What Is A “Shopping Center”?
Excerpted from: Kramer, Anita et al. Urban Land Institute. RetailDevelopment. Washington, D.C.: ULI-the Urban Land Institute, 2008.space, entertainment, and food service. The notionof community has evolved so that today the connection to community is literal (with newly created streetsinternal to a development site linked to existing streetsand storefronts directly on existing streets), interactive(gathering places specifically designed to encouragemeeting, eating, and greeting), and aspirational (bringingstores together that reflect how customers view themselves, their community, and their environment).These changes after years of mostly stand-apartshopping center development have led to the perception that many of these new formats are not necessarily shopping centers but something else—districts,downtowns, or just the center of a community. Theydo, in fact, function as shopping centers, but to reflectthe changes in formats and commonly used descriptiveterms, which are in turn based on trends that are growing stronger and broader and have produced numerousbenefits for shoppers and their communities, the titleof this book has been changed from Shopping CenterDevelopment Handbook (the previous edition in 1999)to Retail Development.Notwithstanding new developments in shopping centers, the fundamentals of development or redevelopmentremain the same—the need to determine feasibility;finance the project; plan and design the site, buildings, and4 Retail DevelopmentCOURTESY MCCAFFERY INTERESTS, INC.The Market Common, Clarendon,in Arlington, Virginia, is one ofthe early examples of a successful open-air retail center in amixed-use, urban infill setting.McCaffery Interests, the developer, drew inspiration from Mizner Park in Boca Raton, Florida.The first and largest phase ofMarket Common is built arounda new U-shaped road andcourtyard. The approximately250,000 square feet (23,235 squaremeters) of retail in this phaseincludes two-story anchor tenants in the end-cap locationsand at the far end of the loopedroad. Apartments and offices riseabove the retail. Before development, the site was a 600-spacesurface parking lot. Parking isnow primarily subterranean.parking; develop and implement a tenanting strategy; andmanage and operate the project when it is open. Thesefundamentals are covered in detail in subsequent chaptersand apply to both traditional shopping centers, new formats, and all the variations and hybrids in between.What Is a “Shopping Center”?Distinct from other forms of commercial retail development, the shopping center is a specialized, commercialland use and building type. Today, shopping centersare found throughout the world but until the late 1970sthrived primarily in U.S. suburbs, occurring only rarelyin downtowns or rural areas. Over the years, shoppingcenters have been transformed from a suburban concept to one with much broader and varied applicationsand locations. The Urban Land Institute standardizedthe definition of “shopping center” and related terms.In 1947, ULI defined a shopping center as:. . . a group of architecturally unified commercial establishments built on a site that is planned, developed, owned, andmanaged as an operating unit related by its location, size, andtype of shops to the trade area that it serves. The unit provideson-site parking in definite relationship to the types and totalsize of the stores.1
STEINER ASSOCIATESZona Rosa, with its town centerformat, creates a destinationin the northern Kansas City,Missouri, suburbs. Architecturaldissonance in the retail centermakes it seem as though theproject evolved over the decadesand reinforces a sense of placefor the community. The lack ofsigns with Zona Rosa’s name atthe site or nearby undergirds thenotion that Zona Rosa is a place,not a shopping center.STEINER ASSOCIATESZona Rosa during construction.In the decades that followed, ULI refined this definition so that a shopping center must also have a minimum of three commercial establishments, and, in thecase of urban shopping centers, its on-site parkingneeds may be related not only to the types and sizes ofthe stores but also to the availability of off-site parkingand alternate means of access.Although the scope of this revised definition stillappears broad, it actually is rather restrictive and excludesmuch retail development. Individual retail stores, evenwhen grouped side by side along streets and highwaysor owned by a single owner, are excluded if they are notcentrally managed. Thus, any number of commercial stripsor downtown shopping clusters do not qualify as shoppingcenters, although they may constitute significant shoppingdistricts. On the other hand, an intergrated shopping center can form the nucleus of a shopping district in an existing or emerging commercially zoned area, or it may represent the first project around which other commercial landuses eventually are developed. Today, what may appearto be individually managed shops may actually be centrallymanaged, as in the case of a well-integrated infill project.Introduction 5
; Coordinated architectural treatments, concepts, orthemes for the building or buildings, providing spacefor tenants that are selected and managed as a unitfor the benefit of all tenants. A shopping center isnot a miscellaneous or unplanned assemblage ofseparate or common-wall structures. Moreover, acoordinated architectural approach does not implythat all buildings must appear the same. On the contrary, architectural diversity in style and height amongbuildings and/or tenants is desirable for tenant identity, project authenticity, and overall enjoyment of theshopping experience. It does mean that overall planning and control are important.; A unified site suited to the type of center called forby the market. The site may permit expansion ofbuildings and addition of new buildings, uses, or parking structures if the trade area and other growth factors are likely to demand them.; An easily accessible location in the trade area withefficient entrances and exits for vehicular traffic aswell as convenient and pleasurable access for transitCOURTESY McCAFFERY INTERESTS, INC.The following elements more fully describe the wellplanned shopping center and set it apart from othercommercial land uses:The Market Common, Clarendon, in Arlington, Virginia, took advantage ofthe underdeveloped site’s proximity to a mass transit station and the needfor greater density. This pedestrian-oriented development revitalized theClarendon neighborhood with approximately 303,000 square feet (28,000square meters) of retail, 87 residential townhouses, and 300 apartments.COURTESY THE NICHOLS PARTNERSHIPIn addition to two undergroundparking garages, Clayton Lanein Denver, Colorado, includesa mixed-use parking structure:a five-level, 454-space parkinggarage with 16,000 square feet(1,490 square meters) of streetretail, 5,300 square feet (490 squaremeters) of office space, and a21,000-square-foot (1,950-squarefoot) Sears Auto Center in thebasement of the structure.6 Retail Development
COURTESY EDAW/PHOTOGRAPH BY DIXI CARRILLOKierland Commons—a mixed-useretail center in a master-plannedcommunity in Scottsdale, Arizona—incorporated extensive landscapingand large sidewalk canopies tocreate a comfortable and aesthetically pleasing atmosphere.passengers, where appropriate, and pedestrians fromsurrounding development.; Sufficient on-site parking to meet demand generated by the retail uses. Parking should be arrangedto enhance pedestrian traffic flow to the maximumadvantage for retail shopping and to provide acceptable walking distances from parked cars to centerentrances and to all individual stores. Where alternative modes of transit are available, the definition of“sufficient” may change.; Service facilities (screened from customers) for thedelivery of merchandise.; Site improvements such as landscaping, lighting, andsignage that create a desirable, attractive, and safeshopping environment.; A tenant mix and grouping that provide synergisticmerchandising among stores and the widest possiblerange and depth of merchandise appropriate for thetrade area and type of center.; Comfortable surroundings for shopping and related activities that create a strong sense of identity and place.Although some shopping centers may not exhibitall these characteristics, the most successful shoppingcenters project a strong overall image and a clearlyidentifiable orientation for customers and tenants alike.Unified ownership and management and joint promotion by tenants and owners make it possible.Each element in a shopping center should beadapted to fit the circumstances peculiar to the site,neighborhood, development concept, and market. Innovations and new interpretations of the basic featuresmust always be considered in planning, developing,operating, and remaking a successful shopping center.To succeed, each center must be not only profitable butalso an asset to the community where it is located.Shopping Center TermsSeveral terms commonly used in the shopping centerdevelopment and management industry are used inthis book:; Gross leasable area (GLA) is the total floor areadesigned for a tenant’s occupancy and exclusive use,including basements, mezzanines, or upper floors,expressed in square feet (or square meters) and measured from the centerline of joint partitions and fromoutside wall faces. It is the space, including sales areasand integral stock areas, for which tenants pay rent.2The difference between gross leasable area andgross building area (GBA) is that enclosed commonareas and spaces occupied by centerwide supportservices and management offices are not included inGLA because they are not leased to individual tenants.Specifically, GBA includes public or common areas suchas public toilets, corridors, stairwells, elevators, machineand equipment rooms, lobbies, enclosed mall areas,and other areas integral to the building’s function. Theenclosed common area may range from less than 1percent in completely open centers to 10 to 15 percentIntroduction 7
Development of Lowry’s town center began in July2001. Although the original master plan for the site ofthe former Lowry Air Force Base in the center of metropolitan Denver called for the area to be developed as abusiness park, it soon became clear that the communityneeded a town center that would integrate a varietyof uses in a pedestrian-friendly environment. The firststep in developing the town center involved transforming a once-residential building that had been convertedto military offices back to residential use, albeit a verydifferent one. Although at the time of the base closingthe building was being used as the base headquarters,the Lowry Redevelopment Authority (LRA)—facinga difficult commercial market at the turn of the 21stcentury—decided to sell the structure so that it could berenovated into a 261-unit apartment project. The building’s size and shape allowed for more than 50 differentfloor plans and some unusual features, including several1,000-square-foot (93-square-meter) decks. This project,which was completed in 2000, kicked off residentialdevelopment in the Lowry Town Center District.By then, Lowry had enough rooftops to attract retailers. The LRA selected Englewood, Colorado–basedMiller Weingarten Realty as the retail developer, andthe firm began negotiating with grocery store chainsto select an anchor for the planned neighborhoodretail center. All the chains identified as potential tenants wanted to build large stores with frontage onQuebec Street, a location and orientation that wouldhave turned its back on the Lowry community. It wasin centers developed as enclosed malls. Because thepercentage of common area varies with the design ofthe center, the measurement of GLA was developed.; The parking index also uses GLA to determine theappropriate number of parking spaces for a shoppingcenter, because it affords a comparison between theshopping area and the parking demand from shoppers.In defining the relationship between the demandfor parking and the building area of a center, theshopping center industry developed a uniform standard by which to measure parking needs. The standard, known as the “parking index,” is the numberof parking spaces per 1,000 square feet (93 squaremeters) of GLA. (See Chapter 4 for a detailed discussion of parking needs.); Trade area is that geographic area containing peoplewho are likely to purchase a given class of goods or8 Retail DevelopmentCOURTESY LOWRY REDEVELOPMENT AUTHORITYRetail Development in a Master-Planned Community: Lowry’s Storya two- to three-year struggle to attract a firm willingto build a smaller full-service supermarket in the towncenter district. By remaining patient, the LRA got whatit wanted—a 50,000-square-foot (4,645-square-meter)Albertson’s store that now anchors the town center’sinline retail and restaurant offerings. Once the supermarket was built, the town center became an activeplace, and additional development followed. Today, thetown center district contains approximately 500 residential units, schools, parks, a museum, office space,130,000 square feet (12,100 square meters) of retail,and recreational uses. Buildout is expected in 2009.Source: Excerpted and adapted from Urban Land Institute’s Development Case Studies, April–June 2006.services from a particular shopping center or retaildistrict. The size of the trade area varies based on theshopping center type and size, tenant categories, proximity of competitive centers, level of distinctivenessand innovation, population density, and accessibility.The trade area is usually expressed as primary or secondary. Defining a trade area and the role it plays indevelopment decisions is discussed in Chapter 2.Types of Retail GoodsRetail goods are classified as shopper goods, convenience goods, specialty goods, and impulse goods.; Shopper goods are those on which shoppers spendthe most effort and for which they have the greatestdesire to comparison shop. The trade area for shop-
FIGURE1-1Characteristics of Shopping CentersUsual MinimumApproximate MinimumLeading TenantTypical GLAGeneral Range in GLASite AreaPopulation SupportType of Center(Basis for Classification)(Square Feet)(Square arket, 150,000600,000300,000–900,00010–60150,000 or more1,000,000600,000–2,000,00015–100300,000 or morepharmacy, discountdepartment store, mixedapparel (women’s/men’s/children’s)RegionalOne or two full-linedepartment storesSuper RegionalThree or more full-linedepartment storesper goods tends to be governed by the urge amongshoppers to compare goods based on selection, service, and price. Therefore, the size of the trade areafor shopper goods is affected most by the overallavailability of such goods in alternate locations.; Convenience goods are those that consumers needimmediately and frequently and are therefore purchased where it is most convenient for shoppers.Shoppers as a rule find it most convenient to buysuch goods near home, near work, or near a temporary residence when traveling.; Specialty goods are those on which shoppers spendmore effort to purchase. Such merchandise has noclear trade area because customers will go out of theirway to find specialty items wherever they are sold. Bydefinition, comparison shopping for specialty goods ismuch less significant than for shopping goods.; Impulse goods are those that shoppers do notactively or consciously seek. In stores, impulse goodsare positioned near entrances or exits or in carefully considered relationships to shopping goods.For example, a table of scarves or other accessoriesmight be located between the entrance and thedress department in a women’s clothing store. In ashopping center as well, certain stores are stockedprimarily with impulse goods—costume jewelry,accessories, snack food, for example. Such tenantsneed positions in a center where they can benefitfrom traffic generated by stores selling shopping,convenience, and specialty goods. Many of the storesselling impulse goods could not exist outside shop-or moreping centers because they require anchor tenants toattract customers.Types of Shopping CentersThe major tenant classifications in a shopping center and,to a lesser extent, the center size and trade area determine the type of center. Size alone or size and configuration are inadequate to define shopping centers becausethey imply a direct correlation between size and all otherfactors—trade area, tenant characteristics and mix, andcategories of retail goods. This handbook classifies shopping center types by using all these factors.Figure 1-1 compares the characteristics of the majortypes of shopping centers. The numbers shown onthe table must be regarded as the broadest indicatorsto define the various types of centers; the basic elements of any center may change if it needs to adapt tothe changing characteristics of the trade area, including the nature of the competition, population density,and income. The number of people shown as neededto support a shopping center of any type cannot inactuality be fixed because income, disposable income,competition, and changing tenant mixes, methods ofmerchandising, and store sizes all enter into these calculations. No rigid standard population for size of tradearea could be realistic; local conditions in a trade area(number of households, income, existing retail outlets)are more important than any standard population datain estimating the purchasing power needed to supporta center.Introduction 9
Convenience Shopping CentersConvenience centers contain a small group of shopsand stores that provide a limited range of services. Tenants most frequently found in convenience centers arerestaurants and other food services; personal servicessuch as dry cleaners, beauty parlors, and nail salons;professional services such as medical doctors, dentists,and finance, insurance, and real estate offices; smalldrugstores or pharmacies; and convenience markets.3In denser urban areas where convenience centers maybe part of a larger shopping district, tenants may offermore high-end shopper and specialty goods.A convenience center is typically about 20,000square feet (1,860 square meters) of GLA, but it doesnot exceed 30,000 square feet (2,800 square meters).4Customers typically live near the center and walk ordrive to it on the way to other activities.Neighborhood Shopping CentersNeighborhood centers provide for the sale of convenience goods (food and food service, drugs, sundries)and personal services (those that meet the daily needsof an immediate neighborhood trade area). The principal anchor tenant in most neighborhood centers is asupermarket or superstore that combines grocery shopping with a pharmacy and other convenience goods10 Retail DevelopmentCOURTESY FEDERAL REALTY INVESTMENT TRUSTThe community shopping centeris the most varied type of shopping center in terms of anchors,market size, and drawing power.The Village at Shirlington inArlington, Virginia, sits directly offa major highway and, in additionto a grocery store, offers a varietyof entertainment—a cinema, aperforming arts theater, a library,and restaurants. The center, in afirst-ring suburb of Washington,D.C., is now the second locationof a hip independent restaurantstarted in downtown Washington.and services.5 Consumer shopping patterns show thatgeographical convenience is the most important factorin determining a shopper’s choice of supermarkets. Awide selection of merchandise and customer serviceis a secondary consideration. Other principal tenants inneighborhood centers are drugstores and small variety ordollar stores.The neighborhood center ranges from 30,000 to100,000 square feet (2,800 to 9,295 square metesr)of GLA, with a median size of about 60,000 squarefeet (5,575 square meters), based on a sample of 244centers.6 Requiring a site of thre
percentage of common area varies with the design of the center, the measurement of GLA was developed. ; The parking index also uses GLA to determine the appropriate number of parking spaces for a shopping center, because it affords a comparison between the shopping area and the parking demand from shoppers.
Online shopping market by sector. 3 : 2.3 Online shopping market by product category 5 2.4 . Leading retailers in the online shopping market : 6 . 2.5 Forecasts of the online shopping market 7 2.6 : Consumer use of online shopping services . 7 : 2.7 Online non-food shopping market 8 2.8 . Online grocery shopping market: 10 . 2.8.1
Shopping Center Sales 2.49 trillionYear-on-Year Change 2.6%Shopping Center Sales per Capita 7,875Shopping Center Sales % GDP 14.8% Shopping Center GLA of Total Retail Space 45.4% EMPLOYMENT Total Retail Employees 15.1 million Total Shopping Center Employees 12.5 million Shopping Center GLA 7,487,402,518 sq. ft
The bricks are stacking up well for the shopping center industry. Sales are increasing and shopping centers are growing. Total shopping center sales for 2012 topped 2.4 trillion – an increase of 2.8% over 2011. Shopping center sales account for over half of retail sales in the U.S. i Shopping centers have also grown in numbers and in gross .
Where Is My Shopping Cart? 1. Click the Shop icon, hover over My Carts And Orders, and click View Draft Shopping Carts. 2. To open a specific shopping cart, click the appropriate Shopping Cart Name. 3. To access your active shopping cart, click the shopping cart Quick Link (top right). Click the View My Cart button. Add Prevailing Wage Checkbox
society poses using online shopping and also its advantages over traditional Shopping. Keywords: Online Shopping, e-commerce, Traditional Shopping etc. INTRODUCTION Online shopping is a trade dealing with e-commerce. The act of purchasing products or services over the internet is kno
The shopping cart view provides many options to edit the shopping cart: Export shopping cart (XML): By using this function the shopping cart can be exported as an XML file. Export shopping cart (CSV): The shopping cart can be exported as a CVS file by using this function. Export sho
Renaming Shopping Carts: Every shopping cart receives a default name. We recommend that you rename your shopping carts to better identify your shopping cart's contents and to locate the subsequent requisition/order. This is especially helpful if you have multiple shopping carts in progress at once.
Research also demonstrated that online shopping is better than conventional shopping due to convenience and ease of use (Nazir et al., 2012). In a previous study done on adoption and usage of online shopping, it was established that attitude towards online shopping depends upon the view of the consumers regarding the activities carried out on
