𝐅𝐫𝐨𝐦 𝐭𝐡𝐞 𝐃𝐞𝐬𝐤 𝐨𝐟: Chetan Kothari, 𝐂𝐅𝐎 𝐚𝐧𝐝 𝐏𝐚𝐫𝐭𝐧𝐞𝐫 𝐅𝐢𝐧𝐚𝐧𝐜𝐢𝐚𝐥 𝐟𝐞𝐚𝐬𝐢𝐛𝐢𝐥𝐢𝐭𝐲...

𝐅𝐫𝐨𝐦 𝐭𝐡𝐞 𝐃𝐞𝐬𝐤 𝐨𝐟: Chetan Kothari, 𝐂𝐅𝐎 𝐚𝐧𝐝 𝐏𝐚𝐫𝐭𝐧𝐞𝐫

𝐅𝐢𝐧𝐚𝐧𝐜𝐢𝐚𝐥 𝐟𝐞𝐚𝐬𝐢𝐛𝐢𝐥𝐢𝐭𝐲 𝐢𝐧 𝐫𝐞𝐭𝐚𝐢𝐥 𝐫𝐞𝐚𝐥 𝐞𝐬𝐭𝐚𝐭𝐞 𝐝𝐞𝐯𝐞𝐥𝐨𝐩𝐦𝐞𝐧𝐭 𝐢𝐬 𝐧𝐨 𝐥𝐨𝐧𝐠𝐞𝐫 𝐣𝐮𝐬𝐭 𝐚 𝐬𝐩𝐫𝐞𝐚𝐝𝐬𝐡𝐞𝐞𝐭 𝐞𝐱𝐞𝐫𝐜𝐢𝐬𝐞.

Yes - rentals, capex, yields, and IRR still matter. But what determines long-term profitability today goes far beyond numbers on a model.

The real question we should be asking is not “Will this mall lease?”

It’s “Will this mall remain relevant, and financially resilient over time?”

Traditional feasibility models were built around assumptions of stable consumer behaviour. Today, shoppers are experience-driven, value-conscious, and selective about where they spend their time. This directly impacts dwell time, trading densities, leasing velocity, and rental sustainability.

One of the most common mistakes we see is treating experience-led components such as entertainment, wellness, community spaces as secondary or lower-yield. In reality, these elements often act as traffic anchors, supporting tenant performance and protecting long-term asset value.

Equally important is flexibility. Retail formats will continue to evolve, and feasibility models must allow for change. Phasing, adaptable layouts, and realistic absorption assumptions are no longer “nice to have” but are essential risk-management tools.

At its best, a financial feasibility study is not about ticking a box for approvals or funding. It is a strategic framework that guides design, leasing, and investment decisions from day one.

Because in today’s market, the most successful malls are not defined by size or spend, but by how carefully and thoughtfully they are planned.

If you’re re-evaluating the financial feasibility of a retail development or planning one from the ground up - our team at Phil McARTHUR & PARTNERS, Retail Development Specialists, would be happy to support the conversation.