Sahara Centre to maximise returns

Sharjah's Sahara Centre will look to maximise returns from its present facility in the near term, rather than consider further expansion, according to a top official.

The promoters - Bukhatir Investments and Ghobash Investments - own the undeveloped land adjoining the facility, which opened in February 2002.

"Development of this will be considered in the future under their (the promoters) guidance and vision. For the moment, our focus will be to obtain maximum returns from within the existing Sahara Mall," said Gavin Cox, managing director.

Meantime, for improved access, the mall promoters have sent proposals to the Dubai and Sharjah municipalities for better linkage between the two emirates. "We believe far easier access will be good for the residents in the two emirates and for the mall," said Cox.

In its first year of operations, the mall - with start-up investments of Dh400 million -recorded a footfall of seven million, which "far exceeded all expectations".

Up to 99 per cent of available retail space is leased out, and in the next eight to ten weeks, Spinneys will move into a 35,000 square foot facility to be one of the seven anchor outlets. A string of smaller outlets will also open in the interim.

There will also be a topping up of the entertainment and leisure services on offer.

Cox declined to provide the current conversion rate between foot traffic and actual sales at the outlets.

"As the mall moves forward, we will be in a better position to determine the conversion rates. It would be too early to make a judgement in the first one or two years since the mall is still developing as a destination."

There are also no moves in the near future to introduce the Sahara brand in other emirates, particularly the northern ones, officials added.

The promoters in late November completed a Dh225 million refinancing deal with Dubai Islamic Bank, HSBC and Mashreqbank.

"It was done because of the prevailing low interest rates in the market, and the terms of the deal represent a win-win situation for all parties involved," added Jean Pierre Nammour, managing director of Al Nahda Real Estate and Trading.