EFFECTS OF LOCATIONAL FACTORS WITHIN A SHOPPING MALL AND THEIR IMPACT ON RENTAL VALAUES

Abstract

Many studies had been done pertaining to factors affecting retail rental of Singapore. However, many of these examined the macro factors. This dissertation aims to examine some of the locational factors within a shopping mall which affect rental values. It also tries to examine if the impact of these factors differ between prime retail shopping mall in Orchard Road and suburban retail malls. This dissertation is based on an analysis of eight shopping centres. Rental information is used to find out their linear relationship and strength of influence using a regression model. The study shows that the level at which a shop unit is located has the greatest impact on rental values. Other positive factors include proximity to entrances and departmental stores. It also reveals that rental value tends to decrease as a shop locates nearer to a supermarket.