Case Study: Shopping Centres
Optimization Roadmap
Task
The client asked us to develop a roadmap to optimize the largest shopping centre in Moscow, with area in excess of 200,000 sq m.
Process
When the client came to us for help, the shopping centre had just started operations, but had entered the market with a large percentage of under-utilized space. The management company was historically associated with the owner, but its services were more expensive than the market average.

We analyzed the tenant pool and proposed steps for optimization, partly through change in the designated use of vacant premises in order to speed up leasing. Our goal was to fill vacant premises as soon as possible, because the shopping centre was already working (visitor loyalty and the image of the project in the market are seriously affected if a centre fails to fill empty sections quickly).

We compiled a budget for additional profit centres through island trading (kiosks, pop-up stores, etc.) and marketing support. We also calculated reasonable cost of management services and technical support for each of the cost items.

Result for the client
We developed a roadmap of changes to the centre, including simple and rapid measures to improve performance as well as long-term ideas to raise overall capitalization. We also prepared an updated rental plan and a detailed cost estimate.