Flanagan & Gerard’s portfolio of shopping centres recorded strong mid-year trading, achieving double-digit turnover growth in June and July 2022.
Across all the property group’s shopping centres, turnover growth in June 2022 was up 12% year-on-year, notwithstanding SA’s retail sales moving backwards 2% during the same month.
The portfolio, with a low vacancy rate of 0.45%, delivered 20% turnover growth between July 2021 and July 2022 which includes the impact of the July 2021 unrest that interrupted trading at some malls.
“Regional malls are bouncing back. Footfalls are up year-on-year and moving higher than pre-Covid numbers for the first time, while spend-per-head has increased significantly,” reports Paul Gerard, Managing Director of Flanagan & Gerard.
“Our restaurants are trading well and ahead of pre-Covid levels. Cinemas have rebounded and are displaying a similar pattern. Liquor stores are showing massive growth in trading. In our portfolio, we are seeing great results from Edgars’ new management and from Game’s new strategy. It is particularly exciting to see national retailers bringing new brands to market,” says Gerard.
The continued reality of load shedding has given malls with backup power a competitive edge in attracting shoppers. Flanagan & Gerard aims to have all its retail assets function fully during power disruptions for which it employs a combination of solar energy and backup generation, and it will continue to increase the solar power generation capacity at its shopping centres.
The group co-owns Ballito Junction Regional Mall in KwaZulu-Natal as well as Morningside Shopping Centre, Springs Mall, and Vaal Mall in Gauteng, together with Highveld Mall and Middelburg Mall in Mpumalanga, and Thavhani Mall, Musina Mall, Great North Plaza, and Mall of the North in Limpopo.
Flanagan and Gerard’s new shopping centre, the 24 000m2 Boardwalk Mall, is due to open on the 22nd of September 2022.
