Galeria Sandecja, Nowy Sącz

Nowy Sącz, Poland

Planned operational measures:

  • Retain a high occupancy rate.
  • Continue to convert temporary leases into ordinary leases on terms and conditions satisfactory to the Group.
  • Extend the non-terminable period of contracts with key tenants where this has not already been done.
  • Optimise the tenant mix by, i.a., replacing weak tenants.
  • Upgrade the first floor with, i.a., discount stores offering a wide range of low-price products.

Having been strongly affected for some time by a competing centre that opened in autumn 2013, Galeria Sandecja is once again rallying, although at a slower pace than previously expected. Various initiatives implemented in the past few years, including efforts to create a strong mix of tenants on the ground floor and upgrade the first floor, have helped stop the negative trend in revenue and footfall. The revenue index for 2017 to date is 112 relative to the same period of 2016, and the footfall index is 102.

In light of the improved situation, a letting strategy for the next year has been defined with initial focus on converting short-term leases into ordinary leases with long non-terminable periods. This process is currently ongoing. At the same time, the centre’s food court has been upgraded. The occupancy rate is 97%.