LIPPO-MAPLETREE - Lippo Malls Indonesia Retail Trust - Investor ...

Leased Malls• There are two major malls in Senayan, namely Plaza Senayan and the recently opened Senayan City.Situated just 2 kilometres southwest of the subject site, both malls contain around 80,000 sq.m of retailfloor space each. Both centres target customers in the middle-upper income segment, with PlazaSenayan in particular targeting a slightly more affluent market.• Mal Ciputra is situated 6 kilometres north of The PS. The mall is anchored by Batik Keris, Matahari andHero. Given its size (51,000 sq.m) and market position (targeting middle to middle-upper households)this centre is the most similar to The PS when considering the major competing centres in the vicinity.• Jakarta City Centre is located 3 kilometres north of the subject site. While the centre is near, it is ofminimal competitive relevance due to its target market of the lower income segment; it is a strata mallanchored by a Hypermart but no department store.• Plaza Indonesia is one of the most exclusive malls in Jakarta, situated 3 kilometres north of The PS. Thecentre contains 42,000 sq.m of mainly high-end retailing, including a Debenham’s department store.The competitive environment of the trade area is expected to intensify over the next five years, with theplanned development of a number of competing retail facilities.The competitive developments targeting middle and upper income households that are currently in thepipeline, which will add a combined 318,900 sq.m of retail floor space to the Jakarta CBD retail market, arescheduled for completion by the end of 2009. These include Grand Indonesia (due to open in the thirdquarter of 2007), Pacific Place (due to open in the third quarter of 2007), Kota Kasablanka and PlazaIndonesia Extension (both due to open in the fourth quarter of 2008).While these new projects could potentially impact the revenue growth that can be achieved at The PS,given its strategic geographic position in the centre of Jakarta, combined with the subject site’s owndevelopment plans and its ability to withstand past changes to its competitive environment, these mainlyupper new centres are expected to have a relatively small impact on the performance of the subject site.F-63