According to leading South African property investor and developer Atterbury, more people are coming back to shopping centres with outdoor spaces sooner.
“Our open-air restaurant and shopping spaces are clearly leading shopper returns while COVID-19 remains a reality. We have always believed outside spaces to be an integral part of most retail centres, and they are proving their worth as a key element of the retail experience during this extraordinary time in history. Atterbury has the advantage of having included great open-air spaces in many of its developments right from the start, so we are well positioned to benefit from this trend,” reports Atterbury Asset Manager Adelene van der Westhuizen.
She adds, “South Africa has glorious weather. People want to enjoy it. Thus, it is crucial for us to get the correct balance between inside and outside retail. Our centres’ outdoor spaces help our retailers and restauranteurs to make the most of our sunny climate.”
Atterbury has a well-established reputation as a leading developer and a long-term investor in property assets. Its portfolio of income-producing assets is enhanced by its exceptional asset management skills through which it unlocks value and income. Atterbury’s portfolio of self-developed retail assets with signature outdoor experiences includes Castle Gate Lifestyle Centre, The Club, which is part of the Old East Precinct with The Village in Pretoria, Newtown Junction in Johannesburg, as well as Mall of Africa in Midrand, and Grove Mall in Windhoek and Dunes Mall in Walvis Bay.
At these destinations, Atterbury creates al fresco experiences typically decorated and activated with public art, parks, trees and greenery, water features, and children’s play areas. Also, they include many thoughtful special touches that create little visual points of interest in unexpected places, sparking the joy of discovery as they are revealed along a guest’s journey.
“It is clear that people feel most comfortable using outdoor areas but also favour open-air places that are inviting and energised, yet relaxing,” says van der Westhuizen.
Castle Gate, having opened on 26 November 2020, has excelled at attracting many families and locals with its inviting and enjoyable dining piazza and tailor-made kids play area.
Old East Precinct saw a rapid rebound in patrons, with its many and varied outdoor options. For instance, in this precinct, in September, October and November 2020, restaurants outperformed their trading for the same months in 2019 – some even showing double-digit growth.
This vibrant Pretoria precinct proved particularly popular in December before the lockdown restrictions were once again tightened. Van der Westhuizen believes this is likely the result of fewer locals going on holiday but still seeking safe, outdoor social and recreational experiences.
“All credit must go to the many restaurant tenants across Atterbury’s portfolio, which managed their businesses exceptionally during the different levels of restrictions. Most made full use of all their exterior and interior space to achieve the best capacity while staying within all regulations and helping customers feel safe and comfortable. We have worked closely with our restaurant tenants with outdoor areas, to optimise this advantage and support their positive trading. Atterbury strives to encourage, motivate and facilitate our tenants to use all the space, ideas and innovations at their disposal to maximise the benefits of their setting, and together we’ve seen good results,” confirms van der Westhuizen
Eateries aren’t the only retailers benefitting from outside settings. Van der Westhuizen points out that open-air shopping centres also provide a superior level of convenience, making it quick to pop-in to these shops for those who don’t yet want to spend too much time in public places.
Another great aspect of outdoor areas is that they make it easy to offer ever-changing attractions at shopping centres - from pop-ups and live entertainment to seasonal-themed events and markets - and do so safely within COVID-19 protocols best practice.
“These spaces add flexibility, variety and newness to a property, enticing people to come and enjoy new experiences in a place they know and love time and time again. This is especially important now when people are craving experiences and connection,” says van der Westhuizen.
Atterbury believes it is important for its asset management and development management teams to collaborate when crafting the blueprint for any project. “Good asset management begins with knowing your market and your tenants and then creating assets that appeal to both. We apply our experience and data-driven insights about shopping patterns from sources such as Fatti, which tracks and analyses shopper behaviours,” explains van der Westhuizen. “When assets are developed in this way, they benefit from having the best possible starting point and are a pleasure to manage from day one.”
Of course, retail is dynamic, and there is always room for improvement, and Atterbury continuously monitors its shopping centres for potential areas of enhancement to optimise performance. However, with a good start, only small tweaks are usually required, and these often relate to centre operations and can be applied by on-site management teams.
Asked if South Africa’s winter months will freeze out customers’ return to outdoor venues, van der Westhuizen says no, not as long as outdoor socialising in small groups remains the safest way for people to gather.
“We’re lucky to enjoy sunshine on most winter days, especially as you move north up the country.
Most of our shopping centre assets with piazzas are in areas with no winter rainfall. Good restaurants also provide cosy experiences in colder months, offering guests the warmth of outdoor gas heaters and blankets,” concludes van der Westhuizen.
