Not the Least Model

In 2004, south Delhi saw about 10 new shopping centres opening. Select Citywalk had its piece of land sandwiched between the properties of Emaar MGF and DLF, two invincible names in retail real estate development. More than anything, the challenge was how to attract an occupier in the centre when there was upcoming competition on the left and the right, literally?

Challenges are dealt with challenges. Select Citywalk did not sell any shop and decided to control the content of the mall. The company introduced a model that not only attracted occupants, but also helped the company to choose as to whom they should lease.

Discussing the leasing model, Sinha explains: “We took some drastic steps that differentiated us over time. It is who is in the mall that determines who comes to the mall, and how often. So, we converted the entire shopping centre into a leased model. Occupiers were initially doubtful whether we would be able to deliver on our promise, but then came around to accepting the model as a win-win situation. Over time, we increased the minimum guarantee – people who came in the beginning obviously came with a higher risk, so they got a lower rate; people who come now, come with practically no risk, and, therefore, at a much higher price. For about 80-90 per cent of our leases, we maintain affordable and sustainable minimum guarantees.”

Luxury Dome

Do not miss out on anything. Do not leave any stone unturned. There is tradition, there is fashion, and there are brands and non-brands. Then, there will be luxury.

Around 10 per cent of the area in the centre is reserved for a niche but growing category of luxury. The company is in talks with various luxury brands across the globe, and some of them are expected to open shops at the ‘luxury’ Dome in the mall. Although the plans are as yet camouflaged, the lure of luxury may be expected soon at Select Citywalk.