June 2014 - Agentinfo Feasibility Study.pdf · •Debonairs Pizza •FNB ATM ... Source: 2014...

Department: Development

June 2014

Important Notes: 1. This report is Confidential as it contains Data, Information and

Intellectual Property of Fernridge Consulting (Limited Distribution) Copyright 2014: Fernridge Consulting.

2. This report was done to determine the viability of a shopping centre. Any tenant recommendations made in this report are anecdotal and not substantiated through primary research. Retailers must do their own research.

Copyright 2014: Fernridge Consulting 2

Client’s Brief

Fernridge was commissioned by JT Group to calculate the area demographics, market demand,

and viability of a shopping centre development in Zamdela, Sasolburg. The retail site (Business

Erf 22736) is 24,814m² (with potential of an additional, adjacent 8,074m²), surrounded by 346

proposed residential units (entry level bonded).

Table of Content:

Site Dynamics

Site Evaluation Modeling

Retail Survey

Demographic Analysis

Density Modeling

Retail Potential Estimate

SWOT Analysis

Recommendations


Orientation

Regional Orientation Area Orientation

Catchment Area

Site Overview

Micro Site Overview Site Photos Site Plan Site Evaluation Model

Retail Survey

Macro Retail Overview

Retail Sasolburg CBD

Retail within catchment

Retail Vanderbijlpark

Demographic Overview

Density Modeling Calculating Demographics Catchment Demographics Demographic Breakdown

Retail Potential Estimates

Retail Potential Estimate – 2016

SWOT Analysis & Conclusion Proposed Retail Mix Contact Details

Regional Orientation Copyright 2014: Fernridge Consulting Source: Microsoft Bing Aerial

5

Main Places

• Zamdela is a township adjacent

Sasolburg in the northern part of the

Free State Province.

• This township was originally established

in order to accommodate workers at the

Sasol plant in Sasolburg.

• Currently there is a lack of formal retail

in Zamdela thus residents travel to

Sasolburg CBD, Vanderbijlpark and

Vereeniging for their shopping needs.

• The proposed site is located in Zamdela

in the proximity of a train station in the

area.

Proposed Site

Area Orientation 6 Copyright 2014: Fernridge Consulting

Source: Microsoft Bing Aerial Photography & 2014 Fieldwork

Sasolburg Formal Residential

CBD Industrial Area

Mining

Middle to Low Income Residential

Proposed Site

• Zamdela is located to the south of Sasolburg

separated from the formal town by a stroke of

industrial uses.

• The Sasol petroleum company has plant in this

industrial area where it runs its operations.

• Most of the retail is located mainly in the CBD of

Sasolburg. This could be attributed to the town’s

layout that contain retail in one central node.

Towards Heilbron ± 55km

Towards Vanderbijlpark ± 33km

Retail Overview 8 Copyright 2014: Fernridge Consulting


The presence of a strong retail node in the Sasolburg CBD had an influence on delineating the north western boundary of the catchment area.

Sasolburg

• A catchment area was delineated which

represents the area of support expected for

the proposed retail centre.

• The catchment includes the whole township

of Zamdela.

• Factors that had an influence on the

delineation of the catchment were the

presence of strong retail nodes (Sasolburg

CBD), physical & psychological barriers

(roads) and population spread were all taken

into account.

Population spread had an influence on the delineation of the southern boundary of the catchment area.

Outflow to Sasolburg

Proposed Site

Catchment Area

Micro Site Location 10 Copyright 2014: Fernridge Consulting


Photo direction (See next slide)

Proposed Site Approximate Position

Proposed Zambedela Township

Rail Depot

1

2

3

Pedestrian Bridge

• The proposed retail centre is planned to be located

along the main road through the south eastern part

of Zamdela township.

• The centre is planned to form part of a mixed use

development which is proposed to include ± 346

residential units.

• A rail line north west of the proposed site forms a

prominent physical barrier to movement (could

affect the support to the proposed retail centre)

however, a pedestrian bridge is currently present

which allow pedestrians to cross this rail line.

Site Photos Copyright 2014: Fernridge Consulting Source: 2014 Site Visit

11

June 2014

June 2014 June 2014

1 The proposed site is located along the main road in the area – good visibility of the proposed site.

Currently the main road passing the proposed site handles low traffic volumes.

2 3 A pedestrian bridge that cross the rail lines provides access for pedestrians / rail commuters to the proposed site.

Rail line and rail related buildings

Main Road

Main Road

To the R59 intersection

Site Plan 12 Copyright 2014: Fernridge Consulting

Source: 2014 Fieldwork

Proposed Site Approximate Position

Potential land that can be acquired expand the proposed retail centre

• Zamdela Ext. 17 is a proposed

mix development which is

planned to include the proposed

retail centre, ± 346 residential

units (bonded), community

facilities and municipal uses.

Site Evaluation Model

• The site rates as good (67%) based on a current as is situation. It enjoys good visibility and is

well located in the residential fabric of the area with few competitors.

• Although a train station is located near the proposed site the area around the proposed site

lacks synergy during the day with low traffic volumes along the main road passing the site.

• Rail lines parallel to the site hamper movement between the northern and southern part of

Zamdela due to a lack of access roads / bridges that cross the rail line (impact on access to site).

• A formal public transport depot must be established on the proposed site in order to attract

the critical mass needed for the proposed retail centre.

13 Copyright 2014: Fernridge Consulting


Macro Retail Overview 15 Copyright 2014: Fernridge Consulting

Source: Microsoft Bing Aerial Photography, Fernridge’s Database & 2014 Fieldwork

Proposed Site

Catchment Area

Sasolburg Node

Vanderbijlpark & Vereeniging

Vereeniging CBD

• Currently there are no formal shopping centers

within the catchment except for some independent

line shops and informal traders.

• The result is that outflow from the catchment

mainly occur to Sasolburg CBD which is the nearest

node with a relatively strong retail offering.

• Sasolburg CBD cater for all income groups where

the most prominent centers are the Shoprite Centre

(± 14,768m² GLA) and Sasolburg Square (± 8,627m²

GLA).

• For higher order goods and a large retail variety

outflow can occur as far as Vanderbijlpark and

Vereeniging.

• A retail centre that focus on the basic needs of

catchment residents can retain some of the outflow

that currently occur.

Sasolburg CBD Retail 16 Copyright 2014: Fernridge Consulting

Source: 2014 Fieldwork & Microsoft Bing Aerial Photography

May 2014

A pedestrian walkway links various retailers from the Shoprite SC in the north to Sasolburg Square to the south.

Sasolburg Square : ±8,627m² GLA

Shoprite Centre: ±14,668m² GLA

• The Shoprite Centre and

Sasolburg Square are all well

linked via a pedestrian

walkway through the CBD.

• Where Sasolburg Square

focus on the middle to

higher income groups, the

Shoprite Centre focus on

middle to lower income

groups.

• Along the pedestrian

walkway various furniture,

fashion, and small non-

national tenants can be

found.

Motown Centre: ±5,000m² GLA

FNB Centre: ±3,200m² GLA

Retail within Catchment Area 17 Copyright 2014: Fernridge Consulting


•Ackermans •Cash Crusaders •Cell C •Clicks •CNA •Crazy Store •Debonairs Pizza •FNB ATM •Melins Style •Milady's •Musica •Nedbank ATM •Pick n Pay

•Post Net •Riverside Apteek •Sheet Street •Steers •Truworths •Uzi •Vodacom •Waltons •Wimpy •Woolworths Food

May 2014

• This is a centre with a good tenant mix that

focus on the middle to upper income groups.

•ABSA •African Bank •American Swiss •Atlas Finance •Bears •Best Electric •Capitec •Edgars •Ellerines •Exact! •Express Stores •Foschini •Imperial •Imperial Fruit Market •Jam •Jet •Jet Mart •Joshua Doore •Leibrandr Pharmacy •Lewis •Mancorp Finance

•Markham •Mens Clinic •Morkels •Mr Price •Old Mutual •Orange •Pep •Pep •Pie City •Pizza Den •Pro Sound •RCA Liquor •Shoe Junxion •Shoe Zone •Shoprite •Spur •Standardbank ATM •Sweet Point •The Fish & Chips Co •Tyson Shoes

• The Shoprite Centre

mostly cater for the middle

to lower income groups.

• A pedestrian walkway

through the CBD link the

Shoprite centre with other

retailers along this

pedestrian walkway. May 2014

Existing Retail (ii) Retail Supply – CBD Vanderbijlpark Copyright 2014: Fernridge Consulting Source: 2014 Fieldwork & Fernridge Data Base

18

Significant line shops in CBD with independents and nationals. Line shops include stores such as: Best Home Electric, Morkels, Price ‘n Pride, Ellerines, OK Furniture, Fair Price, Joshua Doore, Bradlows, Bears, Electric Express.

Size: ± 18,500m² Community Centre Anchor: Shoprite Other major tenants: Clicks, Ackermans, Truworths, Pep, Webbers, Markham, Legit, Fashion Express, Rage, American Swiss, Bimbo’s, Ok Power Express, Game Zone, FNB, Capitec, Sterns, Standard Bank, Pie City. Address: Cnr. DF Malan & Attie Fourie Streets, Vanderbijlpark

Size: ± 18,199 m² Neighbourhood Centre Major tenants: Edgars, Jet, Foschini , Bata, Guess, Mr Price Address: Cnr. DF Malan & Attie Fourite Streets, Vanderbijlpark

Size: ± 13,311 m² Community Centre Anchor: Checkers Hyper Other tenants: Super Liquors, Video Town, Vision Centre, Crazy Plastics, Altech, Audio Pulse, Pep. Address: Cnr. Jan van Riebeeck & JW Musket Streets, Vanderbijlpark

August 2012

August 2012

August 2012

August 2012

Existing Retail (ii) Retail Supply - Vanderbijlpark Copyright 2014: Fernridge Consulting Source: 2014 Fieldwork & Fernridge Data Base

19

•Vaal Mall is the largest mall in the

Vanderbijlpark area.

• The mall has a large retail variety and

serves all income groups.

•@Home •Absa Branch •Ackermans •American Swiss •Amigo Spur •Barbiere Di Vesuvio •Bargain Books •Bata •Beauty Factory •Bidvest Bank •Biltong 4 Africa •Boardmans •Boutique Riandi •BT Games •Cape Union Mart •Capitec Bank •Cardies •Cartridge Shop •Cash Crusaders •Cash Crusaders Buy Shop •Cell C •Chicken Licken •Chip 'n Dip •Clicks •CNA •Contempo •CUM Books •Debonairs •Delhi Delicious •Dis-Chem •Donna-Claire •Exact! •F N B •Fashion Express •Fleurette Florist •Foschini •Fruitti Nutti •Galaxy & Co. •Glomail •Golden Touch Jewellers

•Gospel Direct •Hang Ten •Happy Feet •Hi-Fi Corporation •House of Coffees •ICI Marketing •Identity •Incredible Connection •Jay Jay's •Jeep •Jet •Jewellery Design Company •John Craig •John Dory's •Jump Street •Kelly •KFC •King Pie •Kleins •Kodak Express •Le Chique •Linen & Bath •Markham •Mellin i Style Optometrist •Milady's •Mix It Ice Cream and Frozen Yoghurt •Mr Price Home •Mr Price Weekend •MTN •Mugg & Bean •Musica •Nedbank - Branch •Next Field •NWJ Fine Jewellery •Old Khaki •Panarottis •Pep •Persian Carpet Gallery •Phase 2 CD •Pick n Pay

•Pick n Pay Clothing •Placécol •Postnet •Print Smart •Queenspark •Rage •Ravats Jewellers •Reggies •Sass Diva •Sausage Saloon •Sheet Street •Shoe City •Sidewalk Surfer •Signature Cosmetics •Solo •Spec-Savers •Spitz •Sportscene •Standard Bank - Branch •Steers •Sunglass Hut •Telkom Direct •The Carpet & Rug Shop •The Nail Hut •The Scoin Shop •Tip Top Bakery •Torga Optical •Totalsports •Truworths •Uzzi •Verimark Direct •Virgin Mobile •Vodacom 4U •Wiesenhof Coffees •Wimpy •Woolworths

Developments 21 Copyright 2014: Fernridge Consulting

Source: Metsimaholo Spatial Development Framework Plan

Proposed Site

• This map is an extract of the Spatial Development Plans for Zamdela.

• As indicated on the map the CBD of Zamdela is currently identified as a central area of the township. According to

the spatial plans the CBD is not properly structured and therefore development are to be promote in this node.

• Also prominent is that land set aside for social housing development in the vicinity of the proposed site (across

the rail lines) and light industrial development. Such uses can add to the support for the proposed retail centre.

Dwelling Density Model

“Where are the people?”


Source: 2011 Aerial Photography & Microsoft Bing Aerial Photography

• The dwelling density

technique is applied to the

demographic data in order to

establish the dwelling density;

thus this technique

incorporates the first of two

important variables for retail:

density of dwellings.

• Each area is “weighed” by

the number of dwellings to

create this hot to cold

shading. The densest areas

(red) have a high density of

dwellings.

• Evident from the map is that

there are small pockets of

high density areas scattered

over the catchment.

• However, the highest

densities occur to the north

western area of the

catchment.

Catchment Area

High Dwelling Densities

Proposed Site

Value Density Model

“Where is the money?”


Source: 2011 Aerial Photography & Microsoft Bing Aerial Photography

• The dwelling density technique is

applied to the income demographic

data in order to establish “the density

of money”; thus this technique

incorporates the second of the two

important variables for retail: retail

expenditure.

• Each dwelling is “weighed” by its

income and associated retail

expenditure to create this hot to cold

shading. The densest areas (red) have

a high density of retail expenditure.

Catchment Area

High Value Densities

Proposed Site

• The Fernridge Dwelling points were

used to extrapolate the

demographics within the catchment

area.

• It is imperative to make use of the

most recent demographic data. The

last official census that was

conducted in South Africa was in

2011. The Africa Eye Dwelling points

data set makes use of the latest

(2011) aerial photography as well as

fieldwork (2014) to ensure the most

up to date information available.

• Each point in this data set

represents a dwelling, the dwellings

are then classified in terms of “type

of dwelling” and “dwelling income”.

• The Africa Eye Dwelling points data

set is one of the most accurate

datasets, in terms of demographics,

available in South Africa.

Dwelling Classification Copyright 2014: Fernridge Consulting Source: Microsoft Bing Aerial Photography, 2011 Aerial Photography & 2014 Fieldwork

25

Please Note: Fernridge endeavored to provide you with the most accurate

dwelling count based on the aerial imagery available to us at the time.

Proposed Site

Catchment Area

Study Area Demographics 26 Copyright 2014: Fernridge Consulting Source: Microsoft Bing Aerial Photography, 2011 Aerial Photography and 2014 Fieldwork

Please Note: Fernridge endeavored to provide you with

the most accurate dwelling count based on the aerial

imagery available to us at the time.

• Demographics for the study area were

calculated using 2011 high resolution aerial

photography (Africa Eye Dwelling Counts),

in combination with 2014 Fieldwork.

• The 2011 Africa Eye Dwelling counts were

updated with the latest 2014 fieldwork.

• Fieldwork revealed that the area is well

established with no prominent new

housing developments (low growth rate).

• Thus an annual growth rate (± 1%) was

calculated for the catchment which was

used to project a 2014 dwelling count and

beyond.

• However the proposed Zamdela Ext 17

residential development, can ensure

continued residential growth for the

catchment in the long run (completion

could be market related).

Catchment Area

Proposed Site

The Rail line partly split the demographic market being a physical barrier.

Source: 2001 Official census Catchment Area Demographics (i) 27 Copyright 2014: Fernridge Consulting Source: 2011 National Census

Language & Race: Particular tastes and

Preferences

• The catchment area’s population mainly

speaks African languages (± 96%). Other

languages (2%), Afrikaans (1%) and English

(1%) are a minority in the catchment area.

• The catchment area is dominated by black

households (99%).

Afrikaans 1%

English 1%

African Language 96%

Other Language 2%

Language Per Person

99%

1%

Racial Groups per Household

Black

Coloured

Indian & Asian

White

Other

0%

20%

40%

60%

80%

100%

Education People Over 20

Tertiary Education

Matriculated

Some High School

Complete primary

Some primary

No schooling

Source: 2001 Official census Catchment Area Demographics (ii) 28 Copyright 2014: Fernridge Consulting Source: 2011 National Census

• A minority of the population (25%) has matriculated or

have a higher education degree.

• The dominant age group in the area falls between 20 and

34 years of age – young adult profile.

Education: An indication of the

sophistication of the consumer.

Age: Different generations

Only 25% of the population has at least matriculated or have a higher education degree.

0 2 000 4 000 6 000 8 000 10 000 12 000

0 to 4

10 to 14

20 to 24

30 to 34

40 to 44

50 to 54

60 to 64

70 to 74

80 to 84

Number of People

Age

Gro

up

ings

Age Profiles per Person

Source: 2001 Official census Catchment Area Demographics (iii) 29 Copyright 2014: Fernridge Consulting Source: 2011 National Census

• The unemployment rate is 31% and the employed population 39%. The

remainder (30%) is not economically active.

• The formal sector employs the highest amount of people in the

catchment area followed by private households.

Employment Status/Sector: An

indication of the sophistication of the

consumer.

39%

31%

30%

Employment Status(people aged 15 to 65) Employed

Unemployed

Not Economically Active

0%

10%

20%

30%

40%

50%

60%

70%

80%

Formal Sector Informal Sector Private Household

73%

10%17%

Employment per Sector(Persons aged 16 to 65)

Source: 2001 Official census Catchment Area Demographics (iv) 30 Copyright 2014: Fernridge Consulting Source: 2011 National Census & projected 2014 Africa Dwelling Points

• The area’s dwelling fabric mainly consists of formal houses (64%)

followed by shacks (33%) and flats (3%).

• Income groups represents projected 2014 Africa Eye dwelling counts.

• The catchment is dominated by middle income dwellings (67% - B, C,

D) while lower income households (33% - D Low, D Zero) are less

represented.

Income: The ability to act / purchase

0%

10%

20%

30%

40%

50%

60%

70%

House Cluster Flat Shack Informal Backyard

Plot Other

64%

0%3%

33%

0% 0% 0%

Type Dwelling

A++0%

A+0%

A0%

B0%

C4%

D63%

26%

7%

Income Groups per HouseholdA++

A+

A

B

C

D

Retail Potential Estimate Copyright 2014: Fernridge Consulting Source: Africa Eye dwelling points projected to 2016

32

• The projected 2016 catchment area demographics warrant an estimated total of ± 81,700m² GLA retail space.

• We have assigned an anticipated market share for each retail category. Their market shares were applied taking into consideration the type & size of

the proposed retail centre, site location and relative competition in and outside the catchment area.

• The projected 2016 demographics for the catchment indicates that a retail centre of ± 11,000m² GLA which needs to capture on average ± 13% of the

market can be feasible. We believe this is an achievable market share to obtain especially considering that there are no formal retail currently present in

the catchment.

• Considering the size limitations of the proposed site (Erf 22736 = 24,814m²) a centre sized ± 8,000m² GLA (approximately a third of the site) could be

constructed; and if the adjacent property (sized 8,074m²) can be acquired and consolidated then a centre sized ± 11,000m² GLA could constructed.

• In our opinion centre sized ± 11,000m² GLA could be feasible in theory at the proposed site requiring a ± 13% market share (if both properties can be

consolidated to accommodate such a sized centre).

SWOT Analysis

Strengths • No formal retail centres are currently present in the catchment.

• A train station is located near the proposed site.

• Good visibility of the proposed site from the main road.

• Residential and light industrial developments are planned in the area (Zamdela Ext. 17 & growth nodes set out by the city spatial plans).

Weaknesses • Although a train station is present the area lacks synergy.

• The rail lines through the catchment forms a physical barrier to movement isolating the proposed site in terms of access (split the demographic market).

• Low traffic volumes during the day.

• Not a prominent node or located at a prominent intersection (activity nodes are currently located to the north western side of the catchment).

Opportunities • Create a vibrant node at the proposed site - transport node with complimentary facilities.

• An attractive centre with a good tenant mix able to attract residents from all over the catchment (a mini destination).

• The proposed Zamdela Ext 17 development can be a model for more mixed developments in the vicinity of the proposed site.

• Community facilities and municipal uses could materialise as planned around the proposed site which can aid in the formation of a node.

• Possibility of constructing roads and pedestrian bridges that cross the rail line – link site with more of Zamdela’s residents.

Threats • The rail lines through the catchment remain a physical barrier so that the centre can struggle to attract support from residents north west of the rail line.

• The site does not develop into a node, only serves as a small convenience centre for surrounding residents.

• Complimentary facilities does not settle here, the area continue to lack good synergy.


Conclusion

Summary • The proposed site is located in Zamdela which is a township located adjacent Sasolburg in the Free Sate province. A residential development “Zamdela Ext. 17” is

planned around the proposed retail site with ± 346 residential units (entry level bonded).

• A catchment area was delineated which represents the expected area of support for the proposed retail development. Factors that were taken into account when

delineating the catchment were mainly the presence of strong retail nodes (Sasolburg CBD) and population spread. Basically the catchment encapsulate the whole of

Zamdela.

•The site rated as good (67%). It was rated on an “as is” (current) scenario. The site enjoy good visibility from the main road and the site is well located within the

residential fabric of the area.

•Although the proposed site is centrally located within the residential fabric of the catchment area, rail lines divide the township with only a few roads crossing the line

and one pedestrian bridge (hamper access to the proposed site). This highlights the importance of creating a prominent node at the proposed site in order to attract all

residents within the catchment area.

•The train station located opposite the proposed site could provided support for the proposed centre and aid in creating a node provided a public transport hub can also

be created on the proposed site. Currently low traffic volumes exists along the main road passing the proposed site and the area lacks synergy.

•Currently there are no formal retail centers within the catchment area. Outflow mainly occur to the CBD of Sasolburg as this is the nearest node to the proposed site

however, for higher order goods and a larger retail variety outflow could occur to Vanderbijlpark and Vereeniging where various prominent centers are located such as

Vaal Mall (± 48,000m² GLA).

• Demographics for the catchment ware calculated using 2011 Aerial Photography (Africa Eye HSE points) and 2014 Fieldwork. A ± 1% annual household growth rate was

calculated for the catchment. This annual growth rate (± 1%) was used to project a 2014 demographic count and projected beyond 2014. If the proposed ± 346

residential units (entry level bonded) materialize for Zamdela Ext. 17 then growth can be expected in the long run however, timelines for such a development are market

related.

• Spatial development plans for the Zamdela area indicates that land is set aside for social housing development in the vicinity of the proposed site (across the rail lines)

which is planned to include a light industrial development. Such developments can add to the support for the proposed retail centre.

•The projected 2014 Africa Eye dwelling points indicates that the catchment is dominated by middle income dwellings (67% - B, C, D) while lower income dwellings are

less represented (33% - D Low, D Zero) and higher income groups are limited / not present in the catchment. This is an indication that the proposed retail development

should focus on the middle to lower income residents.


Conclusion

• The projected 2016 catchment area demographics warrant an estimated total of ± 81,700m² GLA retail space.

• As indicated in the report the size of the proposed site ultimately limits the maximum size of the proposed centre. A maximum of ± 8,000m² GLA can be built on Erf

22736 and potentially ± 11,000m² GLA if additional land adjacent to the site can be consolidated (based on the assumption that a third of the site can be developed).

• The projected 2016 catchment area demographics indicates that a centre of ± 11,000m² GLA requires a moderate ± 13% market share. We are of the opinion that such

a sized centre (± 11,000m² GLA ) can be feasible based on the projected 2016 demographics however, the size of the site will be the main constraint on the size.

• A concern will be the ability of the site to pull support from across the rail lines (north western part of catchment) as the rail lines forms a physical barrier which split the

demographic market to some degree.

Recommendations • As mentioned the rail lines along the site forms a physical barrier which split the market in terms of access. Important will be to create a prominent node at the

proposed site which can attract people from the whole catchment area. This can be done as follows:

1) A public transport hub must be established on the proposed site in order to generate the critical mass needed for the proposed centre. The existing rail

station can be a complimentary facility in establishing a prominent transport node at the proposed site.

2) Signage will be important along main routes to direct people to the proposed centre.

3) The proposed centre should host a good tenant mix (high percentage of national tenants, low vacancies) that focus on the middle to lower income groups.

• We recommend that potential land can be consolidated to have the option available to construct a centre up to ± 11,000m² GLA as the demographic potential is there

in theory for such a sized centre which would require an achievable ± 13% market share.

• However, to minimise risk, a first phase centre of ± 8,000m² GLA can be considered on Erf 22736 which would require a lower market share of ± 10%. This can allow

the centre to develop into a node and test the market as no other formal centres are currently available in the catchment to measure the market against.

• If the first phase centre can prove to develop into a prominent node able to attract support from the whole catchment as a mini destination, then a second phase can

be considered to increase the centre up to ± 11,000m² GLA (± 13% market share required) - provided the market allows expansion (Zamdela Ext 17 residential

component is fully occupies), tenants trade well, more space is required by tenants and no vacancies exists. Note potential land will be required for phase 2.


Proposed Tenant Mix

• The proposed retail centre should host an attractive tenant mix in order to receive optimal support from the Catchment area as well as possible passing trade.

• The proposed centre should be of such a nature (design, layout, etc.) that it will be able to cater for the basic needs in the area of middle to low income groups.

• Please note that this is merely an indication of possible tenants and does not warrant the inclusion of any proposed tenant below or exclusion of ones not listed. The following suggested tenant mix has not been tested through a primary research project (questionnaires).

Suggested tenants according to the findings of this External Market Evaluation:

• FOOD

• Primary anchor – Spar, Shoprite, etc.

• Secondary anchor – Hardware / Building Materials such as Build It or Cashbuild.

• SERVICE component including Banks & ATMs (ABSA, Capitec, Standard Bank, African Bank), Cell phone Shop (Vodacom, MTN, Cell C), Mutiserv,

Post Office (relocation), Post Net, Dry Cleaners etc.

• SPECIALITY STORES Other line shops such as a Liquor Store (Spar Tops), Salon, Pharmacy , Health & Beauty, Roots Butchery, Cash Crusaders,

Sheet Street, Stationary Shops , etc.

• RESTAURANTS & TAKE AWAY (Wine & Dine)

• Nando’s, Chesa Nyama ,Old Fashioned Fish & Chips, Pie City, King Pie, Hungry Lion, Chicken Licken, Mochachos, Barcello’s, Steers, Debonairs,

Romans Pizza, Pantsula Bites etc.

• CFTA (Clothing, Footwear, Textiles and Accessories) and FURNITURE

• Ackermans, Bata, Pep, Fashion Express, Fashion World, Shoe Zone, Identity, Legit, Exact, Dunns, Studio 88, Jet etc.

• OK Furniture, Morkels, Bears, Lewis, Ellerines (Furniture stores should be limited to one or two national tenants).

PLEASE NOTE: This is an objective, independent market report with the sole aim of limiting risk for our client and to optimize development potential. Similarly, Fernridge cannot be held responsible for the failure or under performance of any development, as many other aspects, apart from demographic potential, determine the ultimate success or failure of a scheme.


Fernridge Consulting (Pty) Ltd Keystone House Stonemill Office Park P.O. Box 31266 300 Acacia Road Braamfontein Darrenwood (Cresta) 2017 Johannesburg South Africa Tel: +27 11 583 0900 Fax: +27 87 942 6469 BB-BEE Level 3 contributor

If you have any queries, please contact: Sybrand Strauss

Managing Director e-mail: [email protected]

Fernridge Consulting (Pty) Ltd is a retail / property optimization consultancy that was founded in 2002. We are based in Johannesburg, South Africa and specialize in

spatial analysis using GIS (Geographic Information Systems) technology, the latest demographic data and client information. We are a subsidiary of Capital Eye

Investments (formerly The UCS Group).

We conduct ± 15 shopping centre / mixed use development / revamp studies per month conducted in all nine South African provinces, as well as neighboring countries

(such as Namibia, Botswana, Swaziland, Lesotho, Mozambique, Zimbabwe) and other African countries (Zambia, Malawi, Ghana, Nigeria, Cote d’Ivoire, Kenya,

Uganda, Rwanda, DRC). We offer this service to banks, landlords, property managers, corporate and private investors and developers.

We also assist some of the leading Retail, Health Care and Education groups in South Africa in their African store expansion and rationalization strategies, location

analyses etc. Our clients include, among others: Spar, Woolworths, McDonald’s, Nando’s, Spur, Virgin Active, JD Group, Midas, Clicks, Mica, Netcare, Advtech etc.

This is an objective, independent market report with the sole aim of limiting risk for our client and optimizing development potential. Fernridge Consulting (Pty) Ltd has taken every care in the preparation of this report. The sources of information used are believed to be accurate and reliable, but no guarantee of accuracy or completeness can be given. Neither Fernridge, nor any Capital Eye Investments Group subsidiary, nor any director, representative or employee of Fernridge, accepts liability for any direct or indirect loss arising from the use of this document or its content. The information and opinions contained in this report are subject to change without notice. Many other aspects, apart from demographic potential, determine the ultimate success or failure of a scheme.

CV & Contact Details www.fernridge.co.za

Need to gain a better understanding of what an area or a specific site’s demographic support base looks

like?

AfricaEye is an internet based, geographically referenced application wholly owned by Fernridge Consulting. This tool

offers the user quick, affordable reports in Sub Saharan Africa. Selected information is packaged in a printable report format,

and endorsed by Fernridge. AfricaEye V3 makes the application more user friendly, with added functionality and data such as

Retailers mapped, Radius indicator and Inflow calculator.

Then visit www.africaeye.co.za

mailto:[email protected]

http://www.fernridge.co.za/

http://www.africaeye.co.za/

June 2014 - Agentinfo Feasibility Study.pdf · •Debonairs Pizza •FNB ATM ... Source: 2014...

Documents

Transcript of June 2014 - Agentinfo Feasibility Study.pdf · •Debonairs Pizza •FNB ATM ... Source: 2014...