SHOPPING MALL SKALA MInsk, Belarus |investment group

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SHOPPING MALL SKALA MInsk, Belarus
investment group

• business proposal
• PRESENTATION

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About the Company

• Group of companies "Rapa" invests constructing
  shopping malls, office and business centers in
  Belarus and Russia.
• Our company has extensive experience working with
  multinational companies.
• From 1995 to 1999 Group of companies Rapa has
  been working as the official distributor of such
  well-known companies as Wrigley, Nestle,
  Unilever.
• The successful experience of extensive
  international collaboration our company implants
  as the developer.

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About the Company

• The group includes the following companies
• The retail chain of hypermarkets under the brand
  GREEN
• The retail DIY hypermarkets chain (construction
  materials), under the brand HAUSMASTER
• in April 2013 enters into force the exclusive
  franchise of INTERSPORT, it is the base the
  sporting goods retail operator will operate
• Engineering Company (services related to the
  design, supervision and control over the
  construction)
• The consulting company (services by the
  technology of large shopping malls construction)
• The Child Park "Dino" in Minsk (children's
  entertainment)

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Our projects

• The following major facilities are constructed
  and put into operation in the Republic of Belarus
  
• The shopping mall "Gallery" in Soligorsk
• The hypermarket GREEN in Soligorsk
• The children's amusement park "Dino" in Minsk.
• The following major facilities are being
  constructed
• The shopping mall SKALA" in Minsk
• The shopping and entertainment mall "GREEN" in
  Vitebsk
• A number of shopping centers in the capital city,
  regional and district towns is In the stage of
  construction, design or land lots allocation
• The hypermarket HAUSMASTER in Soligorsk,
• Shopping malls GREEN in Polotsk, Slutsk, Pinsk,
  Bobruisk, Lida.

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Our achievements

• Our company works for more than 17 years. During
  this time we have managed to become one of the
  largest Belarusian investment companies. We have
  extensive experience with many complex projects
  in Belarus and Russia.
• The first hypermarket GREEN was opened in
  Soligorsk - the capital of Belarus miners. Open
  Joint Stock Company "Belaruskali" - one of the
  largest in the world and the largest in the CIS
  producer and supplier of potash fertilizers, it
  is located in Soligorsk.
• Therefore Soligorsk district is the leader among
  the Belarus districts concerning the average
  wage. According to the latest data from the
  National Statistical Committee of the Republic of
  Belarus the average monthly salary in the first
  half of 2012 amounted to 679.

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Our development programme

• Plans for developing the shopping malls chain in
  the Republic of Belarus
• The company plans to commission and put into
  operation in the Republic of Belarus more than 15
  hypermarkets and shopping malls by the end of
  2015.
• Four of shopping malls will be built in Minsk.
  The gross area of each one will vary from 10,000
  m2 to 120,000 m2 .
• Our key decision
• Our group of companies will handle the grossery
  retail hypermarket chain and DIY hypermarket
  chain personally.
• The shopping malls will be managed by the
  companys private management as well.

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Target offer

• We express our keen interest to cooperate with
  your company and offer placement of your shops in
  all our shopping malls.
• As the pilot project we can offer placement of
  your shop in the shopping mall SKALA" in Minsk
  which started operating in end of 2013. The very
  shopping mall area is ??43,000 m2.

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Competitive environment

• The commercial real estate market in Minsk has
  extremely low vacancy rate, not only in shopping
  malls and street retail of the city center, but
  also on less busy streets.
• The factor of under-use of the shopping malls is
  less than 2.
• The is no free space in the most successful
  shopping malls, and waiting lists of potential
  tenants are made.

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Major Minsk shopping malls

• (according to the National Statistical Committee
  of 1 - Q3 2012)
• shopping malls with a total area of 5000 m2 with
  a single management are analyzed .
• Main indicators of the shopping malls in Minsk  

? characteristics Total area, thousand m2 Leasable area, thousand m2
1 The total supply of existing facilities 270,4 103,1
2 Commissioned in III quarter 2012 45,9 23,3
3 The total area of ??shopping malls under construction, claimed to be commissioned in 2012-2014. 850
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Major Minsk shopping malls

• Other indicators of the shopping malls in Minsk
• The total retail space commissioned in III
  quarter was approximately 59.5 thousand square
  meters, including 45.9 thousand square meters in
  shopping malls with a total area of more than 5
  thousand square meters/with a single management.
• These malls are relatively small and are
  categorized as the district and neighborhood
  shopping malls. For the current moment, provision
  of Minsk residents with the quality retail space
  rates to 54.6 square meters per 1000 people.

? characteristics value
1 The vacancy rate 1,9
2 Malls attendance on weekdays, 1,2 33,3, ths. / day
3 Malls attendance on weekends 1,5 37,6, ths. / day
4 Provision of Minsk residents with retail space 54,6, square. m/1000 people
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Major Minsk shopping malls

• Minsk shopping malls, commissioned in III quarter
  2012 ?.
• It is important to note that the vacancy rate in
  shopping malls in Minsk in August 2012 fell to
  0.8, and only with the opening of the shopping
  malls ALL and "Nemigoff" increased to 1.9.
• Current trend is this - in the most liquid
  shopping malls of Minsk there is no vacant space
  available and waiting lists are compiled.

Title Address Total area, thousand m2 Leasable area, thousand m2 Commercial opening
mall "Nemigoff" str. Nemiga 3 33523,0 12765 08.09.2012
All ALL Dolginovsky tract, 178 12339,5 10500 05.09.2012
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Major Minsk shopping malls

• For 2012-2014. the following shopping malls under
  construction are claimed to be commissioned (by
  Minsk districts)

? District Shopping mall
Frunzenskiy RAPAckala
Frunzenskiy ProStore
Frunzenskiy Green City
Pervomaiskiy Amadeus
Pervomaiskiy Magnit Minska
Pervomaiskiy Korona Uruche
Tsentralny Zamok
Tsentralny Arena City
Tsentralny Preston Plaza
Oktyabrskiy Galileo
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Major Minsk shopping malls

• Picture 1. Minsk shopping malls

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Minsk shopping malls Attendance

• Diagramm 1.
• Minsk shopping malls attendance, ths. / day

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Competitive advantage of the shopping mall SKALA

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Unique Placementsof the shopping mall SKALA

• Location of the shopping mall SKALA has great
  potential the shopping mall SKALA is located at
  the entrance into the Frunze district of Minsk
  from the city center.
• The Frunze district is the largest one in the
  north-west part of Minsk. Over one million people
  live there at present. 44 housing in Minsk is
  commissioned in the Frunze district.
• It is planned to build two million square meters
  of housing in the nearest future in the Frunze
  district.

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Unique Placementsof the shopping mall SKALA

• Pritytskogo Street is one of the main streets of
  Minsk (the shopping mall SKALAs address
  crossroads n of streets Pritytskogo andGlebko).
• Pritytskogo Street is one of the longest
  highways, directed from east to west of Minsk.
  The second metro line is laid along the
  Pritytskog street. The very street ends out of
  town towards Lithuania and Poland.
• The very important factor is that In the Frunze
  district of Minsk mostly young families reside,
  the vast majority of apartments are purchased for
  their own means.

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Unique Potential of the district, where the
shopping mall SKALA locates

• Most residents of the district is the youth - the
  active part of the society - the middle class
  (middle managers or private entrepreneurs, the
  average income of households - one thousand USD
  per person).
• Purchasing power of the Frunze district
  inhabitants is almost the maximal one in Minsk.
• Buying activity also reaches a maximum (the
  consumer demand for young families predominates).

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SKALA location on the on the Minsk map

• Our shopping mall is located the direction of
  travel from the Minsk center into the largest
  bedroom community.

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SKALAs Smart concept

• Brilliant Unique Features of the shopping mall
  SCALA is the complex concept of the mall,
  including internal filling, appearance,
  engineering and technical solutions and the
  subsequent management of the shopping mall.
• Besides the shopping mall SCALA only the shopping
  mall Corona provides the complex malls concept,
  in other malls there is no concept, and, as a
  rule, no grocery hypermarket as an anchor tenant.
  
• Most Minsk malls are being build with the equity
  method, which makes it almost impossible to
  manage smartly the running malls after
  commissioning.
• Investgroupe RAPA invests, maintains construction
  and manages all its malls (including the shopping
  mall SCALA) itself.

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SKALAs Internal filling

• The shopping mall SKALA will have at least two
  anchor tenants retail chain of hypermarkets
  under the brand GREEN and the sports hypermarket
  INTERSPORT. Both tenants express advanced world
  trend and start operating in Belarus for the
  first time.
• In addition, we are negotiating with the
  following brandholders
• BENETTON, GUESS, CALVIN KLEIN, TommyHILFIGER,
  DEICHMANN, VERO MODA, CALZEDONIA and other.
• These brands attract visit shopping malls
  visitors.

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SKALAs anchor tenants

• The first anchor tenant is the grocery
  hypermarket (own brand) GREEN presents the very
  actual idea of ??increasing the proportion of
  healthy foods in Belarusians shopping cart .
• The GREEN retail grocery hypermarket chains
  strategy and its fundamental difference includes
  maximal rejection of products containing
  synthetic additives and the emphasis on selling
  products that contain only organic additives,
  without which it is impossible to imagine the
  modern technology of production and storage of
  certain products.

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SKALAs anchor tenants

• The second anchor tenant is the sport hypermarket
  INTERSPORT
• INTERSPORT will be the first full scale sporting
  goods hypermarket in Belarus with a large
  service center.
• The retail chain includes more than 5,300
  Intersport stores in 39 countries. Belarus will
  be the fortieth country, the first store will be
  opened in the shopping mall SKALA.
• Belarusians are sports nation in a nation-wide
  scale. At the same time, till now there was
  neither full scale sports hypermarkets in
  Belarus. For the first time in Belarus the
  world's largest network of sporting goods stores
  will be involved.

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SKALAs perfect architecture

• The building of the shopping mall SCALA is
  performed with the highest class of
  architectural, engineering and planning
  solutions, the project was developed by the
  "Vilnius architecture studio", the author of
  "Acropolis" in Kaunas.

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SKALAs layout

• SCALA fits into a complex landscape where the
  drop altitude rents to 7.5 meters. From the
  Glebki street the shopping center is a 3-stored
  one, and from the Pritytskogo street it is
  2-stored.
• The building of the shopping mall SKALA is highly
  original. In order to realize the architect's
  design and simulate the rocky slope the front
  designs were made by special technology in
  factories in Lithuania and Finland according to
  the special order.
• Space indicators

Gross area 43000 ?2
Parking area 15000 ?2
Hypermarket area 9500 ?2
??Trade area and other 18500 ?2
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SKALAs PARKING

• Parking
• Parking lot will accommodate 700 cars and is
  built so that each of its three levels matches
  the malls level. This arrangement has increased
  the cost of the parking construction due to
  increased floor heights up to 4.5 meters of
  parking compared to the standard - 1.8 m.
• The total cost of the parking construction
  exceeded 7.5 mnl. Euro. However, this solution
  has provided extra comfort to the malls
  visitors.

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SKALAs PARKING

• Parking is equipped with a permanent supply and
  exhaust ventilation to dilute and remove harmful
  gas emission.
• For to reduce the noise from the work of the
  ventilation systems, the attenuation device are
  used.

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SKALAs transport accessibility

• Shopping center is facing. Parking will be
  secured.
• The floors height allows to put comfortably on a
  covered park cars of any size. In addition is the
  possibility of a direct passage to the right
  level with each level of the shopping center
  parking lot.
• Visitors who come to the shopping center by
  public transport or on foot will be comfortable
  as well. The main sidewalk from the bus stop and
  from the subway exit to the malls main entrance
  from Pritytskogo street has recreation areas with
  the original landscape.

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SKALAs advanced engineering

• Super modern ventilation system
• Parameters of malls indoor air are performed in
  accordance with European standards. Therefore the
  scheme is applied ventilation with recirculation.
• The use of roof air conditioning units can
  adjust the amount of the fresh air supply,
  depending on the concentration of CO2 in the
  catchment area and, accordingly, the amount of
  recirculated air. At night, in the mode of
  air-heating roof installations operate in
  recirculation mode.
• Said system will provide a constant supply of
  fresh air, as a result many hours of stay in the
  shopping center will not bring its guests fatigue
  . It excluds "the effect of the plane" when,
  after a stay in the room for 3-4 hours a person
  begins to feel the lack of clean air and
  depression.

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SKALAs advanced engineering

• Energy efficiency in buildings
• Air handling units operate on the principle of
  air recovery (when the exhaust air gives off heat
  supply), allowing efficient use of secondary
  energy resources. The building will be highly
  energy efficient.

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SKALAs technological solutions

• Moving between floors provided by walkways.

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SKALAs services sector

• SKALAs services sector will be decorated with
  the food court "Green Continent
• The malls visitors will have a choice between
• European, Italian and
• Asian cuisine.

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Demand for SKALAs retail space

• For the current moment, the operators of Retail
  in Belarus and Russia are showing great interest
  towards the shopping mall SKALA.
• A number of premises have up to 13 requests for
  lease, while the average rental rate is
• EUR 60 per m2.
• And yet, our invest group uses a selective
  approach to the tenants selection aiming to
  create a harmonious, dynamic shopping mall.

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SKALAs Philosophy and Mission

• SKALAs opening in Minsk would be a good
  alternative to shopping in the nearby EU
  countries - Lithuania and Poland.
• Many Belarusians practice driving to the nearest
  EU countries for shopping. In particular
  Belarusian buyers are interested in fashion and
  accessories. The presence of your stores in our
  mall ROCK will cause great consumer demand.

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SKALAs Philosophy and Mission

• Travel for long distances for shopping has a
  large number of disadvantages
• queue at borders
• train does not allow to bring great purchases
• Any trip costs at lest 100 per person.
• Into the shopping mall SKALA the global brands
  will be involved and the European policy of sales
  and discounts will be borrowed.
• The purpose of the SKALAs construction is to
  establish in Minsk the first European shopping
  mall, where the global trends will be subjected
  as well as complied comfortable shopping and
  purchases of the highest quality.

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Cooperation Placement in the shopping mall SKALA

• Detailed negotiations can take place at a
  convenient time for you.
• Additional information can be provided on
  request.
• Kontakts
• Republic of Belarus, 220113, Str.
  Literaturnaya, 12
• 375 (17) 262-51-00
• 375 (17) 217-85-47
• http//rapa.by
• mail_at_rapa.by