2016 Brings

Big Outlet
Changes

Gloria Outlets
opens in Taiwan

Factory Outlet Center Ochtrup near Mnster, Germany

Inside:
Planned Outlet Projects chart
Outlet ownership changes
Resolutions new partnership

NEW: Outlet Perspectives

Outlet growth in Germany
And much more

M C A RT HU R GL E N

N OV EN TA DI PI AV E PH ASE I V

A new phase for one of Europes most exciting designer outlets.

For leasing contact Patrizia Pinato at Patrizia.Pinato@mcarthurglen.com
or +39 02 888 36864.

M C ARTHURGLENGROUP.COM

Contents

Winter 2016

Vol. 12 No. 1

PAGE 6

PAGE 12

Inside

STaFF

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International Outlet Journal is a publication for the

non-U.S. factory outlet industry. Copyright 2016

PAGE 16

4 IOJs Planned Outlet Centers chart shows 30 new projects

in the pipeline
6 Cover Story: McArthurGlens performance drives the

developers growth in Germany and beyond
8 Ownership changes come quickly for outlet centers

in Poland, the Czech Republic and Peru
10 Outlet Perspectives: IOJs new feature queries the industry on

burning questions. For this issue, outlet executives talk about who
spends more, tourists or locals.

12 Stable stays the course with new outlet centers in Germany

14 Silk Road, RDM keep up a steady outlet pace in China
16 The Outlet! Company and Gloria Hotel Group team up on

Gloria Outlets in Taiwan

18 Nanjing East Outlets opens on a 77-acre site with plenty of

room for expansion and recreation
20 Global News: Construction starts on Noventa di Piaves fourth

expansion; Fashion House Moscow will launch second phase in

November; Fashion House Bucharest, which opened in 2008,
added three new tenants in late 2015; holiday sales were joyful
for Realms portfolio; Rioja wins approvals for Mill Green
project; Millerchip promoted to new position at Realm;
Resolution Property enters a new retail partnership.

Advertiser Index
Fashion House Group........................... BC
ICSC European Outlet Conference......... 13
ICSC RECon........................................... 23

McArthurGlen.......................................IFC
Neinver.................................................... 5

Wi nt er 2 0 1 6 I nt e r nat io na l O u t l e t J o ur n a l

Planned Centers
Europe: Planned Phase 1 Outlet Projects, 2016-2019*
name city country

Developer/Operator GLA sf GLA m2 date

McArthurGlen Designer
Outlet Ghent

Belgium

McArthurGlen Group

215,000

19,995 2019

Prague Outlet
Prague

Czech
Republic

Prague Outlet

334,000

31,000 2016

Billund Quality Outlets

Billund

Denmark

Lalandia/REAM

129,600

12,000

Tallinn Outlet

Tallinn

Estonia

Suda Maja/Rohleder Lumby 134,500

12,509

Zsar Outlet Village

Vaalimaa

Finland

East Finland Real Estate

129,600

12,000 2017

Vaalimaa Luxury Outlet

Vaalimaa

Finland

Gruppo Arcotecnica

115,344

10,680 2017

Outlet Village Helsinki

Vantaa

Finland

Fortus and Glastad Farsund 108,000

10,000

Village dAquitaine

Bordeaux

France

Bergerac Outlets SAS

161,500

15,020

Marques Avenue Colmar

Colmar

France

Concepts & Distribution

193,800

18,023

Viaduc Village

LaCavalerie

France

Stone Market

64,670

5,988

The Village, Villefontaine

Lyon

France

Freeport Retail Ltd.

269,100

25,026 2016

McArthurGlen Designer
Outlet Provence

Miramas

France

McArthurGlen Group

280,000

26,040 2017

Le Village des Alpes

Nimes
(Bellegarde)

France

Bergerac Estates Limited

215,278

20,021

Leipzig Fashion Outlet

Brehna

Germany

Stable International

172,200

16,015 2016

Designer Outlet Village

Duisburg

Germany

Freeport Retail Ltd.

280,800

26,114 2017

McArthurGlen Designer
Outlet Kln

Remscheid
(Kln)

Germany

McArthurGlen Group

286,200

26,500 2017

Werl The Style Outlets

Werl

Germany

NEINVER

182,992

17,018 2016

MO Fashion Outlet

Budapest

Hungary

Rioja Developments

161,500

15,020

San Pellegrino Outlet Village San Pellegrino Italy

Arcus Real Estate

139,900

13,011 2016

Torino Outlet Village

Turin

Italy

Arcus Real Estate

209,900

19,521 2016

Centerfalls Designer
Outlet Resort

Beirut

Lebanon

Sidcom

324,000

30,132 2016

Ghent

Amsterdam The Style Outlets Amsterdam

Netherlands NEINVER

204,520

19,020 2016

Zevenaar Fashion Outlets

Zevenaar

Netherlands Stable International

194,400

18,000 2018

Algarve The Style Outlets

Faro

Portugal

NEINVER

252,960

23,525 2016

Fashion House Outlet

Centre Bucharest East

Bucharest

Romania

FASHION HOUSE Group

189,000

17,500 2016

FASHION HOUSE Outlet

Centre St. Petersburg

St Petersburg Russia

FASHION HOUSE Group

398,000

37,014 2017

Viladecans The Style Outlets

Barcelona

Spain

NEINVER

285,252

26,528 2016

Istanbul Fashion Outlet

Istanbul

Turkey

ArcoRetail S.p.A.

559,700

52,052

McArthurGlen Designer
Outlet Istanbul

Istanbul
(Asia)

Turkey

McArthurGlen Group

215,300

20,000 2018

McArthurGlen Designer
Outlet Istanbul

Istanbul
(Europe)

Turkey

McArthurGlen Group

215,300

20,000 2018

30 planned centers

18 developers/operators 6,622,316

615,272

*11 are planning 2016 openings

Source: VRN/IOJ

I n t ernational Ou tle t Journal Winter 2016

Vicolungo The Style Outlets

Experience, Profitability and Future

A quality shopping experience based on location, architectural design, brand mix and services.
The Style Outlets and FACTORY outlet centres offer choices that are functional and efficient while
remaining attractive to shop operators and visitors.
Marketing and leasing strategies that ensure successful results, increasing sales and foot traffic with
a total of 42 million customers visiting our outlet centres in 2014.
And all this upholding the principles of economic and environmental sustainability.

311,600 SQ.M.

1,450 SHOPS

FRANCE GERMANY ITALY POLAND PORTUGAL SPAIN

Cover Story

MC adds FOC Ochtrup

to its German portfolio
Long a believer in the
outlet potential of
Germany, MCG adds
a 3rd center there as
plans for a 4th move
forward.
A new joint venture announced

At the center of Factory Outlet Center Ochtrup, which features neoclassic architecture,
is the 123-year-old Gebrder Laurenz textile building (top photo).

in November gives McArthurGlen the

majority stake in Htten Holdings Factory Outlet Center Ochtrup near Mnster
in the Rhine-Ruhr region of northwestern Germany. MCG will operate the
18,000-m2 center, handling its day-to-day
management, marketing and leasing.
FOC Ochtrup was developed in
2004 by fashion and retail entrepreneur
Thomas Dankbar, the principal of
Htten Holding. His vertical fashion
company Bianca has its factory in
Ochtrup, Already a successful center with
more than 2 million visitors annually,
Ochtrup Outlet is home to 65 tenants
including Nike, Adidas, Liebeskind,
Lacoste, Esprit, Bogner and Tom Taylor.
McArthurGlen Group, which currently
manages 22 centers in nine countries, already operates two designer outlets in Germany: McArthurGlen Berlin and McArthurGlen Neumnster, near Hamburg. The
group is also investing a further 150 million in what will become its fourth German
outlet center, McArthurGlen Remscheid

FOC Ochtrup Brands

Adidas
Airfield
Alfi
Allrounder
Ara Shoes
Armani
Australian Footwear
Bellybutton
Bench
Benvenuto
Betty Barclay
Bianca
BiBA
Bjrn Borg
Blutsgeschwister
6

Bogner Fire + Ice

Bugatti
CECEBA Bodywear
Cecil
Clarks
Comma
Converse
Crocs
Daniel Hechter
DC
Depot
Desigual
Diesel
DKNY
Dockers

Dornbusch
Eat Ants
Ecco
Edc by ESPRIT
Esprit
Eterna
Fossil
Gant
Garcia
Gelco
Geox
Gin Tonic
Home
Hunkemller
Jack & Jones

I n t ernational Ou tle t Journal Winter 2016

Jacques Britt
Kahla
Kanz
Kneipp
Lacoste
Lambert
Lemmi
Levis
Liebeskind Berlin
Lindt
Marc Aurel
Marc by Marc Jacobs
Marc OPolo Junior
Marc OPolo Underwear
Marc Picard

Maruti
Mephisto
Mexx
Michael Kors
More & More
Mve
Mustang
Nike
ONEILL Footwear
Only
Otto Kern
Patagonia
Pieces
Pierre Cardin
Puma

Quiksilver
Ravensburger
Redford
Roxy
Salamander
Samsonite
Sanetta
Schiesser
Schwarze Rose
Seidensticker
Sigikid
Signum
Silit
Skgen
Sons and Daughters

Speidel
Steiff
Street One
Superfit
Tom Tailor
Tom Tailor Denim
Tom Tailor Underwear
Vero Moda
Watch Station
WMF
Zodiac

MCG performance drives

Portfolios GLA expansion
Within the next three years McArthurGlen plans the beginning of 2012 and the end of 2015 an increase

to expand the GLA of its 22-center portfolio by 50 percent, growing to almost 900,000 m2 at the end of 2019
from 600,000 m2 today:
4 Seven new projects are under way or in planning, all due
to open by the end of 2019 in Ghent, Mlaga, Normandie,
Provence, Remscheid and two in Istanbul. When completed, the projects will total more than 215,000 m2 of GLA.
4 Seven existing centers are expanding, delivering an additional 78,000 m2 worldwide. These expansions will be
at McArthurGlen Designer Outlet Villages in Ashford, England; Naples, Venice and Milan, Italy; Parndorf, Austria;
Roermond, The Netherlands; and Vancouver, Canada.
McArthurGlens performance factors:
l Portfolio turnover grew to around 3.5 billion between
near Cologne, due to open in 2017.
Gary Bond, McArthurGlens Managing
Director of Development, told IOJ that
MCG has been pursuing this center for a
while. Weve known Thomas Dankbar for a
numbers of years, he said, and we are delighted to be working with him on taking the
center to the next level. Thomas has incredible contacts throughout Germany were
looking forward to working closely with him
to secure permission to extend the center
by a further 8,000 square-meters. I hope this
will be the first of many new partnerships
across Europe.
Ochtrup, 1 hours north of Dusseldorf,
has a huge catchment -- 13 million in a
three-hour radius, Bond said, adding that
McArthurGlen has access to the brands
that German shoppers love. Germany has
always been a prime target for us because of
its high wages and high spending and its
still underserved by retail.
Dankbar said that MCGs track record
will be good for the center and the community. I am very proud of how Ochtrup has
developed since we first opened 11 years ago
with just 5,000 m2 of GLA, he said. It is
now time to take the center to the next level.
McArthurGlens skills, resources and ways
of working will bring huge benefits to the
center and to the local economy.
Factory Outlet Center Ochtrup is a 30
minutes from Mnster, features neoclassical architecture and a brick and glass
design. At its center is an iconic 1893
listed building that used to belong to the
Gebrder Laurenz textile company. c

of nearly 30 percent.
l For 2015, McArthurGlen saw double-digit growth in
both footfall and customer spend; tourism sales grew by
more than 40 percent.
l Tourism sales quadrupled between 2010 and 2014. Across
the portfolio, the average spend per international customer
is more than six times the average spend of local customers,
with China as the biggest international customer, accounting for more than a third of all tax-free sales. In 2015 tax-free
sales figures grew 25 percent over tax-free sales in 2014.
McArthurGlen, which secures more than 600 leases a
year, added 50 new brands in 2015 to its tenant line-ups.
Some of the new brands include Coach, Cesare Paciotti,
Frey Wille, J. Crew, Kiton, Ports 1961 and Thomas Sabo.

McArthurGlen has acquired a majority stake in Factory Outlet Center Ochtrup,

which was opened in 2004 by Htten Holdings.
Wi nt er 2 0 1 6 I nt e r nat io na l O u t l e t J o ur n a l

Ownership Changes
Parque Arauco expands
outlet portfolio in Peru
Santiago, Chile-based Parque Arauco in

December 2015 acquired 100 percent ownership

of Strip Centers del Per, giving it full control
of two planned projects and three existing centers, including the 80,730-sf InOutlet Faucett in
Lima. Parque Arauco had previously owned 51
percent of SCP and acquired the remaining 49
percent from prior investor Los Portales.
In January Parque Arauco held the grand
opening of InOutlet Premium in Lrin, which
is in southern Peru on the Panamericana Sur
Highway. Brands tenanting the 91,800-sf center
include Nike, Adidas, Tommy Hilfiger, Kenneth
Brands at Parque Araucos InOutlet Faucett in Lima, Peru include Billabong,
Cole, Calvin Klein, Dunkelvolk, and Marathon.
Calvin Klein Jeans, RipCurl, Tommy Hilfiger and Quiksilver.
Parque Arauco operates 8.8 million sf of retail
space in Peru, Columbia and Chile. The portfolio includes three Klein, Converse, Gant, Lindt, Puma, Triumph and Vanity Fair.
outlet centers in Chile and the two in Peru.
Neinver will continue to manage Futura Park, which attracts
The 274,500-sf Arauco Premium Outlet Buenaventura in
more than 1.5 million visitors annually.
Santiago, Chile opened in 2012. In 2014, the developer opened
IRUS Fund portfolio comprises a total of 11 outlet
the 70,000-sf Arauco Premium Outlet San Pedro in San Pedro schemes, located throughout Spain, Portugal, Germany, Italy
de la Paz, Concepcin, and the 75,500-sf Arauco Premium
and Poland with a total GLA of 265,695 m2. and an appraised
Outlet Curauma in Valparaso. The company opened its first
value of 1,146,900,000.
shopping center in Chile in 1982, entered Peru in 2005 and
Neinver is under way on the 25,600-m2 Viladecans The
Colombia in 2008.
Style Outlets near Barcelona, set to open this year; the 17,000m2 Werl The Style Outlets (between Dusseldorf and Hannover) and the 18,000-m2 Amsterdam The Style Outlets in the
Netherlands, set to open in 2017.

LaSalle investment group buys

Futura Park Wroclaw

Wroclaw Futura Park in Poland has been sold by IRUS

European Retail Property Fund to LaSalle Investment Management for 27 million. The transaction took place in November,
according to Neinver, which established the IRUS fund in 2007.
The 20,200-m2 project coexists with Neinvers 14,000-m2
Factory Wroclaw, which has a tenant line-up that includes
Guess, Chicco, ONeill, Caramelo, Reebok, Samsonite, Miss
Sixty, BillaBong, Mango, Pepe Jeans, Polo Ralph Lauren,
Adidas, Diesel, Hugo Boss, Tommy Hilfiger, Lee, Dockers,
Rip Curl, Desigual, Levis, Nike, Gas, Benetton, Asics, Calvin

Freeport center sold to Austrian

group; ROS will manage it
In November the owners of Austrias Fashion Outlet

Parndorf acquired Freeport Fashion Outlet in Hate, Czech

Republic, from VIA Group Portfolio. Freeport Retail opened
the 242,200-sf center in 2003.
The site is at the Austria-Czech border 50 miles north of
Vienna and was formerly a duty-free zone. Tenants include
Asics, Clarks, Esprit, Huber, Juicy Couture, Lego Wear,
ONeill, Pearl Izumi, Ray Ban, Speedo, Tony Perotti,
Wellensteyn and Zwilling. The Parndorf center is 30
miles southeast of Vienna.
The purchaser, Fashion Outlet Parndorf Investment
Group, is a JV of APM Holding and BETHA Zwerenz
& Krause. An additional investor for this purchase is
the pension fund Versorgungswerk der Zahnrztekammer Berlin & Babcock Pensionskasse VVaG.
The Parndorf group has retained ROS Retail Outlet
Shopping for management, marketing and leasing of the
Freeport center. The immediate plan is to upgrade the
tenancy, amenities and marketing of Freeport Fashion
Outlet. ROS now provides services for six outlet centers
Fashion Outlet Parndorf (Austria), Freeport Outlet
(Czech Republic), Shopinn Brugnato Outlet Village
(Italy) and three in Germany, Designer Outlet Soltau,
Among the 70-plus outlet tenants at Freeport Fashion Outlet in the Czech City Outlet Bad Munstereifel and Fabrikverkaufe Geislingen, a 19-tenant center near Stuttgart. c
Republic are Adidas, Asics, Benetton, Desigual, Geox, Guess and Lacoste.

I n t ernational Ou tle t Journal Winter 2016

ICSC European Outlet

Conference
22 March 2016
Business Design Centre, London, United Kingdom
In Association with:

ICSC Global Partners

Save
The
Date!

ICSC European Partners

FOR MORE INFORMATION, PLEASE VISIT WWW.ICSC.ORG/2016EOS OR CALL +44 20 7976 3100
#ICSCEUROPE

Outlet Perspectives

Who really spends

the most at outlets?
For the first Outlet Perspectives column, a new feature for IOJ, we traffic. The nationalities that buy the
asked five industry executives to describe the difference in spend at outlet
centers between tourists and local shoppers. As you might guess, tourists
especially internationals tend to spend more than locals, at least on their one
visit. However, our executives brought up a number of interesting side issues
on this topic, such as how to define a tourist and the yearly value of shoppers
who spend less per visit but come to the center more often. Another surprising
aspect of the tourist/local equation turns out to be satisfaction levels those
who travel the furthest, well, read on to find out.

Colin Brooks

M a n agin g D irector, REAL M

An analysis of
tourist shoppers
within the Realm
portfolio of outlet
centres in the UK
reveals three key
trends:

The further
Brooks
people travel,
the greater their one-off spend
Tourists adopt a mindset that helps
them spend as they tend to be more
relaxed and open to impulse purchasing. There is a novelty value, too, from
seeing brands and products that are not
normally so readily available to them in
their home town or country, and they
are inclined to take full advantage of
hard-to-find items.
The further people travel, the
less satisfied they are
The counter-intuitive relationship
between greater spending and lower satisfaction is an example of the sunk-cost
bias a phenomenon which makes us
behave and shop irrationally. The longer
range outlet shopper may well have set
off with the intention of buying shoes,
luggage and cosmetics but they may
discover a shortage of product in their
specific size or preferred brand. At this
point the voice inside their head will
say I have travelled nearly two hours
to get here; there must be something I
can buy. This response results in their
being more purposeful in an effort to
10

I n te rnational Ou tle t Journ al Winter 2016

justify the trip, resulting in a higher

spend but overall lower satisfaction as
their original desires were not met.

Locals are loyal;

tourists are fleeting
Local shoppers from the sub 30-minute drive-time have an annualised
spend that is on average four times the
value of tourists who originate from
the 90-minute-plus catchment. Longer
range shoppers are clearly less susceptible to tactical advertising, which in turn
influences many marketing decisions.
The return on promotional investment
is easier to establish with a local, loyal
and more engaged shopper who spends
less during the visit but more throughout the year.

Carlos Gonzlez

Managing Director, NEINVER

Shopping tourism has become an
often-decisive factor in consumers
travel experiences.
Although Europe
lags behind Latin
America, Japan and
emerging markets
Gonzlez
in this area, we have
detected an increase in foreign visitors
who come to outlet centers proactively,
in search of fashion and accessories.
Targeting both local and foreign
shoppers, certain centers in The Style
Outlets platform, including those in
Italy and Germany, find that tourists account for about 8 percent of their foot

most include Chinese and Russian visitors, who continue to spend more than
average, and we have seen increased
spending by visitors from Kuwait, Saudi
Arabia and, to a lesser extent, Switzerland.
As shopping tourism keeps growing
(it could well see an 88 percent increase
by 2019, according to Euromonitor),
the retail sectors strategy must focus
on meeting the wants and needs of a
fast-growing segment of its customer
base. In fact, in 2014 alone, this type of
traveler spent 217million on brands
worldwide, and therefore it is vital to
work towards customizing offerings and
generating synergies with public institutions and industry organizations.

Ken Gunn

Par tn er an d Di rec tor, FS P

The contribution
made by tourists
to European outlet
performance ranges
from zero to 60 percent of sales. Where
an outlet centre
sits on this range is
determined by many
factors, including
Gunn
the desirability of its brands, quality of
environment and architecture, proximity
to major tourist attractions, provision of
relevant services (e.g., tourist information, tax refund and bureaux de change)
and the ability of managers to provide
first-class customer service (in many
languages) and to work proactively and
strategically with domestic and international hospitality industry partners.
It is easy to simply think of tourists as
brand-hungry Chinese or Russians but the
reality is much more diverse. While some
centers serve the worlds major cities,
there are also outlet centres serving large
domestic tourist markets (such as Clarks
Village and Shopinn Brugnato) and others
that are daytrip magnets for large regional
populations (such as Gunwharf Quays

and McArthurGlen Roermond).

Nearly half of tourism trips involve
visiting friends and families, so even
cities with relatively few recognisable
attractions can still attract large numbers of domestic tourists. When FSP
undertook a visitor survey at a rural site
in a relatively unheralded part of the
UK, 75 percent of respondents who
had travelled for longer than 15 minutes
considered themselves to be on a day
out rather than a shopping trip. This
tourist or leisure mindset is one of the
key strengths that differentiates outlet
and full-price shopping venues, and its
one of the strongest opportunities for
further growth.
The food and beverage offer at many
outlet centres, particularly those in
France and Germany, is weak and out
of step with the requirements of many
visitors. Tourists typically spend 25
percent more on F&B than they do on
fashion, but F&B is less than 5 percent
of sales at most outlet centres on the
European continent. There are also opportunities for leisure, and indeed, many
outlet centers, such as Gunwharf Quays
or Zweibrcken The Style Outlets,
benefit from their adjacency to major
leisure attractions.
International tourists can spend
nearly twice as much per visit as the
average outlet visitor while domestic
tourists spend around one and a half
times the average. While this sounds
very attractive, it is worth remembering
that the potential for repeat visits during
the year is limited. Over the course of
a year for example, FSPs analysis of
outlet shopper value shows that regular
visitors from the inner catchment can
in fact spend more than three times
the average value of a tourist making a
single annual visit.
Seasonal patterns can also result in
substantial swings from quiet to heavily congested periods, and for some
consumers, this can be a reason not to
visit. It is therefore important to plan
seasonal promotions carefully and to
seek to manage visits across the year.
In FSPs experience, tourists represent
core business for some outlet centres,
but simply icing on the cake at others.
It is important for operators to recognise the unique tourist/resident value
opportunities that exist at every site
and to adopt an appropriately balanced
approach to attract visitors of all types.

Whether they have travelled halfway

around the planet, or just around the
block, the best outlet centres work hard
to create a sense of enjoyment in their
positioning, seek to curate the perfect
day out experience and provide exceptional customer service, which makes all
visitors feel that they are valued guests.

Brendon OReilly

M anag i n g Di rec tor ,

FASHI O N HO U S E Grou p
Our experience
in Fashion House
Group is obviously
based on our business focus on the
emerging markets
of Central & Eastern Europe and
Russia, which have
many different
OReilly
characteristics compared to the outlet
sector in more developed territories.
Consumers in these markets, particularly enthusiastic to acquire Western
European and U.S. brands, use outlet
centers much more regularly, spending less money per visit but making
regular monthly visits, compared to
the norms of the more developed
economies.
Therefore, what is really important for
our business is the lifetime value of regular customers, which we see by looking
at their spend with us over a year rather
than only looking at an average transaction value per visit. And, of course,
theres more value in regular customers
referrals and recommendations.
What is the same in CEE/Russia as in
the global outlet sector is that consumers who travel from further away tend
to spend more per visit and stay longer.
That is practically a universal truth, for
sure. In our Fashion House Outlet Centres, either in a resort such as Gdask or
in the capital cities Warsaw, Bucharest
and Moscow, there is a distinct tourist
element to the customer base. Many are
shopping tourists from neighbouring
countries with high prices or limited
supplies of Western goods.
But normally, a high-spending tourist
may well visit only one time, whereas
our enthusiastic local fashionista may
come dozens of times, such that the
lifetime value of the local, regular shopper will always be greater.

Simon Rosenberg

Senior Retail Consultant, FSP

Since the 1980s
the evolution of the
outlet centre has been
one where the role of
experiential tourism
has begun to play an
integral part of the
industrys focus and
growth. Traditionally
Rosenberg
the outlet centre role
was to clear high volumes of overstock
from mid-market brand names to domestic shoppers. Global brands would
scorn at the idea of having a large
exposure in such a potentially brand
damaging channel.
Todays 4th generation outlets (The Village format) have given shoppers a destination that is fun, mixed-use, enticing and is
in effect a destination for a family day out
and in some cases an evening activity, too.
With larger catchments being drawn to
such experiences, global brands are increasingly enhancing their stores to attract those
shoppers in order to see growth and profitability in their own retail portfolios.
The international tourist is an important catalyst for spreading loyalty and
engagement back home. Once a customer has bought into the outlet equation of
brands and values, she is more likely to
seek out the brand in other distribution
channels around the world. It is a route
to feeding brand loyalty via the medium
of price, promotion and experience.
Such is the importance of the international tourist. More and more operators seek to use translated POS material,
targeted promotions, shuttle buses and
link trips to ensure that whoever the
shoppers are and wherever they originate
from, they will feel compelled to spend.
New outlet developments are now
primarily located close to major cities
with strong motorway and/or rail links.
We know that one key to success is
making sure that tourists from anywhere can arrive at the outlet centre
with seamless efficiency. c
For the Spring 2016 IOJ, Outlet Perspectives will
ask brands, What common denominators do you
see in the centers where your stores perform the
best? How about commonalities in centers where
your stores struggle? If you would like to provide
your perspective on this question in 250 words or
less, please send it to IOJ editor Linda Humphers at
lhumphers@icsc.org by Tuesday, 1 March.
Wint er 2 0 1 6 I nt e r nat io na l O u t l e t J o ur n a l

11

Center Opening

Stable stays the course

with FOCs in Germany
With the 2015 opening of
Fashion Outlet Montabaur,
Germany now supports 12
outlet centers totaling
almost 230,000 m2. Stable
will add another in April.
B y L IN DA HUM P H E RS
E d i to r i n C h i e f

When Stable International opened

The 14,000-m2 Fashion Outlets Montabaur has seen robust footfall since its
opening day on July 31, 2015.

Fashion Outlet Montabaur tenants

Asics
Bassetti
Benetton
Better Rich
Betty Barclay
Bruno Banani
Bugatti
Camel Active
Carl Gross
Clarks
Columbia*
Comma
Converse
12

Desigual
Diesel
Dressler
Esprit
Estella
Fossil
Gaastra
Garcia
G-Star
Hunkemller
Juvia
Kunert
La Place

Levis
Marc O Polo
Marvelis
Melvin and Hamilton
Michel Herbelin
Mve
Mustang
Nike
Neill
Odlo*
Olea
Pano
Rich and Royal

I n te rnational Ou tle t Journ al Winter 2016

S. Oliver
Salamander
Schneiders
Society Shop
Stefanel
Tom Tailor
Tommy Hilfiger
Triumph
Vingino
WMF
*opening soon

Fashion Outlet Montabaur more than 85

percent occupied on July 31, 2015, the developer knew the center would perform well.
First, the scheme is right on the A3, between
Cologne and Frankfurt, where 165,000 cars
pass daily the A3 is Germanys second-most
frequently traveled motorway. And the center
is just two minutes from the bustling Inter
City Express rail station.
So when 52,000 people visited Fashion Outlet Montabaur in its first three days, Stable was
even more confident that the centers performance would grow. Five months later, more
than 1.5 million shoppers had visited the center
and turnover is now 20 percent above forecast.
The centers sleek and open architecture perfectly fits the outlet center of the future.
Montabaur is in the geographic center of
the two densely populated regions of RhineMain and Rhine-Ruhr. With a population of
17.5 million within 90 minutes, and an FOCrelevant demand volume of 4.9 billion, there
is ample, and now proven, sales potential in
this market.
IOJ first reported on Fashion Outlet Montabaur in 2008, which shows the commitment
required to develop an outlet center in most
of Europe. Between economic downturns
for consumers, investors and brands, tough
approvals processes by concerned municipalities, and tenant radius restrictions (now
disallowed), the outlet business isnt for the
faint-hearted.
But now that Stable has opened the 14,000m2 Fashion Outlets Montabaur, the companys
second German project will open in April.

Fashion Outlet Leipzig, also on the

planning list since 2008, is already 90
percent leased. Phase 1 will be 11,000
m2 with space for 65 tenants, which will
be followed by a second phase of 8,000
m2 that will add another 50 shops.
The centers site is within the triangle
of Leipzig, Halle and Dessau, near the
crossroads of the motorways A9 (from
Munich to Berlin) and A14 (from Dresden
to Hannover). The one-level center, which
will be enclosed to accommodate the
weather in the region, has been designed
in the style of a Victorian market hall.
In other news, Fashion Outlet Rosada,
which Stable manages, reported a 12
percent increase in sales for 2015 compared to 2014. An 8,000-m2 expansion
and complete makeover of the common
areas will open there in May, bringing
the center to 24,396 m2 and more than
100 stores. Fashion Outlet Rosada is in
Roosendaal, the Netherlands, between
Rotterdam and Antwerp. c

The architecture of Stable Internationals Fashion Outlets Montabaur shows the

clean, sweeping line of steel and glass of modern Germany.

Existing Outlet Centers in Germany

Center Developer/Operator
GLA sf
Montabaur Fashion Outlet
Stable International Development BV
156,600
McArthurGlen Designer Outlet Neumnster McArthurGlen Group
291,150
Designer Outlet Soltau
Resolution Property
145,000
Factory Outlet Center Ochtrup
McArthurGlen/Retail Development Group 183,000
McArthurGlen Designer Outlet Berlin
McArthurGlen Group
226,000
Designer Outlets Wolfsburg
Outlet Centres International
189,000
Seemaxx Factory Outlet Center
Hesta Immobilien GmbH
48,440
Ochtum Park
Mullmann & Grundstucksverwaltung
66,960
Ingolstadt Village
Value Retail PLC
221,000
Wertheim Village
Value Retail PLC
225,000
Zweibrucken The Style Outlets
NEINVER
226,000
OutletCity Metzingen
Holy AG
484,400
12 centers
2,462,550

Source: VRN/IOJ

GLA m2 Opened
14,564
2015
27,077
2012
13,485
2012
17,019
2012
21,018
2009
17,577
2007
4,505
2006
6,227
2006
20,553
2005
20,925
2003
21,018
2001
45,049
1995

229,017

Wint er 2 0 1 6 I nt e r nat io na l O u t l e t J o ur n a l

13

Center Opening-Asia

Silk Road, RDM keep

steady pace in China
Silk Road, which opened
its third outlet center
in 2015, readies three
more for this year and
and two for 2017.

The 31,034-m2 Florentia Village Guangzhou, which opened September 24, 2015, is
Silk Road/RDMs third outlet center in China since 2011.

Silk Roads Steady Pace in China

Florentia Village locations
GLA sf
Beijing-Tianjin
538,200
phase 2
86,100
Shanghai
538,200
phase 2
322,900
Guangzhou-Foshan
333,700
phase 2
177,600
Chengdu
538,200
Wuhan
473,600
Hong Kong Elite
50,382
Chongqing
538,200
Qingdao
538,200
8 Florentia Villages
4,135,282

GLA m2
50,053
8,007
50,053
30,030
31,034
16,517
50,053
44,045
4,686
50,053
50,053
384,581

Opening
2011
2017
2015
2017
2015
2016
2016
2016
2016
2017
2017

Source: RDM Asia

14

I n te rnational Ou tle t Journ al Winter 2016

Chinese consumers who enjoy

dressing in Italian designer apparel and
accessories at bargain prices have
found a new Silk Road to these affordable luxuries in the spreading network of
Florentia Village Designer Outlet centers.
The joint-venture of Silk Road Holdings
and RDM Asia (which handles operations,
marketing and leasing) has opened three
Florentia Villages in the leading metro
areas of Beijing-Tianjin, Shanghai and the
most recent, in Guangzhou.
The JV has also broken ground on two
more centers with late 2016 opening dates
and has another pair for 2017. In addition
to those projects, as well as expansion to its
Beijing and Shanghai centers, the team also
plans a boutique-sized center of just 4,686
m2 set to open this fall in Hong Kong. The
two-level center will be near the Kowloon
Commerce Center in the Kwai Chung area.
By yearend 2017, the eight Florentia Villages will total nearly 385,000 m2. Silk Road
anticipates serving 30 million shoppers annually in its eight outlet centers the three
operating Florentia Villages drew 8 million
visitors during 2015, with combined retail
sales of $700 million, according to RDM.
The latest milestone was the Sept. 24
opening of 31,034-m2 Florentia Village
Guangzhou-Foshan. RDM plans to open
a 16,517-m2 phase 2 by this May, to bring
total Guangzhou GLA to 47,551 m2.
The center opened with about 75 signed
tenants, including 15 with store openings
planned for year this year.
The FV Guangzhou site, on Shugang
Road by the Guangzhou West Expressway has a 90-minute catchment of at
least 28 million people and is within a
20-minute drive of the city centers of
Guangzhou and Foshan. FV Guangzhou

Florentia Village Guangzhous Venetian-style architecture goes hand in hand with the centers visit Italy without going to Italy
marketing campaign.

planned to offer both a traditional lion

Guangzhou for their first outlet stores
provides free shuttle bus service every
dance and a Venetian Carnevale parade.
30 to 40 minutes connecting to Guang- in southern China.
RDM Asia is a unit of Florence,
Florentia Village centers offer a tenzhou South Railroad Station, a massive
Italy-based Fingen Group, a diversified
ant mix tuned toward luxury brands,
modern facility that accommodates
real estate, textiles, retail and financial
four railways including high-speed train with iconic Italian designers from
business that has a JV with McArthurArmani to Versace prominent among
service, as well as subway service.
Glen for five outlet centers in Italy.
them. Silk Road promotes the Visit
The center features an underground
RDMs partners in Silk Road Holdings
Italy
without
going
to
Italy
theme,
facility for a portion of its 2,500 parking
include Hong Kong-based Gaw Capital,
amplified
by
extravagant
Venetian-style
spaces, a concession to the April-toLondon-based TH Real Estate and
architecture. For the Chinese New Year
September rainy season.
celebration in February, FV Guangzhou New York-based Waitex. c
Consumers have shown an equal
display of interest under difFlorentia Village Guangzhou Tenants
ferent weather conditions.
Puma
Adidas
Fed
KFC
the footfall has performed
Sammy
Aigle
Fila
Lacoste
steadier than the expectation,
Samsonite
Anagram
Folli
Follie
Lancy
*
*
Maurizio Lupi, managing direcSasa
Armani
Furla
Lee
*
tor, RDM Asia, told IOJ.
Skechers
Bean
Pole
Gant
Levis
*
In a centerwide promotion
Starbucks
Brooks
Brothers
Gap
Lily
during the first two weeks, shopS.T. Dupont
Calvin
Klein
Jeans
G-Star
Raw
Marisfrolg
*
pers who spent 420 in one day
Stella Luna
Calvin
Klein
Performance
Guess
MaxMara
*
received a 15 gift card, plus
Subway
Calvin Klein Underwear
Hagen
Dazs
Michael
Kors
*
a scratch card with chances to
Swarovski
Charriol*
Hazzys/Camicissima Moussy
win merchandise from Bottega
Teenie Weenie
Clarks
Hugo Boss*
Navigare
Veneta, Celine, Prada and other
Test-Tube
Coach
Hush Puppies
New Balance
tenants. Lupi said the U.S.-based
Timberland
Columbia Sportswear
Inniu
Nike
brands Coach, Gap and Nike
Converse
I.T.
The North Face Todllon
were among the most popular
Tommy Hilfiger
Crocs
Jack & Jones
Ochirly
stores during the opening period.
Under Armour*
Daniel Hechter
Jeep
Only
Etro, Folli Follie, Inniu, IT, J.
Venchi*
Ecco
Jessica Episode*
Philipp Plein*
Linderberg, Jorya, S.T. Dupont
Versace*
E. Land
J. Lindeberg
Pizza Hut
and Swarovski were among the
Etro
Jorya
Ports
* opening soon
global brands that chose FV
Wint er 2 0 1 6 I nt e r nat io na l O u t l e t J o ur n a l

15

Center Opening-Asia

Gloria Outlets draws

Taiwans value shoppers
The Outlet! Company and
Gloria Hotel Group team
up to bring Western-style
outlet retailing to Taiwan.
The retail scene in greater

Taipei, capital of the island nation of Taiwan, has a new landmark: The 210,867-sf
Gloria Outlets opened by Outlet! Company
and Gloria Hotel Group on Dec. 18. The
center features 90 retailers in a largely open
racetrack layout, something of a novelty
for Taiwanese shoppers. Plans call for three
phases that will ultimately lead to a 590,000sf center with more than 250 stores.
The site is in Qingbu, a 45-minute drive
southwest of central Taipei on Local Road 31 just south
of the interchange with Airport Expressway (Highway 2).
More than 9 million people reside within 40 miles of Gloria Outlets in the dense Taipei-Keelung-Taoyuan metropolis of northern Taiwan. A 2015 study by CBRE showed
that Taipei is the worlds fourth most-sought market by
global retailers, behind Tokyo, Singapore and Abu Dhabi.
Gloria Outlets has 2,500 underground parking spaces,
is directly connected to the existing high-speed rail
network, and a platform at the center will connect to an
under-construction rail link to the main airport, Taoyuan
International. At the grand opening, many consumers
arrived by high speed rail, which connects to the relatively
small second floor that houses the 600-seat food court and
a dozen retailers, including Nautica, Nike Factory Store,
Tommy Hilfiger and Under Armour.
Long lines formed at these stores and in front of
other brands. Roots, a Canadian lifestyle brand popular
in Taiwan, offered 90-percent discounts on many products. Hugo Boss, Timberland, Tommy Hilfiger and Tumi
were among retailers with price cuts of 50 percent to 70
percent. Swarovski shoppers signed up for chances to
win a limited edition bracelet. Retailers taking part in a
centerwide promotion for extra-savings coupons included
Aigner, Armani, Polo Ralph Lauren and Roberto Cavalli.
Gloria Outlets developers retained Architects Orange,
the California-based firm that has designed outlet centers
for Simon, including Desert Hills Premium Outlets
in Los Angeles and Yeoju Premium Outlets in South
Korea. Surfaces are generally pastel, sleek and smooth,
accented with rough stone and marble textures. Two
sunken plazas help illuminate the parking areas below the
16

I n te rnational Ou tle t Journ al Winter 2016

Designed by architects from California, Gloria Outlets has the pastel

colors and open plan of outlet centers in the U.S.

main floor. The larger plaza provides common space for special
events with fountains to tease the senses.
The JV has already begun construction on a 140,470-sf phase
2 with a planned opening by holiday 2016. Further plans call for a
237,900-sf phase 3 to open by holiday 2017.

Gloria Outlets Tenants

Shoppers have easy access to Gloria Outlets, which is directly

connected to Taiwans high-speed rail network and will soon
link to the islands main airport.

Gloria Hotel Group is based in Taipei, and The Outlet!

Company has offices in Taipei, Shanghai and Hong Kong.
The duo started a long-term development and management
partnership in 2009. For Gloria Outlets Taiwan they worked
with Cathay Life Insurance, the master plan developer for
the 54-acre site where hotel, entertainment and office space
will also be developed.
TOCs top executives, Daniel Kelly, president, and Anjelica
Manalo, VP-finance and administration, were previously with
Simon (then Simon Chelsea Premium Outlets) in its Asian
outlet ventures. Rick Mao, VP leasing, has expertise in tenant
negotiation and management for luxury retail properties in the
Taipei market. TOC currently handles the leasing and management of two outlet centers in mainland China: Mega Mills in
Shanghai, open since January 2013, and Nanjing East Outlets,
which opened in October 2015 (see story on page 22).
The greater Taipei region is home to at least three other
outlet centers, although the layouts and shopping experience are quite different from the Gloria Outlets model.
l The multistory Leeco Outlet Neihu District on the east

0918
2020 EYEhaus
Agatha Paris
Agnes b.
Aigner
Alexandre de Paris
Arena
Armani Outlet
Artifacts
Best Hot Pot Restaurant
Brooks Brothers
Calvin Klein Underwear
Chloe Chen
Coach
Columbia
The Cosmetics Company Store
Cotelac
Desigual
Diane Von Furstenberg
Dubu House Korean Cuisine
Dunhill
Ecco
Eden Park Paris
Esprit
Fei Yue Ji Thai & Vietnamese Cuisine
Folli Follie
Funbox
GMP Baby
Gyu-Kaku Japanese Grill
Han House Korean Cuisine
Hanlin Tea Room
Hao Pin Teppan Dishes
Harujuku Kitchen
Hengdeli
Hugo Boss
iCB
JEpoque
J. Lindeberg Stockholm
Jeep
Jimmy Choo
Jorya Outlet
Joseph
Kenzo
Kipling
Kuo Health Chinese Medicinal Cuisine
La Bonta Italian Cuisine
Laetitia Puff & Dessert
Les Enphants Plus
Les Nereides
LeSportsac
Levis

Loewe
Michael Kors
Moiselle
Mothercare
Mountain Hardwear
Napapijri
Nautica
New Balance
Nike Factory Store
Nike Golf
Nishiki Ramen
Nordic
Orobianco
Paul & Joe
Paul Frank
Philips
Police
Polo Ralph Lauren Factory
Store
Puma
Ramen Sanji
River Woods
Roberto Cavalli
Roots
Roots Lodge Caf
Salvatore Ferragamo
Samsonite
Sanmin
Sentosa Singaporean Cuisine
Starbucks Coffee
Subway
Superdry
Swarovski
Swatch
TGI Fridays
Timberland
Tin Caf
Tods
Tommy Hilfiger
Tough Jeansmith
Triumph
True Religion
Trussardi
Tsao Di Ting Traditional
Taiwanese Food
Tumi
UGG Australia Outlet Store
Under Armour
Woogo Smoothie
Xian Chu Teppanyaki
Zwilling J.A. Henckels

side of the city opened in 2005

l Leeco Outlet Gongguan District in the university area of
Taipei opened in 2012
l The 500,000-sf E-DA Outlet Mall, in Kaohsiung, east of
Taipei, is part of a complex that includes an amusement park,
entertainment venues, hotels, residences and schools.
Direct competition is due for Gloria Outlets in the form of
Mitsui Outlet Park Linkou in New Taipei City, close to Taoyuan
International and less than 20 miles from Gloria Outlets.
Phase 1 of the planned 485,000-sf center is slated to open by
this spring. The project is a JV of Japans Mitsui-Fudosan and
Taiwan-based Farglory Group. c
Wint er 2 0 1 6 I nt e r nat io na l O u t l e t J o ur n a l

17

Center Opening-Asia

Nanjing East Outlets

opens with fireworks
The centers 77-acre site has plenty
of room for expansion and for family
recreation activities, including picnic
space, a Ferris wheel and a 9-hole
miniature golf course.

The Outlet! Company and WB Outlet Developments worked together to develop Nanjing East Outlets; a second phase of 114,000
sf will open in 2017.

18

I n te rnational Ou tle t Journ al Winter 2016

Nanjing East Outlets, a joint-venture of The

Outlet! Company and WB Outlet Developments, grand
opened in Zhenjiang City on Oct. 1, 2015. Although the
239,206-sf center soft-opened in February 2015, the
autumn event was timed to coincide with and celebrate
the National Holiday in China. Merriment was in the
air, with traditional drum shows, fireworks, flash mob
dances and a fashion show featuring wares from more
than 50 tenants including Adidas, Armani, Coach,
Ermenegildo Zegna, Gap, Nautica, Nike, Replay, Ted
Baker and Under Armour.
Shoppers tapped into cash coupons and gift-with-purchase certificates through both in-store promotions and
centerwide lucky draws. The GM of the 4,736-sf Coach
store said the retailer achieved the highest opening-day
sales of any Coach outlet store in China.
The Nanjing center is at the junction of the S243
Highway and the G25 Expressway, about 30 miles south
of downtown Nanjing, and it is served by shuttle bus and
high speed rail. The 77-acre site has ample space for family
recreation, including a lakeside park with pedal boat rentals,
picnic grill space, childrens playground equipment and a
nine-hole miniature golf course topped off by a 165-ft
Ferris wheel. Eight food retailers are arrayed around the
central food court, which seats 500.
TOCs partner, WB Outlet Developments, is a
Hong Kong-based consortium that was key in
the land acquisition for the site. Nanjing, the
capital of Jiangsu province, has a metro population of 8.2 million.
Construction on a 114,100-sf phase 2 at
the center will start this year and open in

Nanjing East Outlets Tenants

summer 2017. A 104,400-sf phase 3 has also been proposed.

TOCs first Chinese project, Mega Mills, opened in Shanghai in January 2013. The two-level, 575,000-sf center is a
joint-venture with Shanghai Welead Investment Co., a unit of
the diversified Pearl River Investment Group. That center includes a nine-screen cinema, a 600-seat food court, a selection
of fast casual restaurants and more than 150 retailers, including Balmain, Furla, Gucci, Michael Kors, Roberto Cavalli,
Shanghai Tang, Ted Baker and Versace.
In December 2016, TOC opened with Gloria Hotel Group
the 210,867-sf Gloria Outlets in Taiwan (see page 20 for further
details). The Outlet! Company has not yet started a third mainland China project, but is considering both the Wuhan and
Zhuhai markets. The developer is also exploring the potential
for outlet centers in Philippines and Thailand. c

361
Able Jeans
Adidas
Aigle
Aigner
Anne Fontaine
ArcTeryx
Armani
Beaume
Braun Buffel
BTR
CGX
Charriol
Coach
Columbia
Converse
Crocs
Daniel Hechter
Delsey
Devil Nut
Diesel
Dkode
Ecco
Edwin
Eland
Embry Form
Eminent

Erdos
Ermenegildo Zegna
Etam
Fabi
Ferre Milano
Fila
Folder
Gap
Gas
Giovanni Valentino
Hasbro
He Feng Ting Ramen
Interesting Outdoor
I.T.
Jack Wolfskin
JB Martin
Jorya
Kailas
Kolping
Levis
Mandarin Collar
Modesto Bertotto
Mothercare
Nautica
Navigare
New Balance
Nike

Northland
One Way
Palladium
Patagonia
Paul & Joe
Peuterey
Plory
Ports
Rebecca
Replay
Rothschild
Royalway
Salomon
Samsonite
Satchi
Seiko
Starbucks
Stella Luna
Swarovski
Ted Baker
Teenie Weenie
Test-tube
Tru Trussardi
UGG
Under Armour
Yooki

The grand opening of Nanjin East Outlets was delayed to take

advantage of Chinas National Holiday, a time of huge promotions and merriment.
Wint er 2 0 1 6 I nt e r nat io na l O u t l e t J o ur n a l

19

Global Briefs
Resolution Property enters a new retail partnership
Resolution Property has formed
a joint venture with the Chinese investment group Fosun Property. Formed in
June 2015, the entity is called Resolution
Property Investment Management and
will act as Fosuns exclusive investment
manager across Europe. Through the
RPIM joint venture, Fosun Property will
be the cornerstone investor in the forthcoming Resolution Real Estate Fund V.
Resolution Property, which is approaching its 15th year as a value-add investor
in the European retail property sector,
will target Western and Central European
markets, especially gateway locations in
the United Kingdom, Germany, France,
Netherlands, Belgium, Spain, Scandinavia,
Poland, Hungary and Czech Republic.
The company will build on its extensive track record and proven asset
management approach as a pioneering
value-added investor in European outlet
and shopping center assets. It will seek
opportunities to reposition existing assets through reconfiguration, extension,
redevelopment, rebranding and re-engineering of the tenant line-up.
Meanwhile, Resolution is busy:
l Construction of the 8,000-m2 extension at Rosada Fashion Outlet in Roosendaal, Netherlands, will open in May.
New tenants will include Cecil, Street
One, Adidas, La Place, Van Gils, G-sus
and Gentiluomo.
l At Designer Outlet Soltau, centrally
located between Hamburg, Bremen and
Hanover in Germany, Puma has opened

Construction of the 8,000-m2 extension at Resolution Propertys Rosada Fashion Outlet will open in May. The center is in Roosendaal, Netherlands.

a 370-m2 store. The center is now fully

let with 2015 sales up 12 percent and
footfall up 7 percent.
l More than 40 percent of units in
the 12,000-m2 first phase of the newly
acquired Honfleur Outlet Centre in
Normandy are in legal hands or advanced negotiations. Phase 1 is due to
open in Q2 2017. The development is a
joint-venture with SHEMA, the French
public/private partnership.

The demand from top European

brands for strategically-located, high
quality outlet centers remains strong,
reflecting high footfall and healthy customer spending power in key regional
markets, said Michel Nangia, principal
at Resolution Property.
Resolution Property, founded in 1998,
has an outlet portfolio that includes
the aforementioned Rosada, Soltau and
Honfleur centers, as well as McArthurGlen Designer Outlet center in Troyes
and in Roubaix.

Holiday sales joyful

for Realms portfolio

Resolution acquired the 13,500-m2 Designer Outlet Soltau in 2014; the three-year-old
center is at the center of a triangle formed by Hamburg, Hannover and Bremen.
20

I n te rnational Ou tle t Journ al Winter 2016

The Realm portfolio of UK Outlet

Centres delivered particularly strong
year-end and New Year trading figures.
The 2015 totals for footfall were up by
5.1 percent and corresponding turnover
increased by 11.25 percent. While many
full price retailers suffered in the immediate run up to Christmas, the Realm
portfolio saw turnover swell by 6.82
percent in December as a whole, with a
stellar 20.8 percent uplift between Boxing Day and New Year.
The categories of sports and outdoor
wear, which have always been outlet

staples (there is a Nike in three out of

every four outlet centers in Europe),
are now very much in ascendancy as the
nation becomes more preoccupied with
health, fitness and wellbeing. Footwear
and apparel for running, gym and leisure
grew by 35 percent across the portfolio.
The eight UK centers operated by
REALM are:
l Clarks Village in Street
l Freeport Braintree
l Freeport Fleetwood
l Freeport Talke
l Junction 32 in Castleford
l Lakeside Village in Doncaster
l London Designer Outlet in Wembley
l Livingston Designer Outlet in Scotland

Realms 140,000-sf Lakeside Village, which opened in Doncaster, England in 1996,

is one of Europes oldest outlet centers.

Construction starts on Noventa di Piaves fourth expansion

McArthurGlen has begun construction a 50 million expansion of
its award-winning Noventa di Piave
outlet center near Venice. Polo
Ralph Lauren was the first brand
to sign up for a major store in the
extension, which is due to open by
spring 2017.
Opened in 2008, and with three
expansions under its belt since
then, McArthurGlen Noventa di
Piave is one of Europes most
visited designer outlets, welcoming more than 3 million customers annually. Brands operating

outlet concepts in the center include

Armani, Bottega Veneta, Brioni,
Burberry, Fendi, Ferragamo, Gucci,
Loro Piana, Marc Jacobs, Prada and
Versace.
Over the past three years, the center has recorded a 59 percent increase
in visitor numbers and 69 percent increase in sales. A popular destination
for international travellers, long-haul
tourist sales represent 25 per cent of
the centers total turnover. The stellar performance of the center is why
Noventa di Piave is a major flagship
in the McArthurGlen portfolio of 22

designer outlet centers, including

five in Italy.
The is 40 km from Venice with no
direct outlet competition and with
a population of nearly 5.5 million
within a 90 minute radius. The
26,000-m2 center has 132 luxury
and designer outlets, as well as
eight cafes and restaurants, The
newest expansion will add 6,000
m2 and 25 stores, as well as 1,000
parking places, bringing the centers
total to 3,500 parking spots.
Winner of the prestigious ICSC
Europes Best Established Shopping Centre Award 2015,
the Noventa di Piave
designer outlet village
features McArthurGlens
signature architectural
style of luxury piazzas, open walkways and
landscaped gardens in
Noventas case inspired
by the elegant palazzos of
Venice and Treviso.
McArthurGlen is also expanding four of its centers
this year:
n McArthurGlen Parndorf,
in Austria, 5,000 m2
n McArthurGlen Ashford,
in England, 9,290 m2
n McArthurGlen Serravale
in Italy, 12,500 m2
n McArthurGlen RoerMcArthurGlens Designer Village Noventa di Piave near Venice is one of the developers top mond in the Netherlands,
performers with a 69 percent increase in sales in the last three years.
15,000 m2
Wint er 2 0 1 6 I nt e r nat io na l O u t l e t J o ur n a l

21

Global Briefs
Fashion House Moscow will launch
second phase in November
Fashion House Group, the largest outlet developer in
the CEE and Russia, started construction in October 2015
on the second phase of its outlet center in Moscow. The
11 million, 4,500-m2 expansion to Fashion House Moscow
will open on November 4 with 30 new brands, all in time
for this years holiday season. The center, a 39,000-m2 enclosed mall the first fully enclosed outlet center in Russia
experienced more than 30 percent sales growth in 2015.
FH Moscow, which opened in June 2013, has become
a popular spot for wedding photos, according to CEO
Brendon OReilly. Whole wedding parties just show
up, he said. They love the big fountain and the interior
concept that has a different city theme for each shopping street. They can be photographed in London or
Milan or Paris right in Moscow.
Tenants in FH Moscow include Adidas, Reebok, Nike,
Puma, Lacoste, Le Creuset, Tommy Hilfiger, Benetton, Samsonite, Tom Tailor and Mango. The Red Carpet Alley, dedicated to the high-end fashion stores, includes Blumarine,
Baldessarini, Dirk Bikkembergs, Bea YukMui, P.A.R.O.S.H.,
Doucals, Moreschi, Zanotti, Luca di Marco and Versace.
FHG, which is part of Liebrecht & wooD Group, a European real estate development company established in 1991,
is also working on Fashion House Outlet Centre St. Petersburg. The centers site is 20 km south ofSt. Petersburgs
city center. The infrastructure, including road access, power
and water system connections, traffic lights and bus stops,
has been completed. The 70 million, 20,260-m2 project is
scheduled to open in spring 2017 with 120 store units.
FHG has delivered and currently manages five Fashion
House Outlet Centres: three in Poland (in Gdansk, Sosnowiec and Warsaw), one in Bucharest, Romania, and the center one in Moscow for a total GLA of more than 86,000 m2.
Fashion House Bucharest, which opened in 2008, added
three new tenants in late 2015 Sport Vision, R&R Boutique and Issimo Home and an expanded Tom Tailor store.
Sport Vision, 375 m2, is an international multi-brand
store operator that hosts more than 40 footwear, ap-

Millerchip promoted to
new position at Realm
UK outlet center operations and
management agency
Realm has appointed
Giles Millerchip head
of legal, a newly created position. Millerchip will be based in
the North West Office of Realm, sited
in Alderley Edge. He
Millerchip
was formerly head
of legal at McArthurGlen, which he
22

As the Russian ruble tumbles, shoppers head to Fashion

House Moscow, leading the developer to begin construction on
the projects phase 2, which opens November 4.

parel and equipment labels, including Nike, Adidas, Umbro, Reebok, Champion, Converse, Ellese, Puma, Sergio
Tacchini, Carrera, Karrimor and Slazenger
Issimo Home, 78 m2, a manufacturer of premium
home and bath textiles, operates 200 stores in Turkey
and has retail partnerships in 15 countries.
R&R Boutique, 144 m2, a shoe manufacturer, will operate a multi-brand concept featuring its own creations, as
well as international footwear brands.
Tom Tailor decided to expand its current store in
Fashion House Outlet Centre with an additional 173 m2,
which raised the total area of the store to 320 m2.
In the past 12 months, 10 other new tenants joined
the 20,451-m2 Bucharest outlet center: Guess, Mustang
Jeans, Spanish Kids, Kiddie Rides, Format Lady, Faith by
MD, Nissa, Napoleoni, TEDs, Lacoste & Gant. The center
is next to Bucharests ring road with direct access from
the A1 highway, 30 minutes from the city center. The
center has 2,150 parking places and 60 tenants, including Puma, Adidas, US Polo, Champion, Stefanel, Mango,
Ecco, Camel Active, Lee Cooper, Nissa, Lacoste and Gant.

joined in 2000 after prior experience with

several law firms in Chester and London.
Colin Brooks, managing director of
Realm, said, We are delighted to have
recruited Giles; he brings a wealth of
specialist legal and leasing experience to
the Realm business.

Rioja wins approvals

for Mill Green project
The joint venture of Rioja
Developments and U+I won district
council planning committee approval
on Dec. 5, 2015 for their 145 million

I n te rnational Ou tle t Journ al Winter 2016

Mill Green Designer Village project in

Cannock Chase, Staffordshire, England. Phase 1, with a planned opening
in 2018, would have 80 stores, with
another 48 stores and a multi-story
parking garage to be added in phase 2.
The ultimate buildout would encompass
255,730 sf.
The site is just off the major M6 Toll
Road at Eastern Way (Route A460),
about 15 miles northwest of central
Birmingham, and adjoins the Mill Green
Nature Park. The nearest competitor is
Genting Resorts Worlds 50-store Outlets at Resorts World Birmingham, about
30 miles away, which opened Oct. 15. c

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