Russian shopping malls lose up to 30% of footfall, developer’s son says

A girl walks past a shut ‘re:Store’, an Apple reseller shop at a mall in Saint Petersburg, Russia March 2, 2022. REUTERS/Anton Vaganov/File Photograph

June 13 (Reuters) – Russian browsing malls are “de-energised” and have lost up to 30% of their footfall following the exodus of Western brands, the son of one of Russia’s most distinguished residence developers was quoted as saying on Monday.

Emin Agalarov, a pop star and 1st vice president at the Crocus Team established by his billionaire father Aras Agalarov, was quoted by the RBC media outlet as declaring the reduction of vital tenants could spell the finish for procuring malls altogether.

“If you have a luxurious shopping centre, you need Prada, Chanel, Louis Vuitton if it is the middle group – Zara, H&M, Reebok, Adidas,” RBC quoted Emin Agalarov as indicating in an interview. “And if you don’t have them, then the location becomes depersonalised.”

He approximated that Crocus Group’s large flagship Vegas and Crocus City purchasing centres on the outskirts of Moscow had lost 30% of their website traffic. Crocus could possibly have to open a bowling alley or a warehouse if it was left with large areas that it was unable to lease.

A push selection for Crocus was not answered and the team did not immediately answer to a request for remark.

Quite a few Western brand names have exited Russia or suspended functions due to the fact Moscow sent tens of hundreds of troops into Ukraine on Feb. 24. A handful of former McDonald’s Corp (MCD.N) dining establishments reopened on Sunday under a new model in a single of the most higher-profile illustrations of a Western manufacturer exiting. go through much more

Lots of retailers have opted just to shut for now, leaving Russians with less stores to pick out from at shopping centres and in Moscow’s central luxurious district.

Reporting by Reuters Enhancing by Kevin Liffey and Peter Graff

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