Case Study

Tijuca

BRMALLS acquired 100% of Shopping Tijuca in November 2010, providing management, leasing and shared service center activities.The mall has 35,600 m2of GLA and the corporate towers 10,700 m2. From 2010 to 2011, we increased SSS in 20.1%.

The main initiatives included:
  • Renewal of 12 contracts with a leasing spread of 22%, generating a new average rent per square meter of R$302.
  • Reintroduction of rent levels into 100% of new contracts (80% of the base did not have levels)
  • New leases:36 new contracts, generating a VGLI of R$6.0 million and key money/TT of R$4.3 million;
  • High-quality tenant mix: Werner, CK, Reserva, Armadillo, Levis and other strong brands;
  • Default:reduction from 12% (December 2010) to 2.7% (December 2011);
  • A% 1Q 2010: R$123,000; 1Q 2011: R$1,138,000.
  • Media as a source of revenue: R$1.3 million in 2011 vs.R$324,000 in 2010 (+287.0%).
  • Mall renovation: L2 and L3 bathrooms, new public furniture and landscaping, start of the façade, G1 (VIP) and G2 parking levels; recovering of the escalators.


Sales Force

  • Team: 104 sales executives;
  • Coverage: presence in 16 states, 38 malls leased;
  • Intelligence: database with more than 8,000 registered contracts, with more than 5,000 transactions in the last five years (stores, malls and media);
  • Scale: 276 million customers per year, more than 1,000 stores leased per year, most important business partner for major brands.
  • Leasing Structure: Two distinct areas for different clients. The key accounts area is responsible for the major national and international companies, while the local negotiations area manages local and regional brands, creating a business intelligence system that results in high productivity.For example, in 2011 leased GLA totaled 120,000 m2, with 1,043 leases, a leasing spread of more than 20% and key money of R$78 million.
  • Partnership Case: By 3Q11 Le Lis Blanc had a total of 65 stores, 16 of which, or almost one quarter, in our malls. However, Le Lis Blanc accounts for less than 1% of our revenue.
  • Media as an Opportunity: we use our malls as communicationsvehicles.In comparison with certain newspapers, which reach an average of 86 million people per year, a Company mall reaches 276 million.