CAIRO: Better Mall signed a deal with Spinneys over the hypermarket space in the new Cityscape Mall in Sixth of October.
Essam Adel, CEO of Better Mall, and Shadi Ashkar, Spinneys general manager in Egypt, signed the contract at a an event held in Cairo on Monday.
Better Home, the mother company of Better Mall, has invested LE 300 million in the Cityscape Mall, which is to be opened in July 2010. The mall will contain more than 100 stores, four movie theaters, a food court, a children’s electronic playground and a Spinneys hypermarket.
Better Mall will provide around 5,000 job opportunities, Adel said.
Spinneys will invest $4 million to set up its store in the mall. The hypermarket is expected to employ between 150 and 170 workers. This will be the second Spinneys hypermarket in the Greater Cairo area after the one in City Stars Mall.
“We don’t have any competition, said Amir Boker, a financial expert working for Better Home. He explained that Better Mall’s strategy is to build malls that meet international standards – something other shopping centers in Egypt fail to do, in his opinion.
Better Mall has chosen design, architecture, products and brand selection that follow the latest developments in the mall industry, he added.
He also pointed out that Egypt is a growing market with a lot of potential. In 2009, the spending power of the Egyptian population grew by 7.2 percent. Retail spending for the year is estimated at $63 billion, and is projected to almost double by 2013 to reach $116 billion.
“Raising the standard of the retail business works both ways, as it creates new employment, said Boker commenting on the general ability of Egyptians to afford high-standard services and products. He explained that Better Mall brings in companies that put a lot of effort in maintaining the quality of their products and customer service and, therefore, tend to invest more in physical and human capital.
Better Mall is to expand its activities into Upper Egypt as well, with the opening of a Cityscape Mall in El-Minya El-Gadida at the end of 2010. Better Home is also currently building two housing complexes called Highland Park, one in New Cairo and one in Sixth of October.
Spinneys also recognizes the potential of the Egyptian and MENA region markets. “We have a very definite 3-4 year expansion program, said Alister Calder, chief development officer at Spinneys.
He also confirmed that there will be another Spinneys hypermarket opening up soon in Egypt, but refused to reveal the location.
