete all documents necessary for construction

Contractor Costs

Without a doubt, the contractor is responsible for the daily management of the project. Typically, contractor cost comprises 14% ($3.49 million) of the total budget. In addition, a contractor might extract $3+ million in indirect fees and markups. Contractor tasks include:

• Procuring all materials and services
• Selecting and hiring subcontractors
• Collaborating with the architect and the owner to evaluate plans
• Pulling all permits for work and installation of utilities
• Overseeing all construction
• Providing final cleanup of the construction site

How Much Does It Cost to Build a Small Strip Mall?

Unsurprisingly, a small strip mall is less expensive to build. Usually, it consists of a street lined with attached stores and on-street parking. You don’t have to spend money on interconnecting walkways other than the main front thoroughfare. Nor do you have to build parking structures, although you certainly can if that is part of your plan.

There won’t be elaborate food courts and other amenities you would typically find in a shopping complex. You must choose what kind of tenants will be located at the strip mall and price your construction accordingly. Clearly, you may have to minimize costs if your mall comprises down-market stores. For example, these may include:

• Vintage clothing shops
• Dollar stores
• Resale shops
• Bail bonds providers
• Liquor stores
• Blood purchase services
• Tattoo parlors
• Laundromats
• Discount shoe stores
• Food banks and soup kitchens
• Payday lenders and check cashers
• Walk-in injury lawyer storefronts
• Bakery outlets
• Animal pounds
• Teenage addiction counseling clinics

Clearly, your rental income projections must account for the types of tenants you attract. These projections may tempt you to cut corners during construction, but nevertheless, you must build to the minimum safety codes. Typically, a minimum-cost small strip mall might cost about $250/square foot to build .

How to Build a Strip Mall or Shopping Center

There are a series of steps you will need to build a shopping mall, including the following items.

1. Site Selection

You must choose the land upon which you’ll construct your mall. Naturally, you want a location that is easy to access, and not too far from a nearby center. Also, it should provide space for parking and not create local traffic congestion.

The location should be convenient for access by your targeted market. Will your targeted customers be able to afford shopping at the tenant shops at the mall? Frankly, some malls appeal to average-to-low-income customers, while others will market to the rich, educated elite.

Undoubtedly, another factor is age. Will you be targeting teenagers and young adults, or will you favor mature adults and seniors? Perhaps you’ll go after a mix of all types of customers, but you’ll need to consider the pros and cons.

A mall that appeals to everyone may appeal to no one. However, a mall that targets a slice of the consumer market may be limiting its traffic.

2. Characteristics and Amenities

Your mall plans may follow a theme and include amenities like restaurants and other service providers. Will the mall have something different or unique to attract customers? You should research existing malls to see how they address these issues. Clearly, you need to discover which approaches work and which don’t.

In addition, your research will include technical aspects such as tenancy mix, footfalls, best practices, and so forth. A major decision will be the size of the mall and the intended anchor tenants.

The branding of your mall depends on its tenants, characteristics, and amenities. These incur costs beyond construction, but your branding plans can influence how you build the mall.

For example, a mall with small discount stores looks quite different from one with upscale department stores and boutiques. Naturally, your construction budget might be much lower if your mall consists of down-market tenants. These might include dollar stores, used-book stores, furniture consignment shops, and charitable recycled merchandise stores.

There is no reason that this type of mall will be less profitable than an upscale mall. However, a down-market mall should minimize costs. This may include average-to-budget materials, non-unionized labor, and unskilled workers.

3. Operational Aspects

Your building plans should account for the special requirements of a mall. For instance, you may need to include special facilities to support mall security that operates 24/7. You might want to include a first-aid center to handle on-site injuries. You’ll also have to provide for cleaning and maintenance operations.

Some malls have on-site property managers and tenant recruiters. The extent to which your mall will have on-site support operations will most certainly affect the cost of construction.

Another operational aspect that affects construction costs is your IT & technology plans. New malls definitely favor high technology to deliver features like customer Wi-Fi and integrated security monitoring. This may require extra cabling and devices that add to the cost but pay for themselves over time.

Shopping Mall Financing

Some shopping mall developers may be self-financing from equity. That is, they use retained earnings to pay for new shopping mall construction. However, most mall projects require debt financing.

Frequently, a developer may choose to recruit investors. Clearly, this requires you to estimate a return on investment, break-even point, and payback period. Then you must decide how to attract investors who will allow you to run the project your way. You will need mechanisms to resolve disputes with minimal disruption.

Your budget is the starting point. You must conduct a feasibility study to verify that the budget is sufficient under various scenarios. To be clear, a sensitivity analysis tests your cost and revenue assumptions under positive and negative conditions.

The output is a series of pro forma balance sheets, P&L statements, cash flow statements, and financial ratios. Doubtlessly, investors may be interested in seeing all of this material before signing on to the deal. However, you might not want to share projections you judge to be unlikely.

You can potentially offload some of these concerns if you use a loan broker such as Assets America ® .

Frequently Asked Questions

Are shopping malls a smart commercial property investment.

Yes, shopping malls can be an excellent property investment if you do your homework first. Substantial due diligence is an involved process that requires access to data and expert analysis. You must make sure you pay the right amount and receive the appropriate return on your investment.

How long does it take to build a shopping mall?

The time from initial concept to space leasing can take 2 to 5 years or longer. Obviously, if municipal financing is involved, multiply your time estimates several times. Tellingly, the American Dream Mall in the New Jersey Meadowlands took 16 years to go from concept to operation.

What’s the difference between a mall and a shopping complex?

Usually, a mall contains enclosed structures. Whereas a shopping complex may have open-air complexes in addition to enclosed structures. Indeed, both types of properties feature large parking facilities and must deal with traffic challenges.

What’s the difference between a plaza and a mall?

A plaza is usually an outdoor facility, although it may have a covered roof. Simply, plazas may be areas that allow for mobile vendors such as food trucks and flea markets. Most malls are indoor facilities, although they might have outdoor components as well.

What’s the difference between a mall and an outlet?

A mall usually has a wide mix of merchants. However, an outlet mall features the retail stores of manufacturers. Also, it may contain off-price merchandise from department stores. Consumers patronize outlet malls when they are looking for name brand merchandise at reduced prices. 

Helpful Resources

• First, read this enlightening article from McKinsey & Company on The Future of Building Shopping Malls .
• In addition, you can read this Fodor’s article on the best shopping centers in the world if you’re looking for inspiring ideas to build a mall .
• Finally, there’s a Havard research article called Where Should We Build a Mall? The Formation of Market Structure and Its Effect on Sales .

Articles Related to Shopping Malls

• Complete Guide to Shopping Center Loans
• Should You Invest in Shopping Centers
• Commercial Loans:  Complete Guide to Obtaining High-Dollar Loans

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• Complete Guide to Construction Loans
• 5 Signs of a Well-Run Commercial Construction Project
• Ultimate Guide to Commercial Construction Companies

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Ronny was a pleasure to work with and is extremely knowledgeable. His hard work was never ending until the job was done. They handled a complex lease and guided us through entire process, including the paperwork. Not to mention a below market lease rate and more than all the features we needed in a site. We later used Assets America for a unique equipment financing deal where once again Ronny and team exceeded our expectations and our timeline. Thank you to Assets America for your highly professional service!

Great experience with Assets America. Fast turn around. Had a lender in place in 30 minutes looking to do the deal. Totally amazing. Highly recommend them to anyone looking for financing. Ronny is fantastic. Give them a call if the deal makes sense they can get it funded. Referring all our clients.

Assets America guided us every step of the way in finding and leasing our large industrial building with attached offices. They handled all of the complex lease negotiations and contractual paperwork. Ultimately, we received exactly the space we needed along with a lower than market per square foot pricing, lease length and end of term options we requested. In addition to the real estate lease, Assets America utilized their decades-long financial expertise to negotiate fantastic rates and terms on our large and very unique multimillion dollar equipment purchase/lease. We were thankful for how promptly and consistently they kept us informed and up to date on each step of our journey. They were always available to answer each and every one of our questions. Overall, they provided my team with a fantastic and highly professional service!

Assets America was responsible for arranging financing for two of my multi million dollar commercial projects. At the time of financing, it was extremely difficult to obtain bank financing for commercial real estate. Not only was Assets America successful, they were able to obtain an interest rate lower than going rates. The company is very capable, I would recommend Assets America to any company requiring commercial financing.

Assets America was incredibly helpful and professional in assisting us in purchasing our property. It was great to have such knowledgeable and super-experienced, licensed pros in our corner, pros upon which we could fully rely. They helped and successfully guided us to beat out 9 other competing offers! They were excellent at communicating with us at all times and they were extremely responsive. Having them on our team meant that we could always receive truthful, timely and accurate answers to our questions. We would most definitely utilize their services again and again for all of our real estate needs.

Assets America is a great company to work with. No hassles. Recommend them to everyone. Professional, fast response time and definitely gets the job done.

Ronny at Assets America has been invaluable to us and definitely is tops in his field. Great experience. Would refer them to all our business associates.

We were very pleased with Assets America’s expertise and prompt response to our inquiry. They were very straight forward with us and helped a great deal. We referred them to all our business associates.

I’ve worked with this company for decades. They are reputable, knowledgeable, and ethical with proven results. I highly recommend them to anyone needing commercial financing.

Ronny was incredibly adept and responsive – top-notch professional who arranged impressive term sheets.

Assets America helped us survive a very difficult time and we most definitely give them 5 stars!

Ronny was very friendly and though we were unable to make something happen at the moment he gave me some direction to go.

My business partner and I were looking to purchase a retail shopping center in southern California.  We sought out the services of Ronny, CFO of Assets America.  Ronny found us several commercial properties which met our desired needs.  We chose the property we liked best, and Ronny went to work. He negotiated very aggressively on our behalf. We came to terms with the Seller, entered into a purchase agreement and opened escrow.  Additionally, we needed 80 percent financing on our multimillion-dollar purchase.  Assets America also handled the commercial loan for us.  They were our One-Stop-Shop. They obtained fantastic, low, fixed rate insurance money for us.  So, Assets America handled both the sale and the loan for us and successfully closed our escrow within the time frame stated in the purchase agreement.  Ronny did and performed exactly as he said he would. Ronny and his company are true professionals.  In this day and age, it’s especially rare and wonderful to work with a person who actually does what he says he will do.  We recommend them to anyone needing any type of commercial real estate transaction and we further highly recommend them for any type of commercial financing.  They were diligent and forthright on both accounts and brought our deal to a successful closing.

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Shopping Mall Building Project Proposal Template

• Great for beginners
• Ready-to-use, fully customizable Subcategory
• Get started in seconds

Looking to build the shopping mall of your dreams? We've got you covered! ClickUp's Shopping Mall Building Project Proposal Template is the ultimate tool to streamline and simplify your project planning process.

With this template, you can:

• Create a comprehensive project proposal that covers all the crucial details, from concept to execution.
• Collaborate seamlessly with your team, contractors, and stakeholders to ensure everyone is on the same page.
• Keep track of timelines, budgets, and milestones to stay organized and deliver your project on time and within budget.

Don't let the complexity of building a shopping mall overwhelm you. With ClickUp's template, you'll have everything you need to bring your vision to life. Start building your dream mall today!

Benefits of Shopping Mall Building Project Proposal Template

The Shopping Mall Building Project Proposal Template offers a range of benefits for anyone involved in a mall construction project:

• Streamlines the proposal process, saving time and effort
• Provides a professional and polished document to present to stakeholders
• Ensures all necessary information is included, such as project scope, timeline, and budget
• Helps to clearly communicate the project vision and goals
• Increases the chances of securing funding and support for the project
• Facilitates collaboration and alignment among team members
• Enables easy customization to fit the specific needs of the project
• Simplifies project management by providing a clear roadmap for execution.

Main Elements of Shopping Mall Building Project Proposal Template

ClickUp's Shopping Mall Building Project Proposal template is the perfect tool to plan and execute your next construction project. Here are the main elements of this Whiteboard template:

• Custom Statuses: Track the progress of your project with two customizable statuses - Open and Complete - to ensure that every task is accounted for and completed on time.
• Custom Fields: Utilize custom fields to capture essential information about your project, such as budget, timeline, materials needed, and any other specific details that are crucial for successful execution.
• Custom Views: Access two different views to manage your project effectively. The Project Proposal view allows you to outline your project's scope, objectives, and deliverables, while the Getting Started Guide view provides a step-by-step plan to kickstart your project.
• Collaboration Tools: Collaborate seamlessly with your team by utilizing ClickUp's built-in features such as task comments, file attachments, and real-time collaboration to ensure everyone is on the same page throughout the project lifecycle.

How to Use Project Proposal for Building A Shopping Mall

If you're planning to propose a shopping mall building project, using a well-structured template can help you present your ideas effectively. Here are five steps to help you make the most of the Shopping Mall Building Project Proposal Template in ClickUp:

1. Develop a clear project overview

Start by providing an overview of the shopping mall building project. Explain the purpose, location, and target market for the mall. Include details about the size and design of the building, as well as any unique features or amenities that will set it apart from competitors.

Use the Docs feature in ClickUp to create a detailed project overview that highlights the key aspects of the proposal.

2. Outline the project timeline and milestones

Next, lay out a timeline for the project, including important milestones and deadlines. Break the project down into phases, such as site selection, design and planning, construction, and grand opening. Clearly define the duration and expected completion date for each phase.

Utilize the Gantt chart feature in ClickUp to create a visual representation of the project timeline and milestones.

3. Detail the financial aspects

Provide a comprehensive financial analysis of the shopping mall building project. Include estimated costs for land acquisition, construction, permits, marketing, and ongoing maintenance. Present a projected income statement, including anticipated revenue from rental income and other sources, as well as operating expenses.

Use the Table view in ClickUp to create a financial spreadsheet that outlines the costs, revenue projections, and potential return on investment.

4. Highlight the marketing and leasing strategy

Explain your marketing and leasing strategy to attract tenants and ensure the success of the shopping mall. Describe how you plan to promote the mall to potential retailers and anchor tenants. Outline any incentives or benefits you will offer to attract businesses to lease space in the mall.

Utilize the Board view in ClickUp to create a visual representation of the marketing and leasing strategy, including lists of potential tenants and their contact information.

5. Include supporting documents and visuals

Enhance your proposal by including supporting documents and visuals that provide additional context and support your ideas. This could include architectural renderings, site plans, market research data, and testimonials from potential tenants or industry experts.

Use the Docs and Whiteboards features in ClickUp to add supporting documents and visuals to your proposal, making it more engaging and persuasive.

By following these steps and using the Shopping Mall Building Project Proposal Template in ClickUp, you can create a compelling proposal that effectively communicates your vision for the project and increases your chances of success.

Get Started with ClickUp's Shopping Mall Building Project Proposal Template

Real estate developers can use this Shopping Mall Building Project Proposal Template to streamline the process of proposing and managing a shopping mall construction project.

First, hit “Get Free Solution” to sign up for ClickUp and add the template to your Workspace. Make sure you designate which Space or location in your Workspace you’d like this template applied.

Next, invite relevant members or guests to your Workspace to start collaborating.

Now you can take advantage of the full potential of this template to bring your shopping mall to life:

• Use the Project Proposal View to create a detailed proposal that outlines the scope, budget, and timeline of the project
• The Getting Started Guide View will provide you with a step-by-step plan on how to begin the construction process
• Organize tasks into two different statuses: Open and Complete, to keep track of progress
• Update statuses as you complete tasks to ensure everyone is up-to-date on the project's progress
• Assign team members to specific tasks and set due dates to maintain accountability
• Utilize Checklists to break down larger tasks into smaller, actionable steps
• Attach relevant documents and resources to each task for easy access
• Communicate with team members, stakeholders, and contractors through comments and @mentions
• Monitor and analyze tasks to ensure the project stays on schedule and within budget.

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Shopping Mall Small Business Idea and Business Plan

Starting your own small business in the UK isn’t easy but having a properly developed business plan will help you achieve success.

To start a Shopping Mall business in the UK, take the time and explain the idea via a business plan.

Understanding all of the aspects of the business idea will be the key to getting the Shopping Mall business running like a well-oiled machine. The business plan you develop will help you organize the elements needed into a strategy that you can actually use to startup, by paving a clear road map as to what you need to follow for the lifespan of your business.

Starting a Shopping Mall business isn’t easy, but when done right, it can lead to a lot of success.

To help you get started, you can use the free business plan builder tool to develop your own Shopping Mall business plan.

The business plan template is very easy to use, is interactive and will quickly and easily help you create your business plan just by answering the needed questions about your small business idea.

Create your own Shopping Mall business plan for free using the Business Plan Builder

The free business plan template builder is divided into a few easy to follow steps.

The free business plan builder template is provided by UKStartups.org to help you develop your own business plan. For step by step guidance, see the 5 steps below.

Once completed, the result will be a clean, professional plan that will help you start your own Shopping Mall small business in the UK.

When you have completed your Shopping Mall business plan, the next step will be to find available funding that will help, or to speak with a funding adviser who will assist you each step of the way to securing the needed funds to make your Shopping Mall business startup.

If you are looking to limit your startup costs when starting up a Shopping Mall small business in the UK, this free business plan builder tool will be it.

Starting a Shopping Mall business is only one of the ways others have used this free business plan tool. There are hundreds of different ideas you can start, and if you need guidance, do reach out to a UKStartups expert to get the needed assistance and guidance.

Step 1. Your business information

To develop a proper Shopping Mall business plan with the free business plan builder template, it is important to answer each of the questions about your business to the best of your abilities.

What is your business? What are the products/services you provide? Who are your customers? What are your goals…etc?

Having a clear explanation will help you create a in-depth business plan that you can actually use to start the Shopping Mall business and to apply for needed funding to cover your startup costs.

Step 2. Projecting your revenues/income

The Shopping Mall industry can have great results. Planning and projecting the financial figures to approximate what you will make each year is crucial to building a strong business plan.

What do you think your business will make from each of its products/services? Simply list your products/services, enter the appropriate financial figures (costs and expenses).

If you don’t have the figures, in many cases it is recommended to do a a bit more research on other Shopping Mall businesses locally and within your own region to get an idea of potential revenue. You can do your best to estimate the figures and growth potential.

If you need assistance in projecting, you can always contact UK Startups funding experts for the help.

Step 3. Your business market

As a Shopping Mall business, having a clear explanation of the market and industry that you are in will help you plan for the figure and will ensure you can take the business to the next level.

Explain your location of business, share specifics about your customers, showcase your competition and explain the advantages you have over your competition.

Step 4. The future plan

Starting your own Shopping Mall business and getting it off the ground is important to you.

No matter if you’re planning on applying for government funding for your Shopping Mall business or not, it is important to plan out the future and provide an explanation of how you will grow the business. This means explaining your marketing plan, your sales strategy and clearly outlining a growth plan for the next few years.

Be sure to break this down step by step to show how you intend on making sure your Shopping Mall business can grow each year.

Keep in mind that often business plans are focused on key people. Be sure to discuss yourself, your role and any other key figures in the business as well.

Step 5. The financials

In the end, it all comes down to the financials. If you are seeking funding, or not – the business plan you develop needs to have clearly defined financials or projections. The business plan builder tool makes it easy to develop your financial charts by simply entering your expected revenues per month and year. If you don’t have the figures as it’s a new business be sure to project the figures based on your expectations. If you need help with this, ask the UK Startups experts .

A clear breakdown of your funding needs is also recommended in case you are seeking funding and this free business plan template will help you with exactly that. When developing your Shopping Mall business plan using this free template, the above 5 steps are recommended in order to succeed. While there are other key points that will assist you in starting your business, finding funding...etc, the free template will help put you on the right path

Be sure to request a professional to review your business plan , to answer any questions you may have and to help you with the funding search once you’ve done the initial free template. You can request this directly via UKStartups.org and through the Small Business Startup Platform as a member.

If starting a Shopping Mall business is just one of your ideas, perhaps considering other options, here are some popular small business’s others have chosen to startup

• Health Club
• International Airport
• Blood Donation Center
• Airbrushing Service
• Skydiving Center

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Reviving Retail: The Lucrative Potential of Shopping Mall Redevelopment

• May 15, 2024 at 7:17 AM EDT
• By Sejal Sonani, HLW

Traditional shopping malls are poised for a dynamic transformation, presenting attractive real estate opportunities as more spaces become vacant and accessible. As architects and developers brainstorm fresh approaches to rejuvenate these properties, what’s certain is that they will look different than in the past.

Shopping malls, usually situated in prime locations with good accessibility, are valuable real estate assets that have the potential to be hubs of social interaction and local engagement. This potential can be fully realized by reimagining them with a thoughtful consideration of community needs. By integrating various functions into these developments, designers can enhance these malls’ resilience by transforming them into mixed-use destinations, ensuring their status as integral community fixtures.

Designing the Future of Existing Shopping Malls

Repositioning shopping malls to facilitate greater flexibility in usage beyond retail will enable these spaces to adjust to evolving market trends and shifting consumer preferences. Nevertheless, the process of determining the optimal use case and design involves numerous steps.

Prior to moving forward with a purchase, a site analysis is performed to determine if a building is a good candidate for repositioning or adaptive reuse. Architects look at a variety of elements to understand the context of the building and its location. This involves architects identifying structural and non-structural walls, scoping out neighborhood amenities and completing a daylight study with the structural engineer to see where spaces can be opened to let in more light. Big box retail stores typically have large floor plates and basement areas with little to no access to natural light. Bringing light deeper into the floor and into basement levels is a critical design intervention in order to make these buildings viable for other uses.

If the results show the development could be successful, the design team moves into preliminary design. It’s crucial for architects to delve into the building’s history at this stage, to find relevant defining elements that could be preserved or leveraged in the design. Floor plans of the existing building or previous historic drawings are great reference materials.

This deliberate process of investigation, selective preservation and strategic new intervention is what makes each adaptive reuse project so interesting. The spaces, structures and campuses each tell a unique story that is hard to replicate in a ground-up construction where the designers and developers are presented with a blank canvas.

In any effort to adaptively reuse or reposition a shopping mall, a significant challenge lies in dispelling the perception of a suburban mall atmosphere. At HLW, our design process typically entails generating three to five iterative options and carefully narrowing them down based on sound logical and financial considerations.

Collaborating with a diverse team of designers brings forth a range of perspectives, guaranteeing a comprehensive exploration of possibilities. Assembling an in-house multidisciplinary team — comprising architects, interior designers, landscape designers, experience designers, brand strategists, sustainability experts and lighting designers — paves the way for a successful and holistic design approach. In addition, we have deep relationships with outside consultants and contractors who we partner with at the due diligence phase to ensure financial viability and constructability of the proposed designs.

HLW recently completed the adaptive reuse of a Macy’s department store at the former Westside Pavilion in Los Angeles, which has been renamed West End. Additionally, we are currently working on the Bayfair Center in the East Bay of the San Francisco metropolitan area. Both West End and Bayfair Center serve as shining examples of successful transformations, illustrating how this approach can breathe new life into aging retail spaces, stimulate economic activity and align with sustainable urban development objectives.

West End is an impressive case study on repurposing underperforming and abandoned department stores throughout the country, bringing new life to neighborhoods and providing spaces that will better serve future generations of the West LA community. HLW transformed the former Macy’s into 230,000 square feet of creative office space suitable for a range of tenants – a project that served as the catalyst for the larger repositioning of the mall.

The innovative adaptive reuse plan for this site responsibly repurposes the existing building infrastructure while seamlessly integrating it into the evolving urban landscape. Notably, this transformation aligns with the area’s growing pedestrian-friendly character, which has been on the rise since the closure of the Westside Pavilion. This comprehensive overhaul maintains the building’s distinctive architectural elements, such as the unique hockey stick-like detailing on the facade, and ensures the structural integrity remains intact .

To rejuvenate the site, our team created a central courtyard, effectively slicing through the building, connecting it to both the sky and the street. This architectural decision allows for a harmonious blending of indoor and outdoor spaces, creating a sense of continuity. Furthermore, we lowered the ground level, effectively opening the previously dormant basement to natural light and providing picturesque views of the courtyard.

In a significant move to enhance the connection between the building’s interiors and its surroundings, the once-sealed exterior facade has been retrofitted with expansive floor-to-ceiling glass, facilitating a seamless visual transition from inside to outside and vice versa.

We’ve purposefully crafted West End with exceptional flexibility in mind. Beyond the dynamic creative office spaces, tenants have the option to utilize the ground floor areas facing the street for retail or fitness centers. This deliberate design ensures that West End can remain adaptable to evolving consumer needs well into the future.

Moreover, the complex enjoys the convenience of being within easy walking and biking distance of additional residential and retail offerings, including a diverse array of restaurants and lifestyle services. This strategic placement fully capitalizes on the prime location of the former shopping center.

No longer a dormant vacant property, the redevelopment has not only breathed new life into the area but also paved the way for the success of neighboring projects while creating opportunities for future development. Notably, UCLA’s recent acquisition of the nearby Westside Pavilion property, which the university will transform into the UCLA Research Park, signals the opportunity to attract more life science and education tenants to the area.  

Bayfair Center

In San Leandro, Calif., B3 Developers have embarked on a mission to reinvigorate the Bayfair Center into a dynamic tenant campus imbued with a distinctive character and transit-oriented amenities. The vision involves a transformation of the existing 670,000-square-foot shopping mall from its static and outdated state into a versatile complex, designed to accommodate future adaptations with ease.

To craft a successful design, it was imperative for our design team to delve into the complex’s history. The Bayfair Center comprises buildings constructed at different times. Initially, the complex was open-air, but it underwent enclosure in the 1980s. Presently, the intention is to restore its open layout, prompting the design team to meticulously examine the building for clues on the previous closure points as potential sources for introducing natural light.

The proposed design reimagines the space to meet the needs of life science and biotech companies. Much like the West End project, this space will boast communal courtyards and amenities. Additionally, it will offer private backyards for tenants, strategically incorporated throughout the structure to optimize natural daylighting.  

The design includes features that give Bayfair Center a campus feel, which could fortify the local community and transform the area into a bustling and attractive destination. Bayfair Center sits adjacent to a Bay Area Rapid Transit (BART) station, so we designed a central town hall area to orient the wayfinding of the complex, with extra consideration for circulation of both vehicle traffic and pedestrians commuting on BART.

Environmental Impacts

The advantages of utilizing existing building stock are vast, with one particularly appealing benefit being its positive impact on the environment. Projects involving adaptive reuse and repositioning significantly reduce the need for new construction, thereby minimizing the associated environmental footprint.

By making the most of existing resources and infrastructure, adaptive reuse promotes sustainability, which is increasingly vital in a world focused on reducing carbon emissions and preserving resources. This approach often proves to be more cost-effective than initiating new construction projects, as it can lead to reduced construction expenses, streamlined permit approvals and shortened project timelines. Furthermore, local governments and municipalities may incentivize adaptive reuse and repositioning initiatives through measures such as tax incentives, zoning adjustments and simplified permitting processes.

West End is a great example of how buildings can extend their lifetime through smart design while reducing emissions associated with all materials. The embodied carbon intensity for the project is significantly lower compared to a new building’s average because of the reuse of the concrete superstructure and foundation.

Our team also took special care to reduce energy usage through clever architectural strategies and material choices. For example, voids cut in the structure’s original slabs for strategically placed interior courtyards increased daylight access and reduced the need for air conditioning.

As retail environments evolve and consumer preferences continue to shift, repurposing underperforming and abandoned shopping malls can offer solutions for some of the most pertinent challenges faced across the country. Breathing new life into these defunct spaces can truly be a catalyst for energizing communities, fostering economic growth and diminishing the built environment’s climate impact. The future of shopping malls can be bright if designed right.

Sejal Sonani, AIA is a Principal and Managing Director at  HLW . She leads HLW’s multidisciplinary West Coast team, championing the firm’s adaptive reuse, repositioning, master planning and ground-up construction expertise, from Silicon Beach to Silicon Valley. Bringing a keen understanding of the built environment’s impact, Sonani is an advocate for sustainable solutions and inclusive design.

• Posted In: Customer Experience , Design Perspectives , Experiential Retail , In-Store Innovation , New Store Concepts , Retail Store Design , Sustainability
• Tagged With: B3 Developers , Bayfair Center , Design Perspectives , design:retail , design:retail News , HLW , Macy's , Sejal Sonani , UCLA , West End

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Home » Sample Business Plans » Wholesale & Retail

How to Write a Mall Kiosk Business Plan [Sample Template]

Are you about starting a mall kiosk company? If YES, here is a complete sample mall kiosk business plan template & feasibility report you can use for FREE . Okay, so we have considered all the requirements for starting a mall kiosk business. We also took it further by analyzing and drafting a sample mall kiosk business marketing plan template backed up by actionable guerrilla marketing ideas for mall kiosks. So let’s proceed to the business planning section.

Why Start a Mall Kiosk Business?

Mall kiosks are small stations usually placed in the center aisles of indoor malls, but during warm and dry climates, they can also be found in outdoor malls. These kiosks are not meant for all types of merchandise, but they avail themselves to impulse buying of small novelty items, jewelry, and accessories.

They also are used for seasonal merchandise, sometimes as promotional stations for larger retailers. The cost of buying a kiosk can be relatively low, but most malls demand long-term leases that can require upwards of $100,000 over the life of the lease.

Some malls require a contract that promises them a percentage of your sales in addition to the cost of the lease. The cost of the merchandise you sell will vary with the items you want to sell. You can also choose to buy or lease a kiosk. Used ones may be available at considerable savings, but be sure the used kiosk is free of problems. Leasing is usually for the short-term or for seasonal use, but you may save money on the long run if you buy a kiosk.

A kiosk should be staffed by at least two people so that more people can be helped at a time. Note that with two people, you also have coverage for lunches and bathroom breaks. With only one person, you will need a way to secure the goods when the staffer needs to be away from the kiosk for a few minutes. But no matter how you decide to start and run your Kiosk, be sure you have a business plan to direct your every move.

A Sample Mall Kiosk Business Plan Template

1. industry overview.

According to industry data, the Mall Carts & Kiosks industry over the past five years has grown by 2.7 percent to reach a revenue of $12bn in 2018. In the same timeframe, the number of businesses has grown by 3.0 percent and the number of employees has grown by 3.8 percent.

Reports have it that the Mall Carts and Kiosks industry has  also within the past five years pushed through difficult conditions. Dropping mall traffic and growing external competition have threatened operators, which rely primarily on impulse purchases.

Even with the strong consumer spending and more aggressive tactics by shopping mall owners to earn revenue from underutilized spaces, the industry strived to maintain sales during the period. Mall owners, battling reducing traffic due to changing consumer-shopping patterns, have tried to attract cart and kiosk operators with attractive lease terms and more prominent spaces.

To adjust to these difficulties, many operators adjusted their Business model to add service offerings as a new revenue stream.

The Mall Cart and Kiosk industry that was once fledgling and composed of only small, simple carts has expanded to include complex kiosks called retail merchandising units (RMUs), and large freestanding kiosks that include electrical outlets for product display through television and lighting, tablets, and other turnkey solutions.

Globally, the retail kiosk industry has taken off. Mall traffic throughout Europe and the Middle East continues to grow, and shoppers are “voting with their feet” for unique experiences at retail centers.

In North America, kiosk-generated revenue is expected to hit $4.4 billion by 2024, an annual growth rate of a whopping 6.1 percent. In fact, kiosks can now account for over 10 percent of a mall’s revenue. Malls are innovatively responding to these changes.

Once a place for the distribution and storing of goods, they are now a place for great experiences. With plenty of franchise options out there, and short-term lease commitments, it is the perfect time for entrepreneurs to start their own kiosk business without the need to invest a ton of money upfront.

2. Executive Summary

Prime Kings is a Limited Liability Company , a manufacturer, innovator and consumer brand of mobile accessories based in Manhattan, New York City, USA. This company was started by two high school friends, Martin Thomas and Denis Castle.

This business plan provides for the opening of a Prime Kings full service mall kiosk in Hudson Yards. Prime Kings will sell and professionally install an extremely diverse set of custom made mobile protection accessories.

Our goal is to challenge the status quo of the mall kiosk industry by selling high quality products, and backing them with lifetime guarantees and customer focused service. Prime Kings will be completely financed by equity capital provided by the two founders.

We believe that we will pass our break-even point within the first year. Conservative projections based on sales over the next three years yielded an annual revenue of $750,000 by Year 3. The company expects its cash account to remain healthy.

We strongly believe that Hudson Yards is an ideal location for our business. It boasts of an unparalleled location that offers the high visibility and heavy foot traffic necessary to support our enterprise. Prime Kings has created and maintained a proven business model that thrives in the mall environment, with more than 12 locations successfully operating globally, since 2012.

We believe that our entire business model is built around driving traffic to our Hudson Yards with corporate based marketing. The unique products we plan to sell protect not just the screen, but the entire device including back, sides and front for invisible, bulk free protection. We also protect everything from watches, smartphones and tablets to laptops and game controllers.

Due to our services and products, everyone in the mall is a potential customer for multiple sales. ​We not just sell our products; we back our products with a lifetime guarantee. At our kiosks, customers can count on a professional service handled by specially trained knowledgeable staff. Also, all our products come with quality US manufacturing in mind, and this value is a huge part of every decision made.

We believe that our personal approach to service gives the customer value that they cannot get anywhere else. Our award-winning RapidCut system allows us to easily manufacture Prime Kings products for virtually every handheld electronic device on the market within seconds, right at the kiosk, resulting in 35 percent more sales than our competitors.

3. Our Products and Services

All our products come with quality US manufacturing, and this core value is still a part of every decision we make. Our products are designed, sourced, manufactured and shipped in the USA, from our HQ in Manhattan, NY. We also professionally install all of our products for the customer, providing the best possible experience not available online or in big box retailers.

Our personal approach gives the customer value that they cannot get anywhere else. Our Products at Prime Kings also include:

• Clear Coat Original​ is a patented ultra-clear protective film that wraps around the entire device without adding to the bulk, featuring military grade scratch protection, HD clarity and self-healing technology.
• Clear Coat Matte​ features all characteristics of Clear Coat Original with added anti­glare and anti-fingerprint technology.
• Fusion impact screen protector, which is one of the products with patented TriACTIVE™ technology, built to protect from impact.
• Style Skins ​add style & protection without adding bulk. Choose from variety of options depending on your personality — whether adding a splash of color, glitter and fun or texture, luxury and style to your favorite gadget.

4. Our Mission and Vision Statement

• Our vision at Prime Kings is to establish a phone accessories Kiosk whose primary goal is to exceed customer’s expectations.
• Our mission at Prime Kings is to make innovative accessories that will protect and maintain the beauty of mobile phones. We exist to attract and maintain customers. When we adhere to this maxim, everything else will fall in to place.

Our Business Structure

Prime Kings in Hudson Yards will be led by a team of professionals. Our plan is to strive every day to create an environment and structure that encourages productivity and respect for customers and employees. We also plan to hire workers that are very qualified, truthful, customer centric, good communication skills and are open to help us build a business that can compete in the industry. We plan to employ qualified and competent hands to occupy the following offices;

Chief Executive Officer

Managing Director

Admin and HR manager

Marketing and Sales Manager

• Sales representatives

5. Job Roles and Responsibilities

• He will be tasked with providing work direction for the business
• Charged with building, communicating, and implementing the vision, mission, and direction of the business – which also includes leading the achievement and implementation of the all the business strategy.
• Responsible for fixing prices and signing business deals for the business
• In charge of employment
• Tasked with paying workers salary
• Responsible for Signing checks and documents for and on behalf of the business
• Also Evaluates the success of the business
• In charge for managing the daily activities in the company
• Makes sure that the facility is in very good shape and conducive enough for customers
• Connects with third – party providers (vendors)
• Tasked with supervising and training new staff members
• Reports to the Chief Executive Officer
• Settle all Customers complains and enquiries
• Any other duty as assigned by the CEO
• Tasked with overseeing the running of HR and administrative tasks for the company
• Monitors office supplies by checking stocks; placing and expediting orders; evaluating new products.
• Ensures operation of equipment by completing preventive maintenance requirements; calling for repairs.
• State job positions for recruitment and managing interviewing process
• Organize induction for new team members
• Tasked with training, evaluation and assessment of employees
• Tasked with arranging travel, meetings and appointments
• Oversee the smooth running of the daily office activities.
• Oversee external research and coordinate all the internal sources of information to retain the organizations’ best customers and attract new ones
• Creates demographic information and analyze the volumes of transactional data generated by customer purchases
• Understand, prioritizes, and reaches out to new partners, and business opportunities et al
• Understand development opportunities; follows up on development leads and contacts
• In charge for supervising implementation, advocate for the customer’s needs, and communicate with clients
• Create, executes and evaluates new plans for expanding increase sales
• Keep all customer contact and information
• Represents the company in strategic meetings
• Aid to increase sales and growth for the business

Sales Representatives

• Quickly attends to customers in a friendly and professional manner
• Explain all available products services to customers
• Takes care of any other duty as assigned by the Chief Operating officer / managing director
• Tasked with cleaning the restaurant facility at all times
• Make sure the toiletries and supplies don’t run out of stock
• Handles any other duty as assigned by the manager.

6. SWOT Analysis

Our plan at Prime Kings is to focus on our target markets that will provide us with the greatest market penetration. We also plan to offer products and service packages that are priced appropriately for each segment. We have analyzed our business and we have ensured that we are prepared for anything.

We employed the services of a renowned Consulting firm to aid with our SWOT Analysis. Outlined below are the results presented to us at Prime Kings:

• We provide excellent customer service
• We plan to grow and maintain a referral network of customers
• Respond rapidly to customer problems with product or plan
• The industry has slowed down financially over the past three years with the economic downturn
• Business hours are limited for a retail establishment (Monday through Friday 9:00 a.m. to 6:00 p.m.)

Opportunities

The majority of products supplied by the Mall Kiosks industry are discretionary items. Therefore, the growth in household disposable income increases the propensity for consumers to purchase these goods, leading to growth in demand. Per capita disposable income is expected to increase through 2018 to 2019, creating a potential opportunity for the industry.

We at Prime Kings understand that E-commerce retailers offer substitute industry products, sometimes at heavily discounted prices. Products available online through e-commerce retailers are normally more convenient to buy, especially due to improved smartphone technology and next-day delivery services.

Hence, as more consumers visit online retailers for their shopping needs, demand for kiosk and cart establishments will fall. E-commerce sales are expected to increase in 2019, creating a potential threat to the industry.

7. MARKET ANALYSIS

• Market Trend

According to the recent expansion of the global smartphone market, the accompanying accessories market is growing at an accelerating rate. While new mobile devices are being released at a blistering pace, huge varieties of older models still remain in circulation.

Until now, it was impossible to offer everything, from the old BlackBerry Curve to the latest Samsung Galaxy S7 Edge, which resulted in missed sales and unsatisfied customers walking away unhappy ­ especially in small footprint environments.

But with our new innovative, award winning on demand system at Prime Kings, RapidCut makes all of this a thing of the past. Our RapidCut system completely deletes inventory, enabling our kiosks to produce any one of our 11,000+ products on demand at the time of sale.

Industry Data has it that the market potential for cellular accessories is massive, with global revenues reaching US$81.5 billion in 2015. Prime Kings’ entire focus lies in specialty retail, with our growing global network of mall kiosks.

We believe that any mobile device user walking in a mall is our potential customer. But even with huge mass appeal, our products solve very specific problems. The biggest segment of our customers are people who want to keep their gadget’s original design without hiding it in a bulky case.

Prime Kings will provide solutions to keep mobile devices invisibly protected from all sides and look new without unnecessary bulk. Even for people who have cases and take them off occasionally, Prime Kings provides an invisible layer of protection from scratches underneath the cases. People who are in need of extra screen protection can get our patented impact screen protector, Fusion, which works great with any case or a bumper.

Note that unlike our competitors who sell commodity products made in China utilizing off-the-shelf components and inexpensive raw materials, we make use of premium materials and proprietary technology to create our one-of-a-kind products.

Traditionally, Prime Kings repeat customers account for more than 25 percent of our sales and guarantee our long – term sales growth. Every time they get a new device, they can count on us to protect it with our products.

8. Our Target Market

It is very important to state that the market for mobile phones and their accessories is very fragmented, crowded and competitive. Among these, there are only a few large firms that serve the entire city of New York and its surroundings.

The remaining are small firms that sell from kiosks in the surrounding malls. We at Prime Kings believe that our current niche in Hudson Yards, variety of products and expertise in serving the public will assure sales.

We expect to take full advantage of the trends described above, and try to penetrate the market with new innovations and gadgets — using advertisements and demonstrations. We shall also try to lure independent small sellers to join our effort.

• Our competitive advantage

We at Prime Kings believe that the market potential for our product is huge, evidenced by what appears to be the unstoppable growth of the telecom industry. Currently, the telecom industry is among the strongest growth industries and is responsible for huge gains in the capital markets. Our competitive advantage in this business includes:

• Location : Hudson Yards is a real estate development company in the Chelsea and Hudson Yards neighborhoods of Manhattan, New York City. It is the largest private real estate development in the united states by area. Upon completion, 13 of the 16 planned structures on the West Side of Midtown South would sit on a platform built over the West Side Yard, a storage yard for Long Island Rail Road trains.
• E-Commerce : we will make an effort to enhance sales through a serious and advantageous website in order to attract customers that are reluctant to do business with large companies.

9. SALES AND MARKETING STRATEGY

• Marketing and Sales strategy

Our marketing strategy at Prime Kings is divided into two: short and long term strategies. Our short-term marketing strategies are those that bring will bring us a temporary boost in traffic. Note that even though these techniques are very important to our over-all plan, they are only a temporary traffic source and must not be solely relied upon. Short-term marketing strategies include: Purchasing Advertising, Bulletin Boards and Search Engines.

While our long-term marketing strategies are those that will bring us a steady stream of targeted traffic over time. These strategies will continue to produce results even years down the road. Long-term marketing strategies include: Opt-in Lists, Freebies and Content.

We plan to create and implement a balanced marketing strategy, using both short-term and long-term strategies. We also believe that by using this simple formula when creating our Internet marketing strategy, we hope to guarantee our success.

Meanwhile, our short-term marketing strategy will focus heavily on sales promotion, niche positioning in the market and customer service with loyalty and retention in sales. Our promotions will always stay in tune with our company objectives and mission statement.

10. Sales Forecast

Mobile phones have revolutionized the communications arena, redefining how we perceive voice communications. The sales forecast displayed here is very conservative — although we aim very high, we decided to show a very slow growth and revise the plan on a yearly basis. As a rule we expect to expand the volume much more rapidly. Below are the sales assumptions for Prime Kings:

• We project a sales increase at 25 percent in 2023 due to the addition of a commissioned outside sales representative in July 2019
• We expect a sales increase an additional 25 percent in 2023 due to the continued effect of adding a commissioned outside sales representative in 2019
• We also forecast a sales increase of an additional 10.0 percent in 2023 due to the continued effect of adding a commissioned outside sales representative in 2019
• The relationship of accessories sales to total sales continues at its present level of 32 percent
• We expect the cost of material continues at its present level of 18 percent
• We forecast relationship of customization sales to total sales continues at its present level of 25 percent
• We estimate the cost of customization continues at its present level of 29.0 percent of customization sales
• We project that the total gross margin remains constant at its three-year average of 40.5 percent

11. Publicity and Advertising Strategy

Our mall kiosk will operate under a globally recognized brand, Prime Kings. Prime Kings  generally provides a robust corporate marketing strategy that revolves around advertising, high quality collateral and local marketing that not only captures attention of passing traffic, but will also be bringing people specifically looking for our products. Our other promotional plan is diverse and includes a range of marketing communications:

• Public relations: We plan to issue press releases to both New York City journals and business publications such as Playboy Magazine.
• Trade shows:  Our sales representatives will attend and participate in several trade shows.
• Print advertising:  Our print advertising program will include advertisements in magazines.
• Internet:  We will establish a presence on the Internet by developing a website. Plans are underway to create a professional and effective site that will be interactive and from which sales will be generated worldwide.
• Other:  We also plan to leverage other channels including billboards, radio and television commercials, and a street team.

Our Sources of Income

We at Prime Kings will generate revenue from selling our unique products. These products at Prime Kings will not protect just the screen, but the whole device including back, sides and front for invisible, bulk free protection. All our products come with quality US manufacturing. Our products are designed, sourced, manufactured and shipped in the USA, from our HQ in Manhattan, NY.

We will also make money by charging customers for the professional installation all of our products, providing the best possible experience not available online or in big box retailers. We believe that our unique and personal approach gives the customer value that they cannot get anywhere else. We believe our business will be able to generate margins of 30 percent on each dollar of sales.

12. Our Pricing Strategy

We at Prime Kings believe that our target audience will buy based on superior quality, excellent customer service, and local business location. We also know that businesses in our scope make their money from the interest and commissions.

We hope to keep our prices at the average market rate for the time being, but will increase as our identity as the market increases. Most of our products will sell between $25 and $45 to take advantage of impulse purchasers in the mall. Our average sale is around $30, which also includes a professional installation.

We have a 600 percent markup with virtually no inventory, backed up with our Lifetime Guarantee. This is why our mall kiosks are thriving, even as eCommerce grows — our products are professionally installed on the spot, so we’re not just selling a product, we’re selling a service which isn’t offered online.

• Payment Options

We at Prime Kings will always strive to establish payment methods that will suit our diverse clients. We have also partnered with a renowned banking platform to help serve our clients very well. We hope to make available the following payment options for our clients;

• Payment by via bank transfer
• Payment via online bank transfer
• Payment through POS
• payment through PayPal
• Payment via check
• Payment with cash

13. Startup Expenditure (Budget)

We understand that the key to customer satisfaction is having the product and services that meet customer’s needs. A crucial part of that is to also have knowledgeable employees to help customers quickly find what they want. That is why we have taken our time to also build on our core portfolio of products and overcome any obstacles by using our expertise in the industry. The financial projection and costing of Prime Kings is outlined as follows;

• Cost of incorporating the Business – $750.
• Franchise Fee Cost – $60,000
• Cost for basic insurance policy covers, permits and business license – $10,000
• The cost of acquiring a suitable Kiosk in Hudson Yards – $55,000
• The budget for equipping the office (computers, software applications, printers, fax machines, furniture, telephones, filing cabins, safety gadgets and electronics et al) – $5,000
• The price of purchasing of the required software applications (CRM software, Accounting and Bookkeeping software and Payroll software et al) – $12, 000
• The Cost of Launching our official Website – $600
• Our budget for paying at least three employees for 6 months plus utility bills – $36,000
• Additional Expenditure (Business cards, Signage, Adverts and Promotions et al) – $2,500
• Our Inventory fund – $2,000,000
• Miscellaneous – $1,000

From our cost analysis above, we will need $182,850 and our $2 million inventory fund to start Prime Kings in Hudson Yards.

Generating Funding/Startup Capital for Prime Kings

Prime Kings is a Limited Liability Company , a manufacturer, innovator and consumer brand of mobile accessories based in Manhattan, New York City, USA. This company was started by two high school friends, Martin Thomas and Denis Castle. It’s very important to state that Denis Castle is the most active and hands-on of the two owners. Denis comes from a retail management background with enough experience in the technology industry.

Our two founding owners will prefer to fund the business privately for now, but are likely to source for external funds as the business grows. The company will also seek a substantial long-term business loan. This funding will cover operating expenses and product development leading to the launch in November 2019.

Our Management have been able to raise $1 million from the two founding partners ($500,000 each). They have been able to raise this amount through their individual savings and few soft loans from their families.

14. Sustainability and Expansion Strategy

Prime Kings understand the need to attract, acquire, leverage, and retain customers. Revenue growth through customer acquisition and retention is as important a requirement in retail as it is in other businesses. Customers, especially in the Western business culture, count speed of service as a key reason why they do business with a company.

They resent delays and hate waiting for service. In the United States, almost 80 percent of the gross domestic product (GDP) is generated through different kinds of services, and speed of service no longer separates a business as providing superior value.

We understand that customers generally are not thrilled if they receive good service, but they are highly dissatisfied if they do not. We will provide the necessary framework to cope with these demands by cutting the waiting time for a service.

We have also noted that customers also want consistent, reliable and easy-to-use service. As the speed of service increases and customer expectations grow, it will make solution-oriented customer service an important business trend.

We at Prime Kings also plan to become a highly distinguished and recognized leader in phone accessories. It is the goal of our company to become established as the leading distributor of phone accessories and repair services in all of New York.

To achieve this goal, Prime King’s success factors will be to identify emerging trends and integrate them into company operations, respond quickly to technology changes/be there early, provide high-quality services, invest time and money in marketing and advertising, expand into specialty markets, and stay ahead of the “technology curve.”

Prime Kings has the technological expertise to assist customers in picking the product and service that best meets their needs. Finally, we believe it is important to remain an active member of the community, and to impact people’s lives in more ways than deriving a profit from them. We propose to host community events that bring out the best in people.

Checklist/Milestone

• Business Name Availability Check : Completed
• Business Incorporation: Completed
• Opening of Corporate Bank Accounts: Completed
• Opening Online Payment Platforms: Completed
• Application and Obtaining Tax Payer’s ID: In Progress
• Application for business license and permit: Completed
• Purchase of Insurance for the Business: Completed
• Conducting feasibility studies: Completed
• Leasing, renovating and equipping our facility: Completed
• Generating part of the startup capital from the founder: Completed
• Applications for Loan from our Bankers: In Progress
• Writing of Business Plan: Completed
• Drafting of Employee’s Handbook: Completed
• Drafting of Contract Documents: In Progress
• Design of The Company’s Logo: Completed
• Printing of Packaging, Marketing/Promotional Materials: Completed
• Recruitment of employees: In Progress
• Purchase of software applications, furniture, office equipment, electronic appliances and facility facelift: In progress
• Creating Official Website for the Company: In Progress
• Creating Awareness for the business (Business PR): In Progress
• Health and Safety and Fire Safety Arrangement: In Progress
• Establishing business relationship with banks, financial lending institutions, vendors and key players in the industry: In Progress

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Strip Mall Business Plan and SWOT Analysis

Strip Mall Business Plan, Marketing Plan, How To Guide, and Funding Directory

The Strip Mall Business Plan and Business Development toolkit features 18 different documents that you can use for capital raising or general business planning purposes. Our product line also features comprehensive information regarding to how to start a Strip Mall business. All business planning packages come with easy-to-use instructions so that you can reduce the time needed to create a professional business plan and presentation.

Your Business Planning Package will be immediately emailed to you after you make your purchase.

• Bank/Investor Ready!
• Complete Industry Research
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• Three SWOT Analysis Templates
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• Meets SBA Requirements

Strip malls are popular real estate investments a given that they are able to generate highly predictable streams of rental income from commercial clients. Of course, the capitalization rate for the strip mall is significantly higher than a residential property investment given that commercial enterprises carry a higher degree of default rate then there other real estate investment counterparts. As such, it is imperative that the owner of a strip mall have a well-defined tenant screening policy in place in order to ensure that any default or missed lease payments can be dealt with appropriately and kept to a minimum at all times. Strip malls typically have a start up costs or acquisition cost of $250,000 all the way up to $5 million depending on the location and number of retail space is available. Given that this is a real estate based business almost all real estate based financial institutions, banks, and lenders are willing to put up the necessary capital in order to complete the development or the acquisition. Typically, it can be expected that a real estate investor who wants to acquire a strip mall facility will need to put up a 20% capital infusion as the down payment. Additionally, most real estate investors to maintain significant funds outside of the down payment in order to pay for any unexpected expenses or tenant defaults that may occur during the course of normal business operations.

Given that this is a commercial property acquisition, a strip mall business plan is going to be required. This business plan should include a three-year profit and loss statement, cash flow analysis, balance sheet, breakeven analysis, and business ratios page. Unlike most traditional financial statements, a financial statement that is specific for a real estate investment or a strip mall should feel focus significantly on the net rental income less any expected vacancies. A CPA or qualified financial advisor can assist a real estate investor with developing this aspect of their business plan. Within this document as well, a thorough demographic analysis showcasing the population size, population density, percentage of population located within 5 miles of the strip mall, median household income, median family income, and median household value should be included as well. These demographics are not only important for a lender to see but also any potential retailer that will be acquiring space within the strip mall facility. It has now become standard that these companies provide their potential clients with a full demographic analysis coupled with a financial statement to show that the mall facility is in good economic condition.

As it relates the strip mall marketing plan, this needs to be done on two fronts. Foremost, as it relates to developing relationships with retailers – a real estate brokerage should be retained in order to ensure that the lag time between vacancy and fulfillment is kept to an absolute minimum. Generally, in a busy market – the time that it takes to fill a vacancy for a commercial property is roughly 3 months to six months. This is a much longer lag time then with a residential real estate investment. A website should be developed that showcases the facility, the retailers that are currently having locations there, preliminary rental pricing information, and contact information about the marketing company. Two, a portion of the marketing plan should be dedicated towards having the owner provide some level of marketing support as it relates specifically to driving for traffic to the facility. This will ensure that potential retailers are able to have a significant number of customers come to their businesses on a daily basis. Many retailers will value this type of additional marketing given that’ll create a value-added nature to any lease expenses that they incur as part of their business operations.

A strip mall SWOT analysis should be developed as well. As relates of strengths, provided that the strip mall is in a good location the near 100% occupancy can be maintained at all times. The revenues generated from these services are considered to be very high gross margin and they are guaranteed by a contractual obligation. As such, a properly managed real estate investment can produce profits in any economic climate. For weaknesses, there is always the potential for a real estate developer to acquire a nearby parcel of land and to put up a similar facility near that of the existing strip mall. However, this is a risk faced by any real estate based business and is really not too much that can be done about it. For opportunities, outside ensuring 100% occupancy is really nothing that can be done in order to continually boost to the revenues of the business outside of a major economic growth. Within that specific target market. Of course, any real as the entrepreneur is free to acquire additional strip mall facilities in order to increase the size of their real estate portfolio. For threats, there’s really nothing outside of a major economic recession that would impact the revenues of a strip mall facility. However, many retailers have begun to shrunk their brick and mortar operations given that more and more commerce is occurring online. This trend is expected to continue in perpetuity. As such, the owner of a strip mall facility were similar commercial property needs to be prepared for the fact that the demand for these retail spaces may not be as high in the future.

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How To Start A Shopping Mall Business in India – Complete Guide

• March 15, 2024
• by Next What Business Research Team

The shopping mall is an emerging and lucrative business in India. However, the business demands the right strategic planning with financial and marketing planning. Here in this article, we intend to explore the steps to follow to start a shopping mall business in India.

Nowadays, the shopping mall is not a business only for metropolitan cities. This big retail business venture is fast becoming successful in Tier 2, and Tier 3 cities, and small towns as well. If you have a good location with sufficient capital to invest, you can think of opening a shopping mall. However, there are a lot of other factors that you must consider before starting this business.

Is the Shopping Mall Business Profitable in India?

Shopping malls are gaining tremendous popularity these days. And definitely, there are several reasons behind it. According to retail industry experts, the demand for the mall will increase in the coming years. And we can expect significant growth in the shopping mall business throughout the country.

Generally, shopping malls offer a comfortable and luxurious shopping experience. Additionally, a mall offers a lot of activities and means of entertainment. Apart from the shopping, it offers movies, a games plaza, a banquet hall, a food court, and enormous events throughout the year. As a result, shopping malls are becoming popular hangout destinations for city residents.

10 Steps to Start a Shopping Mall Business in India

1. Market Research and Feasibility Study

Conduct thorough market research to identify potential locations, target demographics, and competition. Analyze consumer preferences, purchasing behaviour, and demand for retail spaces in the selected area. Assess the feasibility of the project by evaluating factors such as population density, economic growth prospects, infrastructure development, and regulatory environment.

2. Business Plan Development

Develop a detailed business plan outlining the objectives, target market, value proposition, revenue model, operational strategy, and financial projections for the shopping mall. Define the mall’s concept, theme, and tenant mix based on market research insights and consumer preferences. Determine the size and layout of the mall, as well as the amenities and facilities to be provided.

3. Secure Funding

Estimate the initial investment required to acquire land, construct the mall, and cover pre-operational expenses such as licensing, permits, and marketing. Explore financing options such as bank loans , equity investment, or partnerships with investors or developers. Prepare a comprehensive financial model highlighting projected revenues, expenses, and return on investment (ROI) to attract potential investors.

4. Site Selection and Acquisition

Identify suitable sites for the shopping mall based on location, accessibility, visibility, and proximity to residential areas, commercial hubs, transportation hubs, and major thoroughfares. Negotiate with landowners or developers to acquire the land or enter into lease agreements for long-term development.

5. Obtain Necessary Approvals and Permits

Obtain the required approvals, permits, and licenses from local authorities, municipal corporations, urban development authorities, and regulatory bodies for land acquisition, construction, environmental clearances, fire safety, building codes, and zoning regulations. Ensure compliance with applicable laws and regulations governing real estate development and commercial operations.

Read :  How to Register a Company in India

6. Design and Construction

Hire experienced architects, engineers, and construction contractors to design and build the shopping mall according to the approved plans and specifications. Focus on creating a visually appealing, functional, and efficient layout that maximizes retail space, enhances foot traffic, and provides amenities such as parking, landscaping, security, and utilities.

7. Tenant Acquisition and Leasing

Attract reputable retail brands, anchor tenants, speciality stores, entertainment venues, restaurants, and service providers to lease space in the shopping mall. Develop attractive leasing packages, negotiate lease terms, and sign agreements with tenants based on rental rates, lease duration, tenant improvements, and revenue-sharing arrangements.

8. Mall Management and Operations

Establish effective mall management systems and procedures to oversee day-to-day operations, maintenance, security, cleaning, tenant relations, marketing, and customer service. Hire qualified staff, security personnel, maintenance crews, and service providers to ensure smooth functioning and a positive shopping experience for visitors.

9. Marketing and Promotion

Implement a comprehensive marketing and promotional strategy to create awareness, generate footfall, and drive sales at the shopping mall. Utilize a mix of traditional advertising, digital marketing, social media engagement, events, promotions, loyalty programs, and partnerships to attract shoppers, enhance brand visibility, and foster customer loyalty.

10. Monitor Performance and Adaptation

Regularly monitor key performance indicators (KPIs) such as foot traffic, occupancy rates, sales per square foot, tenant turnover, customer feedback, and financial metrics to assess the mall’s performance and identify areas for improvement. Continuously innovate, adapt, and optimize operations to meet evolving market trends and consumer preferences.

Cost of Starting A Shopping Mall In India

There are various types of costs when you are building a mall or shopping center. The entire process starts with market research and ends with marketing and maintenance. The start-up investment will also depend on the size and location of the shopping mall. Here we put some of the basic input costs to open a shopping mall.

• First of all, you must do some market surveys or market research . It helps in making an informed decision. Therefore, it makes the project profitable and eliminates the possibility of failure.
• Finding the location and acquiring the land. You must be prepared to invest a considerable amount of investment. The right location is extremely critical for the success of a shopping mall business.
• After that, you will need to create an architectural drawing and design including the estimate. And definitely, this costs a lump sum amount. In the designing part, there are several design formats. And you have to create those formats for permission from the authority. It includes the site map, elevation, structural design, electrical design, overview, etc.
• After getting the plan, the next part is sanctioning the project from the corporation or Municipal authority. And here, you will need to pay the fees.
• Next is the construction cost. It includes material costs, labour charges, and consulting costs.
• Additionally, you must prepare the interior of the mall. It includes a ceiling, flooring, toilets, doors, windows, lighting, air conditioning, etc.
• Furthermore, there are some costs for the exterior facilities. Here the list includes pavements, security room, parking space, landscaping, etc.
• After building the complete infrastructure, some costs are required for marketing and promotion.
• For running the mall, you will need to employ employees. According to the size of the mall, this cost varies.
• And finally, You must have the capital for expenses like maintenance, utility bills, etc. Because in initiating a shopping mall business you must have working capital for the first 6 months.

Frequently Asked Questions

What is the typical timeline for building a shopping mall from start to finish.

The timeline can vary depending on factors such as land acquisition, regulatory approvals, construction complexity, and tenant leasing. On average, it may take 2 to 4 years or more to complete the entire development process.

How much capital investment is required to start a shopping mall business?

The capital investment can vary significantly based on factors such as land cost, construction expenses, infrastructure development, tenant fit-outs, marketing, and operational costs. A rough estimate could range from several crores to hundreds of crores of rupees.

What are the key factors to consider when selecting a location for a shopping mall?

Important factors include demographics, population density, purchasing power, accessibility, visibility, proximity to transportation hubs, road networks, parking facilities, competition, and potential for future growth.

What are the common revenue streams for a shopping mall business?

Revenue streams typically include rental income from tenants, revenue-sharing arrangements, parking fees, advertising and promotional revenue, event hosting fees, and income from ancillary services such as property management and facility rentals.

What are the legal and regulatory requirements for operating a shopping mall in India?

Legal requirements may include obtaining permits and licenses for land use, construction, fire safety, environmental compliance, signage, food safety, and entertainment licenses for cinemas or event spaces. Compliance with local municipal laws and building codes is essential.

What are the risks and challenges associated with operating a shopping mall business?

Risks include economic downturns affecting consumer spending, changing retail trends, competition from e-commerce, tenant turnover, regulatory changes, security threats, and operational issues such as maintenance and tenant disputes.

Is it advisable to invest in a franchise or partner with a developer for a shopping mall business?

It depends on individual circumstances and preferences. Partnering with an experienced developer or investing in a reputable franchise can provide access to expertise, resources, and established brand recognition, but it’s essential to carefully evaluate the terms and risks involved.