Real Estate

Falabella operates and manages shopping centers in Chile, Peru and Colombia, through two different companies:

Mall Plaza: With operations in Chile and Peru (through Aventura Plaza) and, as of recently, in Colombia, Mall Plaza is one of the largest shopping center chains in Latin America. Its comprehensive value proposition combines engagement with neighboring communities, concern for the environment and strong commitment to the promotion of cultural events.

Open Plaza: With a presence in Chile and Peru, Open Plaza operates smaller shopping centers, featuring one or more of the Group’s stores (Falabella, Sodimac, Tottus) as anchor stores, accompanied by smaller stores and entertainment options.

According to customer surveys carried out in residential areas and shopping centers, Falabella’s main competition in the real estate business are other shopping centers, in various formats, such as malls, power centers and strip centers; as well as traditional neighborhood shops located near the Group’s shopping centers.

According to information from the Chile’s National Statistics Institute (Instituto Nacional de Estadísticas), Plaza S.A.’s market share in retail commerce in Chile is approximately 6.2%.

The Company has a portfolio of real estate projects, which include both land owned by the Group and properties leased from third parties. In Chile, through the Nuevos Desarrollos S.A. subsidiary, the Company owns the following projects: Mall Plaza Puerto Barón (on leased property) and Mall Plaza Los Domínicos, as well as real estate in the V Region, VI Region and XV Region for the development of future projects. Through its Mall Plaza Colombia subsidiary, the Company owns two lots in which to develop projects, one in Manizales and another in Barranquilla. Aventura Plaza in Peru has a portfolio of projects across several districts in Lima, where the Group has invested in property and surface rights. Open Plaza in Chile has the Marriott Courtyard Hotel construction project. Additionally, the subsidiary has properties in the Metropolitan Region and in the VI Region for future developments. In Peru, through Open Plaza, the subsidiary is developing the Open Plaza Huancayo project.