AEON MALL has been promoting its business as a developer specializing in shopping malls using its long-accumulated know-how about retailing. In addition, we have enough experience and expertise in the development of Malls in various locations.
We make use of these know-how and expertise also in our property management (PM) business, in which we display our abilities to add more value to and revitalize local commercial facilities other than our own.
A Mall is generally opened after careful examinations about the commercial zone and the number of potential visitors. It is, however, necessary to maintain the fresh attractiveness of the Mall in order to ensure that it will be continuously supported by customers as local commercial facilities. To this end, we implement measures to revitalize local commercial facilities and also the local communities in our PM business. In this business, we utilize our comprehensive abilities that we have accumulated as a developer specializing in Malls with sufficient retailing know-how.
In the PM business, we renovate existing facilities and also develop new ones. Just like when we develop our own AEON MALLs, we conduct prior surveys and analyses, implement basic design and construction plans, engaged in tenant leasing, conduct marketing projects to increase the number of visitors and sales, and manage product strategies and facilities operations. We thus display our unique abilities in a comprehensive manner.
Especially for tenant leasing, we focus on finding excellent local stores and inviting them to become tenants in addition to engaging in renovating the commercial facilities and replacing some of their tenants with new ones. AEON MALL aims to increase the number of local stores to one-third of the total number of tenants at each of the facilities. Inclusion of stores that procure goods locally will make the facilities more attractive, which will in turn revitalize local communities.
A Mall can serve as a local community forum in addition to providing shopping opportunities. The number of cases is increasing, in which a hall is constructed within a Mall and open to the public for an event. Holding of events in such a hall does not directly lead to an increase in daily profits of the Mall, but we believe that it will eventually increase the number of visitors to and profits at the Mall to show the corporate attitude of the company that operates the Mall by making a hall and other similar facilities open to the public. In addition, our PM business, in which we provide human resources and know-how and do not have our own commercial facilities as assets, is attracting much attention from investors as low-risk business. We will proactively implement this business as a new growth core for AEON MALL.