Shopping Centers Today

AUG 2015

Shopping Centers Today is the news magazine of the International Council of Shopping Centers (ICSC)

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Page 48 of 59

Brokerage also represents Greece's Chillbox, a purveyor of Greek frozen yogurt which has, like Eight Turn Crepe, opened its first U.S. store in New York City and has additional expan- sion plans, including units at malls. In global terms, food carts and kiosks have gained popu- larity but with subtle differences among markets. In some places, such as Russia, the scene is heavily skewed toward international chains like Dunkin' Donuts and Subway, says Lange. In the U.K., though, carts and kiosks tend to be run by entrepreneurs with unique concepts — such as cham- pagne bars or artisan foods. At Westfield London and Westfield Stratford City, food kiosks complement in-line luxury stores. Located in the luxury wings of the malls, these kiosks include champagne, sushi and tapas bars. "They have gone a little further with these larger- footprint kiosks where you can sit down and have a meal," Kaminski said of Westfield. There are issues that both landlords and tenants need to consider. Carts and kiosks have traditionally been a way for entrepreneurs to launch concepts relatively inexpensively, but food kiosks can carry a big upfront cost. Kiosks that in- corporate seating, for instance, may be as large as 300 square feet. If the purveyors are preparing food on-site, as many do, they may have to invest in special equipment, and/or make extensive mechanical, plumbing and electrical upgrades to a location, although the upfront cost is sometimes covered by a tenant allowance. "The whole idea of prepping food on-site and having cus- tomers watch food being prepared is really exploding, because of the cooking shows on television," said Marie VanDrisse, executive national account manager at F.C. Dadson, a Greenville, Wis.–based manufacturer of carts and kiosks. "It used to be that a lot of product was prepared off-site and brought to the mall and refrigerated. Now a lot of stuff is prepped and cooked on-site, so many kiosks have a larger foot- print." This means that they require more space, she says. Landlords and prospective tenants alike need to consider the existing food offerings at a given property to ensure that new concepts complement rather than compete. And it is criti- cal to place carts and kiosks in locations where they may enjoy a built-in customer base, says Kaminski. A frozen-yogurt kiosk, say, is likely to do better near junior-oriented tenants, such as H&M and Forever 21, than near a cinema, given that movie theaters do not allow outside food and moviegoers are typically rushing to make the show on time. "We look at overall sales and foot traffic when evaluating whether to add a new food tenant, but, more importantly, we think about what categories we are light in," said Kaminski. "For instance, are we light in the frozen-dessert or pretzel cat- egory? It's all about creating smart co-tenancies." S C T TASTY TENANTS Landlords are perking up their common areas with food kiosks. Some are branches of existing businesses, others are first-time outings from culinary entrepreneurs. FULLY Based in Santa Monica, Calif., this bakery operates kiosks in the tourist-heavy Century City Mall and Hollywood & Highland center in L.A. A unit at Westfield's Village at Topanga (Calif.) opens this fall. DRIVING FOOD SALES: What started out as a popular food truck serving New York–style steamed bagels in Ohio turned into a successful traf- fic magnet at Indian Mound Mall, in Newark, Ohio. The truck rolled right into the mall and set up shop amid the tables and chairs in the food court and did a blockbuster business. Fruit of the Land sells all-natural, unique, kosher spe- cialty foods. The retailer regularly opens pop-up shops in Canada to market its products, which include fruit spreads, honey and wine. The company, known locally for its artisanal gift baskets, operates an in-line store at Promenade Mall, in Thornhill, Ontario. PARIS IN ANNAPOLIS: Shoppers love the sweet and savory crepes made to order at the I ♥ Crepes location in Westfield Annapolis (Md.). The com- pany boosts its profile with its outside catering business and partnerships with local restaurants. ALOHA SWEETNESS: Papalani Ge- lato merges tropical ingredients like mango, coconut, macadamia nuts, papaya and lychee with traditional favorites like pistachio and fine Bel- gian chocolate in a variety of frozen desserts, including gelato and sorbet. The chain operates two stores in Ha- waii and has three Florida kiosks, at malls in Brandon, Delray Beach and Temple Terrace. S T E A m R O L L E R B A G E L S A N D W I C H E S F R U I T O F T H E L A N D I L O V E C R E P E S P A P A L A N I G E L A T O J ' S C O N N E C T I O N A u g u s t 2 0 1 5 / S C T 49

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