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IRN: Please tell us a little bit about the project - Express Avenue; when was it conceived, what is the vision?
Kim: The project is the vision of Mrs Kavita Singhania, MD of Express Infrastructure. Express Avenue is a wholly owned subsidiary, work for which began 4 years ago. The soft launch of the development is planned for 1st April and a full launch in May. Express Avenue is a multi-use development with 1 million sqft of retail space, 200 stores, office space and hotel accommodation. There are local and international retailers, some of whom are launching their Indian operations with us. It will be the first international standard mall in south India. The design ensures visibility for all retailers and is simple for shoppers, following a race-track format. On the 3rd floor, we have Satyam Cinemas with an 8 screen multiplex and Fun City which has done the gaming area. We also have a 35,000 sqft food court area with several quality food options. Our customers can have a proper dining experience with steel cutlery; not plastic disposables.
IRN: What is the difference between the Indian market and your experience abroad?
Kim: Prior to India, I have set up shopping centers in Scotland, England, Bahrain, Dubai and China. Every country has unique challenges. India is similar to China in that the shopping center industry is at an embryonic stage. My aim is to bring international best practices to this project.
IRN: What are the top 3 things that need to be in place for a mall to be successful?
Kim: There are several factors. Top among them would be retail mix, which should cater to the target customer. Secondly visitors should feel safe and comfortable in a mall environment. It is not just the shopping experience that's important. Customers come here to eat, get entertained and it's almost like a second home to them. For example, we have 1800 car park spaces in our facility - another aspect that adds to the customer experience is to have ample parking at any point in time. We want them to stay long and enjoy their visit.
IRN: Who is the target customer for your mall?
Kim: That is the sixty five thousand dollar question, isn't it? We have a whole range of offerings from convenience stores to supermarkets and lifestyle stores. The target demographic is certainly the mid socio-economic group.
IRN: The relationship between mall developers and retailers has often been a tenuous one in India, especially when it comes to rent negotiations. What is your recipe for this relationship?
Kim: The relationship can be tenuous around the world, but it depends on the partners involved. We work in partnership with our tenants. All our tenants have leave and license agreements with us. Our success is intertwined. We believe in this fundamental truth. The majority of our tenants are on a revenue sharing basis; some are on a fixed rent basis.
IRN: From your discussions with retailers, do you notice any trends in terms of what formats or segments of retail are working, what's not working?
Kim: We have been meeting several retailers over the past several months and one of the surprising things that has come out is how successful 2009 has been for many of them. I would say the growth in the near future will be fashion-led, which seems to be the segment doing the best.
IRN: What metrics do you place emphasis on when evaluating the success of a mall?
Kim: There are several. Footfall figures is certainly an important one. Stability of tenants or slow turnover is another one. We need to be able to attract people to the mall in sufficient numbers and ensure that our tenants are happy.
IRN: Any future plans for Express Avenue? Any other locations?
Kim: We would like to cut our teeth in one and then take it from there.
IRN: Anything else you would like to share with our readers?
Kim: Our aspiration is to raise the benchmark in Chennai and southern India. We will provide an international experience to retailers and customers
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