ASSIGNMENT

Of
(Project Management)
on
Project Report on Construction of Shopping Mall

MBA (2023-25)
SEMESTER - 04

Submitted To: Submitted By:

Mr. Shobhit Garg Rohit kumar
MBA – Finance
(23261382)
 Introduction

This project report outlines the planning, execution, and management of the construction of a
shopping mall. The project aims to address the growing demand for integrated retail and
entertainment spaces in urban areas. The report details each phase of the project from
conceptualization to completion, covering key management components such as project
scope, stakeholders, work breakdown structure, budget, scheduling, market analysis, and
social impact.

Project Scope

The scope of the project includes the complete lifecycle of constructing a shopping mall—
from site acquisition to commissioning and handover. Key activities include design and
engineering, procurement of materials, civil works, electromechanical installations, interior
finishing, leasing, and marketing. The mall will include retail shops, a multiplex, food courts,
parking, and recreational areas.
 Site Selection and Analysis for a Shopping Mall

Selecting the right site is critical to the success of a shopping mall. It impacts customer
footfall, tenant interest, logistics, and long-term profitability.

Here’s a step-by-step guide to effective site selection and analysis:

1. Location Analysis

A. Demographics

 Population density within a 3–10 km radius.

 Age group distribution (e.g., young professionals, families).

 Income levels and spending power.

B. Accessibility

 Proximity to major roads, highways, and public transport..

 Walkability score for urban malls.

C. Visibility

 Main road frontage.

 High-traffic areas (vehicle and pedestrian).

2. Competition and Complementary Zones

A. Existing Malls & Retail Clusters

 Distance from nearest mall or big box store.

 Market saturation vs. retail gaps.

B. Complementary Businesses Nearby

 Offices, colleges, hospitals, residential colonies.

 Parks, cinemas, event venues (help drive secondary traffic).

 Design and Vision in Creating a Shopping Mall Construction Plan

The design and vision phase is where the strategic concept of the mall is developed and
translated into architectural and experiential elements. It bridges the gap between business
goals (profitability, footfall, tenant mix) and physical form (space, aesthetics, user flow).

Here’s a complete breakdown:

1. Vision Statement

This defines the core identity of the mall:

 What kind of experience are you offering?

 Who is your target audience?

 What will differentiate your mall from others?

Example Vision Statements:

 Luxury Lifestyle Hub: “To create a world-class luxury retail and lifestyle destination
blending fashion, fine dining, and premium entertainment.”

 Family Destination Mall: “A vibrant, safe, and entertaining space for families,
offering shopping, play zones, and community activities under one roof.”

 Tech-Driven Urban Mall: “To be the most connected and tech-enabled urban retail
destination for young professionals.”

2. Conceptual Design Components

A. Theme & Aesthetic

 Choose a cohesive theme (modern, eco-friendly, cultural, futuristic).

 Align architecture, interior design, landscaping, and signage with the theme.

B. Space Programming

Define the functional zones:

Area Purpose

Anchor Stores Major retail draw (e.g., department stores, supermarkets)

Inline Retail Shops Clothing, electronics, personal goods

Food Court Quick service restaurants with common seating

Fine Dining Standalone restaurants or rooftop dining

3. Layout & Flow Planning

A. Zoning

 Divide spaces to optimize customer movement and create natural paths.

 Group similar stores together (fashion zone, electronics zone, etc.).

B. Circulation

 Main circulation loop: A continuous flow connecting key anchor stores.

 Vertical circulation: Placement of elevators, escalators, and stairs for easy access.

4. Architectural Design Vision

A. Façade & Entrance

 Design eye-catching entrances and a modern façade to establish brand identity.

 Use materials like glass, stone, aluminum composites for a sleek look.

B. Interior Design Vision

 Premium finishes (tiles, lighting, art installations).

 Color schemes aligned with your brand and theme.

5. Deliverables of the Design & Vision Phase

 Vision statement document.

 Conceptual floor plan and zoning layout.

 3D renderings of key areas.

 Financing and Budgeting in Creating a Shopping Mall Construction
Plan

Financing and budgeting are crucial pillars of a successful shopping mall project. A clear
financial strategy ensures the project is economically viable, attractive to investors, and
capable of handling unforeseen risks during construction and operation.

1. Sources of Financing

A. Equity Financing

- Promoter/Developer Investment

- Private Equity Firms

- Real Estate Investment Trusts (REITs)

- Joint Ventures (with landowners or investors)

B. Debt Financing

- Bank Loans / Construction Finance

- Requires detailed feasibility, collateral, and a repayment plan.

2. Cash Flow and ROI Planning

A. Cash Flow Planning

- Identify when funds are needed (land first, then design, then phased construction).

- Create a monthly or quarterly Cash Flow Forecast.

B. Revenue Projections (Post-Completion)

- Rental Income (fixed + revenue sharing)

- Common Area Maintenance (CAM) Fees

3. Cost Control Measures

- Use value engineering to optimize design without sacrificing functionality.

- opt for design-build contracts to reduce change orders and delays.

- Monitor costs using project management software (e.g., Primavera, Procore).

 Permits and Approvals for a Shopping Mall Construction Plan

Securing the right permits and regulatory approvals is essential for legal compliance, smooth
construction, and long-term operations of a shopping mall. This process involves multiple
government bodies, and the exact requirements can vary depending on your country, state,
and municipality.

1. Land-Related Approvals

Permit/Approval Purpose Issuing Authority

Land Title Confirms legal

Revenue Department
Verification ownership

Urban Development
Confirms land is zoned
Land Use Certificate Authority / Town
for commercial use
Planning

Converts agricultural or
Conversion Local Municipality or
residential land to
Certificate (if needed) Tehsildar Office
commercial use

Encumbrance Confirms no legal

Sub-Registrar Office
Certificate liabilities on the land

2. Pre-Construction Approvals

Permit/Approval Purpose Issuing Authority

Approves Local Municipal

Building Plan
architectural layout Corporation or Town
Sanction
and design Planning Dept

Environmental For large-scale or State Environmental

Clearance ecologically Impact Assessment
sensitive sites Authority (SEIAA) /
 Permit/Approval Purpose Issuing Authority

MoEF

Fire safety
Fire Department
compliance (design Fire Services Department
NOC
phase)

Approves
Water & Sewage Water Board / Municipal
connection to city
Connection Approval Body
utilities

Approval for
Electricity Load Electricity Board or
electrical
Sanction DISCOM
connection & load

Tree Cutting
If trees need Forest Department or
Permission (if
removal Local Authority
applicable)

3. Construction Phase Permits

Permit/Approval Purpose Issuing Authority

Commencement Legal permit to begin Municipal or Local

Certificate (CC) construction Planning Authority

Ensures labor laws and

Labor Registration &
worker safety Labor Department
Welfare Compliance
compliance

Air/noise pollution
Pollution Control NOC Pollution Control
control during
(Construction) Board (PCB)
construction

Electrical
Lift/Elevator Installation Required for elevator
Inspectorate / Lift
Permit installation
Inspector
 Permit/Approval Purpose Issuing Authority

Temporary Power &

For construction use Local utilities
Water Connection

4. Post-Construction / Pre-Operation Approvals

Permit/Approval Purpose Issuing Authority

Occupancy Certificate Certifies building is fit for Municipal

(OC) use Corporation

Inspection of fire systems

Final Fire Safety NOC Fire Department
and escape routes

Building Completion Confirms construction Building

Certificate followed sanctioned plan Department

Trade License / Allows the mall to operate

Local Municipality
Business License commercially

Approval for public use of Electrical or Lift

Lift Operating License
elevators Inspectorate

For billboards and Municipal

Signage Permission
external signs Advertising Dept

Approves parking layout Transport / Traffic

Parking Approval
as per local norms Dept
 Construction and Project Management for a Shopping Mall Construction
Plan

Building a shopping mall is a large-scale, multi-disciplinary project that requires

meticulous coordination of design, engineering, budgeting, procurement, and stakeholder
management. Effective construction and project management ensures that the mall is
delivered on time, within budget, and up to quality standards.

Construction Phase Project Management

A. Construction Scheduling
Use tools like Microsoft Project, Primavera P6, or Gantt charts to manage:
 Phases: Excavation → Structure → MEP → Finishing → Handover.
  Milestones and critical path tracking.
 Resource allocation for labour, equipment, and materials.
B. On-Site Execution
 Daily coordination between contractors, architects, and MEP consultants.
 Weekly review meetings and progress updates.
C. Construction Phases Overview
Phase Key Activities

Site Preparation Land clearing, leveling, fencing

Foundation & Substructure Excavation, piling, raft or footing

Superstructure RCC frame, columns, beams, slabs

MEP Installation HVAC, electrical, plumbing, fire safety

Facade & Roofing Exterior finishes, waterproofing, skylights

Interiors & Fit-Out Flooring, ceilings, mall furnishings

Landscaping & Parking Outdoor design, paving, green areas

3. Quality Management
A. Inspection & Testing
 Soil tests, concrete cube tests, welding inspections, MEP commissioning.
 Non-destructive testing for critical components (e.g., load-bearing beams).
B. Quality Assurance (QA) Plan
 Align with ISO 9001 or other standards.
 Documented processes for approvals, inspections, rework.

4. Safety & Compliance Management

A. Site Safety Plan
 Emergency response protocols.
 Daily safety toolbox talks.
 Regular audits by a Safety Officer.
B. Regulatory Compliance
  Adhere to local building codes, fire norms, and labor laws.
 Maintain all permits on-site and conduct compliance inspections.

Tenant and Store Selection in a Shopping Mall Construction Plan

The tenant mix is one of the most decisive factors in a shopping mall’s success. A well-
curated selection of stores ensures consistent foot traffic, high occupancy rates, and
sustainable rental income. This process is both strategic and market-driven, aligning with
the mall’s vision, customer base, and revenue goals.

1. Define the Tenant Mix Strategy

A. Understand Your Target Demographics
 Age groups, income levels, lifestyle preferences.
 Analyse catchment area (5–10 km radius around the mall).

B. Align with Mall Vision

Mall Type Ideal Tenant Mix

Luxury Mall Designer fashion, fine dining, premium electronics

Family Mall Mid-range apparel, kids’ zones, supermarkets, cinemas

Outlet Mall Discount brands, warehouse-style retail

Lifestyle/Community Mall Grocery, salons, cafes, gym, coworking spaces

C. Balance Anchor Tenants and Inline Stores

 Anchor Stores: Big-brand draws (e.g., supermarkets, department stores, multiplexes).
 Inline Stores: Smaller fashion, accessories, tech, and service retailers.

2. Tenant Categories to Include

Typical % of GLA (Gross
Category Examples
Leasable Area)

Anchor Tenants 30–40% Supermarkets, department stores

Fashion & Apparel 20–25% Zara, Levi’s, H&M

Food & Beverage 10–15% Food court, cafes, fine dining

Entertainment 10–15% Cinema, bowling alley, arcade

Electronics & Apple, Samsung, local tech

5–10%
Gadgets stores

Beauty & Wellness 5–10% Salons, spas, skincare

ATM, courier, mobile service

Services 5%
centers

Pop-up/Seasonal
Variable Short-term, rotating tenants
Stores

3. Tenant Selection Criteria

Factor Description

Brand Strength Recognized and draws footfall

Financial Stability Can afford rent, fit-out costs

Factor Description

Synergy Fits mall’s theme and complements nearby stores

Footfall Potential High conversion and customer appeal

Store Format &

Size, layout, utilities, display needs
Requirements

Long-term commitments for anchors; shorter for smaller

Lease Term
shops

4. Leasing Models
A. Fixed Rent Model
 Predetermined rent per square foot.
 Ideal for stable, low-risk tenants.
B. Revenue Sharing Model
 % of monthly revenue shared with mall.
 Common in food & beverage, new brands, or high-traffic zones.

5. Leasing Process Workflow

1. Pre-Marketing and Brochure Development
o Site plans, demographics, floor plans, rental rates.
2. Tenant Outreach & Presentations
o Attend retail expos, use brokers, direct contact with retail chains.
3. LOI (Letter of Intent)
o Outline rent, size, location, and initial terms.
4. Due Diligence
o Financials, brand references, business plan.
5. Lease Agreement
o Legal contract with fit-out period, rent, terms, renewal.
6. Fit-Out Management
o Coordinate design, branding, signage, utility setup.
7. Store Opening Support
o Soft launch, co-marketing, visual merchandising help.
 Marketing and Grand Opening Strategy in a Shopping Mall Construction
Plan

Marketing and the grand opening phase are crucial milestones in launching a shopping mall.
This phase determines how well your mall is received by both tenants and customers and
sets the tone for long-term foot traffic and brand loyalty.

1. Pre-Opening Marketing Strategy (6–12 Months Before Launch)

A. Brand Positioning & Identity

 Develop a mall brand name, logo, and tagline that reflects your vision.

 Design a cohesive visual identity (colours, fonts, signage style).

B. Digital Presence

 Launch a teaser website with construction updates and leasing info.

 Create social media pages (Instagram, Facebook, TikTok, LinkedIn).

C. Media and PR Campaign

  Press releases in national and local media.

 Feature in retail and commercial real estate magazines.

D. Tenant-Centric Marketing

 Co-branding opportunities with anchor tenants (e.g., "XYZ Mall featuring PVR
Cinemas").

 Include anchor brands in all teaser campaigns and hoardings.

2. On-Site and Outdoor Advertising

 Construction Site Hoarding: Bold visuals, countdowns, “Coming Soon” messages.

 Billboards and Transit Ads: Strategically placed in key city zones.

3. Soft Launch (1–2 Months Before Grand Opening)

A soft launch is a low-key opening to test operations before the grand opening.

Purpose:

 Final MEP testing, tenant onboarding, crowd control.

 Gather feedback on signage, navigation, and services.

Activities:

 Invite VIPs, investors, and selected customers.

 Staff training and dry runs with partial store operations.

4. Grand Opening Strategy (Main Event)

A. Timeline Planning

 Ideal to launch during festive or shopping seasons (e.g., Diwali, Black Friday, school
holidays).

 Choose a 3-day to 1-week event format.

B. Key Components
Element Description

Ribbon-Cutting Ceremony With local celebrities, politicians, influencers

Live Entertainment Music concerts, dance performances, flash mobs

Freebies & Giveaways Vouchers, gift bags, lucky draws

Opening Discounts Limited-time offers from tenants

Influencer Collaboration Live social media coverage

Light Show/Projection Mapping For evening attraction

Family Attractions Kids’ shows, mascots, art installations

5. Post-Opening Marketing Plan (First 90 Days)

A. Sustain Engagement

 Weekly events: workshops, weekend markets, fashion shows.

 Loyalty programs and mall reward apps.

B. Customer Feedback Loop

 Conduct in-mall surveys.

 Monitor Google Reviews, social media mentions.

6. Tools and Metrics to Use

Tool Purpose

CRM and Loyalty Platforms Customer retention and rewards

Footfall Analytics (e.g., Heat Maps) Track traffic patterns

Google & Facebook Ads Targeted ads based on location and behavior

Mall App Store directory, event calendar, push notifications