Achieving extra income from a property investment, other than from standard tenancy, is becoming increasingly important for investors, but there is a balance to be struck. Clogging up mall areas and compromising other shopper utility can easily compromise long-term value for a relatively short-term gain.
Balmain Property Management has a different approach, in which we actively seek to achieve the right balance to both maximise revenue and achieve longer leases. For example, we have a track record of being able to maximise revenue from casual mall leased units by placing fewer traders in optimal places at a higher rent.
We believe that many mall traders may in fact become full-blown retailers with the right assistance and support hence we actively manage vacant shop temporary leasing by encouraging mall traders to use that space.
There are more than 50 million customers a year in Poland visiting Balmain’s asset managed properties, which means that we are able to deliver innovative short to long-term income solutions.
In any event, non-standard income commercialisation is considered a long-term value-add activity in the Balmain Property Management view, not as a short-term discount market, as is often the case. Irrespective of whether we bring in casual tenancies by the week or the month, lease space on roofs or walls, generate promotional or create income through vending machines or other attractions, we make a point of ensuring that our investors’ goals of income and capital value are met.