Location Planning :
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WESTFIELD

International development feasibility and leasing support

The Challenge

Westfield wanted to understand the feasibility of a potential scheme to the east of Milan city centre. They commissioned CACI to define a catchment for the scheme, calculate the expenditure potential within the catchment and provide a turnover forecast for the centre.

Understanding the demographics of the residents within the catchment, and the tourism expenditure potential within the Milan region, was also required to help give Westfield the fullest picture on the location and the likely customers.

To give further comfort in the potential investment, all these variables needed to be benchmarked against other European markets and the existing UK Westfield portfolio.

The Solution

We utilised our pan-European gravity model, Retail Markets, to define a catchment for the centre. This model incorporated all changes to the public transport and road infrastructure that would be improved as part of the development. It also included all major schemes in the pipeline that could potentially impact the centre. This catchment was then used to analyse the residential expenditure potential, tourism potential and the demographics of local residents.

The initial feasibility study was carried out in 2010, with an updated report provided in 2013 to reflect the latest view on leasing, infrastructure improvements, as well as an up-to-date development pipeline.

The Results

Our analysis has benefited Westfield right across the business. The catchment expenditure potential and turnover forecast has given their development team the reassurance they needed that the scheme is feasible.

The demographic and tourism analysis, as well as the benchmarking, has assisted the leasing and development  team in their decision making as to the retail mix of the scheme.

A summary version of the report highlighting the scheme's potential has been used by Leasing to attract specific tenants to the scheme. CACI’s reputation and independence proved influential in these discussions.

In addition the catchment definition and overlap with competing schemes will be used by Marketing during the build-up to launch. The micro-level detail at which the catchment is built means campaigns can be designed that not only target core catchment areas, but also key battlegrounds with competing schemes.

Further information

If you want to hear more about how CACI's Property expertise can help you with your location strategy, get in contact now +44 (0)20 7602 6000

"We use CACI for development appraisals, leasing support, launch strategy, consumer surveys and performance analysis across the whole of our UK portfolio. We have been particularly impressed with the strength of the CACI brand with occupiers and investors."

Myf Ryan
Director of Marketing UK & Europe
UK Headquarters
Kensington

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International development feasibility and leasing support.

WESTFIELD