When it comes to shopping, there are two main types of centers: regional shopping centers or malls and neighborhood community shopping centers. Both offer a variety of stores and services, but they differ in terms of size, design, and tenant base. Let's take a closer look at the differences between these two types of shopping centers. A neighborhood center is usually a straight line strip without a closed walkway or commercial area.
The number of tenants who occupy a neighborhood center ranges from five to 20 stores, with a supermarket or pharmacy as an anchor. These centers often employ a unifying theme that individual stores use in their architectural design and, to a certain extent, in their products. The International Council of Shopping Centers (ICSC) defines regional centers as “general-purpose centers” that offer general products (a large percentage of which are clothing) and services in all depth and variety. The physical design of the center is very sophisticated, emphasizing rich decor and high-quality landscaping.
A regional center is designed to sell a full variety of general products, mainly clothing, with inner-facing stores that share a common walkway. However, their limited approach can make it difficult to re-lease space, and the high incidence of tenants in entertainment establishments means that the success of these centers may be closely related to consumers' discretionary income. These centers don't need to be anchored, although sometimes restaurants or entertainment venues can be the attraction of presenters. Like regional centers, neighborhood centers are designed to provide convenient shopping for the daily needs of consumers in the immediate neighborhood.
People who live near these neighborhood centers will reside in mixed-use buildings, apartments, townhouses, duplexes and single-family homes. Developers are adopting a strategy in the offerings of these malls to ensure that they meet the changing needs of consumers. However, their limited approach can make it difficult to re-lease space. In conclusion, regional shopping centers or malls are larger than neighborhood community shopping centers and offer more variety in terms of products and services. Neighborhood community shopping centers are smaller and more focused on providing convenience for local shoppers.
