Shopworks and Inland American REAL ESTATE TRUST, INC. team up to develop ancillary revenue for the REIT’S portfolio
Scottsdale, AZ, January 12, 2015– Shopworks, Inc., an Arizona based consultancy and its client, IA Management, LLC have recently completed a collaborative effort to develop an Ancillary Income Program for Inland American Real Estate Trust, Inc.’s portfolio of more than one hundred and fifteen necessity-based shopping centers across the nation.
Ancillary Revenue Program tenants are very different from traditional tenants. They operate under License Agreements instead of leases. The term of a License Agreement may be as short as a few days, or as long as a year. The wide variety of tenant uses include seasonal retail, cell towers, roof-top solar power, automated vending, specialty retail, automotive displays, and even carnivals.
The six month project, completed this December, established infrastructure and provided personnel training in the unique methodologies and skill sets required to fully develop the Ancillary Revenue Program to its full potential.
Sharon Loeff of Shopworks, “Ancillary Revenue Programs create value for a center at many levels. In addition to the generation of significant revenue, merchants that come to a center under an Ancillary Revenue Program are often able to offer unique retail concepts and services that are not practical for traditional long term tenants. Often, these unique retail uses differentiate a center from nearby competitors thereby increasing traffic and loyalty from the surrounding market”
Teri Young, VP of Leasing/Marketing at IA Management, LLC, “The addition of a formal Ancillary Income Program to our portfolio will enhance our centers’ merchandising, incubate potential long term tenants, and add amenities or experiences that engage customers and the communities with our retailers. This program is an important, and complimentary adjunct to, traditional leasing.”
Where our mantra is: Success by Design
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If you would like more information about this topic, please contact Thomas Loeff at 480 596 9910 or email at email@example.com.