In this property market and retail shopping environment, the skills of retail centre managers are really stretched when it comes to building and protecting their tenant mix in a shopping centre. Tenants are everything when it comes to property performance.
So just how can you monitor and improve your tenant mix? Try some of these:
- Monitor the number of people coming to the property on a daily basis and a weekly basis. When you do this you can understand the best days of the week for retailers and shopping.
- Put traffic counters on the doors to the property. Leave no door unmonitored. You need to discover what doors really do bring people into the property.
- If your property has a car park for customers, make sure that the car park is efficient and friendly for parkers. Most shoppers want to get to the property and the parking easily. Any frustrations should be removed.
- If your property has interaction with public transport drop offs such as rail and bus, you will need to know what the preferred method of transport is for the customers and on what days of the week that is the case.
- Sales turnover figures for your retailers should be tracked. This information can be confidentially recorded by the landlord for monthly assessment and analysis. You will note that some retailers are stronger than others.
- If your property has one or more anchor tenants, make sure that you work closely with the anchor tenant to maximise property branding and interaction with the community.
- Meet with all your retailers monthly so any challenges can be addressed. When the retail shopping environment gets tough, the relocation of tenants, and the reduction of occupied space for the struggling tenants will help you keep occupancy ratios up.
- Check out the competition property for any tenants that you can relocate to your property. Rest assured that other shopping centre managers will be doing it to you.
- Keep your rents and incentives competitive based on the property market trends. The same should be said for lease documentation and lease terms offered to tenants.
When the retail shopping centre trade and the retail property market is slow or tough, the best thing to do is get closer to your existing tenants and strategise the rents, occupancy factors, and lease terms. The average tenant does not want to go out of business; they just want to make money and remain viable. That is why there is such a strong link between landlords, tenants, and the retail property manager. A successful retail property is a cooperative process.