Feasibility study for construction of a retail center in Chelyabinsk

The location of a land plot in Chelyabinsk is appraised as “not very good for development of a retail function”. The absence of residential districts and developed infrastructure within a walking reach is a significant difficulty for construction of a classical retail center. A large super regional retail center is more reasonable to construct in this situation. This RC will be a point of attraction for a whole city, not for a separate district, and “targeted buying center” or “a day off” RC. These disadvantages of location have a lesser impact on the development of “an auto dealer village” on the Project’s territory. Proximity of several auto dealer centers will produce a synergetic effect and allow quick organizing of a proper zone of attraction for potential buyers. This conception is less risky as compared to construction of a classical RC.

The area of the analyzed land plot— 13, 4 ha

There are two alternative conceptions:
• Super regional RC. The area of retail premises amounts to 75 000 sq. m, and the parking lot includes 3 000 parking places.
• Auto dealer center for 6-8 auto dealers referring to an average pricing category

The Project’s peculiarity is as follows: there is a territory that adjoins the land plot in the Southeast and will be developed by the Project organizer as a multifunctional center, which comprises water Park, hotel, restaurant and etc. This vicinity was taken into account when considering alternative conceptions for development of the analyzed site.

Customer — «IB Retail» LLC
Consultant — GVA Sawyer