Anchor to mixed-use development

With developments globally becoming less singular and more mixed-use in their makeup, the risk of duplication is clear – a sea of proposed schemes comprising of a mix of residential and office space, augmented by a retail element that increasingly features leisure. At the same time, an ever-more digitally engaged audience is increasingly difficult to tear away from their screens and homes, whether for work or leisure. As such, the pressure on developers and investors is understandable – what is the unique proposition that differentiates my scheme and makes it worthy of the investment of time and funds vs. so many other similar opportunities?

1. Define success criteria
When selecting an anchor asset strategy for mixed-use developments, the initial step for developers is to define what success means for their project. Clear success metrics and underlying criteria should guide this vision, enabling developers to set tangible goals.

2. Understand addressable audience

Once the vision and objectives are established, understanding the preferences and needs of the target audience becomes essential. For instance, a retail-oriented development might benefit from examining local consumer behaviour trends to ensure the anchor asset resonates with the community and encourages engagement.

3. Examine existing and future market competition

Simultaneously, developers should assess the competitive landscape, both current and projected. It’s crucial to identify whether the market is saturated or if untapped niches exist that could provide growth opportunities. These insights inform whether the anchor asset should cater to mainstream demand or target a specific, underserved segment.

4. Identify suitable anchor theme

After evaluating these elements, developers can consider which anchor types align best with the development’s overall strategy. Pragma has identified six anchor themes: Culture, Art, History, Branded occupier, Flexibility, and Nature/Environment each serving as a catalyst for activating and enhancing the vibrancy of a shopping mall, the mixed-use scheme, district or entire masterplan.

Through careful selection and alignment with these categories, developers can ensure that their anchor assets drive both engagement and commercial success.

SookSiam is a distinctive cultural zone located on the ground floor of the multi awardwining ICONSIAM, a prominent shopping and entertainment complex in Bangkok. Benoy, the interior designer on the retail components of the project, needed to ensure footfall through all of the eight levels of retail as well as F&B. This area is designed to encapsulate the essence of Thailand’s diverse cultural heritage by bringing together authentic foods, arts, handicrafts, and performances from across the country.

What makes it special

SookSiam recreates the charm of a traditional riverside market, offering visitors a deep dive into Thai heritage. It features authentic Thai foods, arts, and handicrafts from all 77 provinces, drawing footfall and boosting ICONSIAM’s appeal as a cultural and retail destination in Bangkok. By blending tradition with commerce, SookSiam creates a unique experiential space, enhancing visitor engagement and encouraging shared visits, solidifying ICONSIAM’s iconic status. Its vibrant atmosphere attracts both tourists and locals, assisting ICONSIAM to be a must-visit cultural landmark in Bangkok.

Target Audience and Success Factors Focused on culture-seekers and tourists, SookSiam has won awards and government grants for its role in preserving Thai heritage. Its appeal to a wide range of audiences secures steady local and international footfall. pragmagroup.com Page 6 ICONSIAM as a whole has been reported to attract millions of visitors annually, with SookSiam contributing significantly to this figure. The integration of cultural experiences within a commercial setting has proven successful in enhancing visitor engagement and boosting overall sales for tenants within ICONSIAM. SookSiam has won Best Store Design of the Year’ at the World Retail Awards (2019),‘Best Shopping Centre’ at MAPIC (2019) and the Bronze World Interiors News (WIN) award for Best Retail Design (2021).

Alserkal Avenue, Dubai Alserkal Avenue, situated in Dubai’s Al Quoz industrial area approximately 15 km from downtown, is a dynamic cultural hub encompassing 500,000 square feet. It hosts over 70 creative spaces, including art galleries, design studios, performance venues, and artisanal shops.

What makes it special

Transforming a former industrial zone, Alserkal Avenue has become a vibrant community that transcends traditional art spaces. Its adaptive reuse of warehouses provides a distinctive backdrop for a variety of cultural activities. The Avenue regularly hosts exhibitions, performances, and events that engage a broad audience, from art lovers to the public. Initiatives like the Alserkal Arts Foundation offer residencies and grants, fostering local and international cultural dialogue. Additionally, the district features culinary and wellness concepts, retail outlets, and entertainment venues, creating a multifaceted destination that appeals to diverse consumer groups beyond just art and culture enthusiasts.

Target audience and success factors

Alserkal Avenue attracts a wide spectrum of visitors, including art lovers, tourists, and the local community. Its success stems from its ability to blend cultural programming with commercial ventures, reducing investment risks through diversified revenue streams. Strategic partnerships with global art institutions and support from the UAE government have further solidified its position as a leading cultural destination. By continuously evolving and offering ever-changing experiences, Alserkal Avenue remains a cornerstone of Dubai’s cultural landscape, appealing to both niche and mainstream audiences.

Historic Jeddah, a UNESCO World Heritage Site, is situated in Jeddah’s city centre, making it easily accessible. Covering 2.5 million sqm, it features over 638 historic buildings, traditional markets, and significant heritage sites, embodying Jeddah’s rich history as a former port and gateway for Muslim pilgrims to Makkah.

What makes it special

Historic Jeddah uniquely balances historical preservation with modern vibrancy, maintaining its role as a dynamic community for living, working, and trade.

The district’s unique architecture, a blend of influences from Red Sea coastal and trade route traditions, provides visitors with an authentic glimpse into the rich cultural heritage of Jeddah. Its strategic location along trade routes has played a significant role in the city’s development over the centuries.

Target audience and success factors

Historic Jeddah appeals to heritage tourists, locals, and culture enthusiasts, aiming to attract 15 million visitors annually by 2030, contributing to the region’s cumulative GDP by 2035. With UNESCO status, it has received government grants and preservation support, boosting efforts to revitalise the area. Historic houses have been repurposed as heritage hotels and cultural spaces, supporting local artisans and fostering a thriving artistic community. Ministry of Culture initiatives have further attracted artists and designers, transforming Historic Jeddah into a hub of creativity. Restorations of historic properties have positioned it as a vibrant destination, blending cultural preservation with economic growth and drawing visitors seeking an authentic Saudi experience.

The Benoy Architecture team added; “When collaborating on the retail strategy for Al-Balad, it was crucial that we remained sensitive to the historical and cultural assets that existed within this space for generations. Understanding the cultural context and building on this narrative really helped us with developing placemaking tactics used within the retail deployment strategy. This approach not only preserved the area’s authenticity but also presented an opportunity to innovate and revive dormant assets, establishing a distinct identity by giving them their own USP."

Benoy’s design for Ferrari World Abu Dhabi was a revolution. Reflecting the famous sinuous form of the Ferrari GT chassis with the brand’s signature colour and double curve, this was the world’s first Ferrari-branded theme park, situated on Yas Island, approximately a 30-minute drive from Abu Dhabi’s city centre. Spanning 86,000 square metres, this indoor park offers a high-energy entertainment environment featuring over 40 record-breaking attractions, including the world’s fastest rollercoaster, Formula Rossa, and the highest loop ride, Flying Aces.

What makes it special

Ferrari World leverages the iconic Ferrari brand to attract motorsport enthusiasts and families alike. Its unique blend of thrilling rides, interactive attractions, and state-of-the-art simulators provides an immersive experience into the world of Ferrari. The park’s distinctive design, reflecting the sinuous form of the Ferrari GT chassis, further enhances its appeal, making it a significant landmark on Yas Island.

Target audience and success factors

Catering to affluent tourists, families, and sports fans, Ferrari World has become a major attraction in Abu Dhabi, drawing international attention and enhancing the tourism landscape.

“As a globally recognised brand, Ferrari attracts steady, year-round footfall from both local and international visitors, reducing development risk by ensuring a constant stream of patrons.”

This influx not only boosts theme park revenue but also drives spending across Yas Island’s hotels, shops, dining, and other amenities, supporting higher occupancy rates and sustained engagement across the development. This integrated ecosystem sustains ancillary businesses, reducing the risk of low patronage and supporting the island’s overall economic viability.

Selfridges is a distinguished British department store celebrated for its innovative retail experiences and luxury offerings. The flagship store is located on London’s Oxford Street, with additional locations in Manchester and Birmingham. Selfridges combines luxury retail with flexible experiential spaces, creating a dynamic environment that appeals to a broad demographic. Selfridges is renowned for its adaptability, featuring pop-ups, seasonal events, and art exhibitions that respond to current trends.

The store creates environments that change according to how they want people to feel, sustaining visitor interest and keeping Selfridges relevant as a prime shopping destination. For instance, The Selfridges Lounge, a permanent event space, features a diverse programme of music and cultural events, including live performances and workshops. By appealing to trend-driven shoppers, tourists, and young professionals, Selfridges has established a sustainable, adaptable retail model.

It has adapted to changing consumer preferences by embracing digital innovation, enhancing in-store experiences, and introducing flexible retail spaces, such as the Project Earth initiative and The Corner Shop, to keep the store experience fresh. Its commitment to unique experiences helps to mitigate commercial risks, supporting its enduring appeal.

“Our stores were very much focused on delivering an experience to shoppers. Unlike many retailers with physical space we did not base our decisions on the current level of sales per square foot. Instead, by driving a memorable experience as a start point we could drive much higher commercial returns. This was behind our decision to create things like the skate bowl,” - Simon Forster Former Managing Director at Selfridges and now Director, Retail Futures at Benoy

Terminal 2 at Kempegowda International Airport (BLR Airport) redefines airport design with its “airport in a garden” concept. Reflecting Bengaluru’s “Garden City” identity, this 255,645-square-metre terminal offers a nature-focused experience that accommodates up to 25 million passengers annually. Lush landscaping, with over 10,000 plant species, cascading waterfalls, and rammed-earth walls, transforms the airport into a calming, ecofriendly space, setting it apart from traditional airport environments. Terminal 2 uses nature as an anchor, creating a biophilic environment where passengers can connect with greenery and tranquillity. Ecoconscious travellers appreciate the terminal’s sustainable materials, including engineered bamboo interiors and terrazzo flooring, and its green-certified spaces that blend aesthetics with environmental impact.

Terminal 2’s nature-centred approach has earned global recognition, including the UNESCO Prix Versailles for ‘World’s Most Beautiful Airport’ and the IGBC Platinum certification. It appeals to eco-aware travellers and strengthens Bengaluru’s green reputation, making it a standout model for sustainable, nature-integrated infrastructure in the travel industry. This innovative anchor positions BLR Airport as both a unique destination and a benchmark for future airport design.