- Continuing with the trend observed in recent quarters, the company with a presence in 16 cities in Chile, Peru and Colombia reported a 31% increase in sales in 2Q2022 compared to 2Q2019 and a conversion rate that was about 40% higher than the one registered in the same period in 2019.
- Mallplaza continued to close new business deals with premium and high-value brands during the period, among which the upcoming opening of IKEA in Mallplaza Oeste, four new Decathlon stores, 13 new H&M openings and 80 restaurants with the Mil Sabores Group, Chile’s biggest dining group, stand out.
Santiago, 30 August 2022 – Mallplaza reported solid results in the second quarter of the year in its latest financial statements, registering a 17% increase in revenues over the pre-pandemic levels (2Q2019) and 97% higher than those obtained in 2Q2021, making it the highest quarterly record since its stock market launch in 2018.Meanwhile, EBITDA was up 7% over the same period in 2019 and 121% higher than in the same period last year for a total of CLP 69.576 billion and a margin of 74%.
Regarding tenants’ sales, they increased by 31% over those registered in 2Q2019. They were 92% higher than in 2Q2021 and totaled CLP 1.15 billion, with conversion rates up 40% over the same period before the pandemic. Occupancy also improved, with 93% of area leased regionally. This is a 10% reduction in vacant m2 compared to the first quarter of 2022.
Renewal and updating of portfolio
During the quarter, progress continued to be made on the construction of Mallplaza Cali, which will be the company’s fifth urban center in Colombia and will have attractive tenants, with brands such as Zara, Berskha, Pull&Bear, Stradivarius, H&M, Decathlon, Ikea, Homecenter and Cinemark. The process of renovating and updating urban centers has also continued. In Chile, the new Mallplaza Vespucio stands out with a new entertainment area focused on improving recreational spaces and providing different options for all ages. It also has the biggest gamer zone in the region, known as the Movistar Game Club, and new Cinemark cinemas – with the first IMAX theater in this area of Santiago – and a renewed dining proposition with new formats and the development of “El Mercado,” Mallplaza’s latest bet inspired in the open culinary markets in big cities around the world. After Vespucio, this format – already a success in Mallplaza Buenavista in Barranquilla – will be replicated in Mallplaza Trébol in Chile, Mallplaza NQS in Colombia and Mallplaza Trujillo in Peru.
In Peru, the company has continued with the remodeling and expansion of Mallplaza Trujillo, in addition to forging ahead with the residential projects already announced in Mallplaza Norte and Velpucio and the incorporation of coworking spaces in areas of high population density.
Consolidation as urban centers
This solid quarterly performance is leveraged on the continued strengthening of the company’s business proposition, which seeks to be attractive and balanced for consumers, privileging spaces for socialization and entertainment. Thus, the portfolio includes 29% (by GLA) of Uses Complementary to Retail focused on the experience (Retaitainment, F&B, Entertainment, Mixed Use and others); 25% for Essential Businesses (Supermarkets, Home Improvement and Services) that promote daily traffic; 20% for Specialty Retail, with premium brands that are highly valued by consumers; and 25% for Traditional Retail.
“The positive results achieved during the second quarter of the year are the product of a business strategy and vision that – for example – has allowed us to consolidate the incorporation of premium and high-value tenants that are complemented by the potential of other categories to generate daily flows, such as the essential businesses that allow us to maintain a stable flow of daily visits in all our urban centers,” Plaza S.A. CEO Fernando de Peña said.
Mallplaza closed new business deals for 56,000 m2 in 2Q2022, which are added to the 215,000 m2 announced at the close of 1Q2022, of which 50% is already operational.Part of these m2 is destined to the Retailtainment and Coworking categories, along with the arrival of premium brands, which see Mallplaza as a strategic ally to grow in the region. This is the case with Decathlon, which is opening four new stores in Chile and Colombia; IKEA, which will open its largest store in Chile in Mallplaza Oeste and another two in Colombia; and H&M, which projects 13 additional stores to reach a total of 19 in our urban centers.
“Sellers’ and tenants’ continued confidence in Mallplaza’s value proposition is reflected in strategic alliances with high-value brands and other tenants that are new to the market, such as Cuesta Blanca, Happyland Adventure and Captain Fin, which are entering the category or a new market with the help of our urban centers. In addition to this is the agreement signed with Mil Sabores, Chie’s biggest dining group, to open 21,300 m2 of new restaurants in Santiago and regions so we can offer a leading and cutting-edge dining proposition,” De Peña explains.
Mallplaza continues to consolidate its omnichannel logistics chain. To this end, the 19 Click&Collect points currently operating in urban centers continue to be a key tool in terms of Home Delivery, contributing to the delivery of more than 86,000 packages in less than 48 hours over the last year. Meanwhile, the 13 Pitstop points serve over 300 restaurants and have delivered over 1.4 million orders in the last year. In addition, in terms of payment the company enabled free-flow payment of parking services in Mallplaza Vespucio, Mallplaza Norte and Mallplaza La Serena through the Fpay digital wallet, allowing frictionless payment and an enhanced visitor experience. To date, 62,000 people have registered. This development will continue to be implemented in the rest of the company’s urban centers in 4Q2022.
Visitors have received the strengthened value proposition with multiple visit purposes well and have made Mallplaza a preferred destination, with 65 million visits in the quarter, in addition to a high level of promotion, with sustained increases in the NPS – an indicator used in the industry to measure customer loyalty based on their recommendations – enhanced with the new experiences detailed above, such as the new free-flow payment system for parking.
Lastly, in the context of its commitment to achieve carbon neutrality by 2030, Mallplaza reached two important milestones in NCREs. Since May, 100% of the power consumed by its operations in Chile has come from NCRE sources. In addition, Mallplaza Bellavista in Lima has begun to supply itself with 100% NCRE, making it the company’s first urban center in Peru to incorporate the consumption of clean energy.
