Expansions in shopping malls are creating room for new stores, services, and entertainment options
- Sales are on the rise once again in Brazilian malls.
- Multiplan has identified seven expansions in its portfolio.
The pandemic period posed significant challenges for the shopping mall sector. Visitor numbers dwindled due to measures taken to address the crisis, and during this time, consumers became more acquainted with the advantages of online shopping. Since then, many malls, which had already been investing in services, have taken even more extensive measures to entice consumers back to their premises.
The turbulent phase seems to have been left behind. Data from GROCS, a platform for shopping mall data and analysis provided by SiiLA, illustrates that sales volume per square meter has been steadily increasing over the past quarters. For instance, in the 2nd quarter of this year, the sales volume for Class A developments in the country reached R$ 3,353 per square meter, effectively matching pre-pandemic levels. In the 4th quarter of 2019, the value stood at R$ 3,313/m².
During this recovery phase, some mall operators are investing in expanding their premises to accommodate new stores, services, and entertainment spaces. Multiplan, a prominent mall operator in the country, is directing its investments towards certain developments. An example is ParkShoppingBarigüi in Curitiba, where an additional 15,000 square meters of Gross Leasable Area (GLA) are planned after the establishment of an adjacent linear park, Rio Barigui. This park is set to revitalize the riverbanks and facilitate connections for pedestrians and cyclists. Marcelo Ferreira Martins, Vice President of Operations at Multiplan, stated, "With this expansion, the mall will house a Medical Center offering 25 specialized services. This marks the third shopping mall within the Multiplan Group to provide such a facility."
According to the executive, the company has identified seven expansion opportunities and is making investments to rejuvenate select developments, creating more contemporary, efficient, and comfortable spaces. "In 2022, we completed the Vilaventura children's park at BH Shopping in Minas Gerais, and ParkShopping in Brasília added new operations. Additionally, the NewYorkCityCenter in Rio de Janeiro is undergoing a transformation, while Pátio Savassi in Minas Gerais, aside from its remodeling, will also feature a large and unprecedented skylight, flooding the development with natural light," shared the executive.
For more interviews with key players in the commercial real estate market, keep tabs on the SiiLA social media channels and send us your topic suggestions. Reach out to us at comunicacao@siila.com.br
