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

Leased MallsLevel 2 is predominantly a lifestyle precinct, with a number of ‘games centres’, karaoke and restaurants.There are also a number of specialty stores, with jewellery dominating on this level. Level 3 is dominated bythe Rimo department store. The store, which appears to be in need of additional floorspace, is currentlytrading from its core tenancy of 2,745 sq.m and a number of specialty shop spaces around its entrance(increasing its selling area by around 200 sq.m).While food and beverage is available throughout the centre, the main food court is located on level 3A. Thefood court includes around 20 small, hawker style tenancies with communal seating. Level 3A alsocontains a considerable number of IT-related shops and other small electronics retailers (e.g. cameras).Level 5 contains Millenium Executive Club, which operates during the day as a restaurant and late at nightas a discotheque. Gajah Mada Cinema 21 is also located on this level. The seventh level comprises a smallfitness centre and an outdoor swimming pool and the upper level of level seven is the location of GrandGajah Mada and the Eva Bun reception centre regularly used for weddings and other large private events.4.6.4 Target marketGMP primarily targets the growing number of consumers within its trade area that fall within the middle andmiddle to upper income segments. GMP also has a Chinese-skew in its target market, with the centre beinglocated in Chinatown and a number of retailers in the centre directly targeting this lucrative ethnic group.The centre also targets a broader market for comparison shopping purposes as a result of the centre’sdestinational appeal within the product categories in which it is strong, namely jewellery and pet shops, andto a lesser extent IT and small electronics (including mobile phones following the opening of the newprecinct in the lower ground floor).4.6.5 Trade area analysisTo assist with the definition of trade areas, a market research survey of visitors to the major leased mallswas undertaken in February and March 2007. A total of seven (7) centres were included in the study. Thesurveying was conducted by TNS on behalf of Jones Lang LaSalle for the purposes of this assessment.The main findings of the market research in relation to the profile of shoppers at GMP are as follows:• Visitors to GMP are relatively young (86% of those surveyed are younger than 35 years of age);• The survey found that Saturday and Sunday were the most popular days to visit GMP, in line with othercentres within the portfolio;• Shopper traffic is particularly high in the early and late afternoon (between 12:00 and 14:00 and againbetween 16:00 and 19:00);• One third of all visitors surveyed came directly from home to visit GMP. A significant proportion camefrom work (11%) and school (12%). Upon leaving the centre, home was the next destination for themajority of respondents (i.e. 84%);• GMP has a high frequency of visitation, with 6% of visitors claiming to visit the mall everyday. A further44% visit more than once a week;• Visitors to GMP generally stay for relatively short periods. The centre has the lowest proportion ofvisitors who stay for an average of two hours or more (i.e. 48% of respondents) of all centres in theportfolio where visitors were surveyed. Just one in five frequent visitors to the mall stay for an average ofmore than three hours during each visit;• Most respondents to the survey indicated that they mostly visit the mall with friends (68%; this is amultiple response question). 23% of respondents regularly visit the centre alone;• Reflecting the centre’s status as a destination for comparison shopping in certain product categories(e.g. jewellery, pet shops, IT), the most commonly cited reason for visiting GMP is comparison shopping(i.e. 70%; this is a multiple response question). Eating was the second most common reason for visitingthe mall. The strength of the lifestyle offer is reflected in statistics which show that a significantproportion (i.e. 38%) of respondents said meeting friends was one of the reasons for visiting the subjectsite;F-92