PETALING JAYA: Sunway Velocity Mall, which will be opening its doors in Cheras on Oct 28, expects to operate with full occupancy by the first half of 2017.
Sunway Shopping Malls & Theme Parks chief executive officer H.C. Chan said the shopping centre had already secured a strong list of anchor tenants and is confident of “filling up the mall” in spite of oversupply concerns.
“Reception-wise, we expect it to do well due to the relatively underserved, matures Cheras market. It has a sizeable population of 800,000 people,” he told StarBiz.
Chan, who is also adviser to the Malaysia Shopping Malls Association, said existing malls in Cheras, such as Aeon Maluri and Cheras Leisure Mall, are still operating successfully after all these years.
“Aeon Maluri has been there for some two decades but it has been trading well. But there is a lack of one-million-sq-ft malls and we want to elevate the leisure and retail element for the people in Cheras.”
Sunway Velocity Mall, which will have a net lettable area of one million sq ft, has already reached an occupancy rate of 85%, having secured big-name brands such as Parkson, TGV Cinemas, Harvey Norman, Popular and Toys “R” Us, just to name a few.
Chan said the mall is on track to inch up its occupancy rate to 90% by the time of its launch in October.
According to reports, about 40 malls would be entering the market in greater Kuala Lumpur by 2020, of which a dozen would have an NLA of one million sq ft.
One of its closest competitors will be MyTOWN Shopping Centre. With a net lettable area of 1.1 million sq ft and just 800 m away, this shopping centre will be opening its doors on Nov 15.
Despite concerns that the Klang Valley is facing oversupply issues, especially in retail space, Chan said Sunway Velocity Mall would not only compete, but also complement its soon-to-be-launched rival, MyTOWN Shopping Centre.
“Competition is healthy, but in the longer term, we will complement each other. Just look at the Bukit Bintang area and the number of malls there. It’s thriving because it gives consumers choice.”
In time, Chan said the collection of retail space comprising Sunway Velocity Mall, MyTOWN Shopping Centre, Ikea, Aeon Maluri and the Tun Razak Exchange development would turn Cheras into another vibrant shopping haven – just like Bukit Bintang.
“All of the malls in Cheras, by the time they are completed, will have retail space of close to four million sq feet. In the coming years, it will be a new shopping precinct.”
Sunway Velocity Mall, which will boast some 6,500 car parks, is a joint venture between Sunway City Sdn Bhd and Fawanis Sdn Bhd.