NEW H-OUR STORE APP BUSINESS MODEL TRANSFORMS SHOPPING CENTER LEASE MARKET

Close to 4,000 users have downloaded the h-Our store app, enabling hourly store rentals at bustling shopping centers managed by METRO PROPERTIES throughout Poland. This innovative concept in the retail market is akin to popular platforms for short-term rentals of apartments and hotel rooms. Through the completion of minimal formalities, all online, new tenants have the opportunity to present their offerings at well-established and renowned locations in the region’s commercial landscape. The h-Our store app has been on the market for one year now and has received two prestigious industry management awards.

“The h-Our store app opens doors to popular shopping malls for local entrepreneurs and retail chains, enabling them to test new concepts or clear out collections. Maintaining a vacant store during re-commercialization is not environmentally or economically efficient, as it involves heating, security, and taxes for the space. Moreover, vacant rental spaces can deter both customers and tenants. The h-Our store concept addresses such problems, enabling local businesses to use these spaces, which is highly appreciated by customers seeking local products and services. Moreover, the revenues generated contribute to rental income and common expenses. The h-Our store is also an excellent platform when it comes to ESG policies aimed at fostering positive local connections and enhancing the well-being of the local community. It’s a win-win for all stakeholders,” says Renata Kinde-Czyż, CEO, METRO PROPERTIES in Poland.

Inviting Option for Local Entrepreneurs

Leasing through the h-Our store app proves that conducting business at a professional, wellestablished market location that has consistent customer traffic is an accessible option for a large variety of tenants in the market. It is an inviting option for local entrepreneurs, prosumers, and artisans and provides opportunities to foster local communities and neighborly relationships. It represents the most flexible leasing option in the market, safeguarding both specialized merchants and local creators from various risks that previously hindered their ability to test their sales potential. For the retail facility, the assortment of products available through the h-Our store represents unique offerings, which are not typically accessible, significantly enhancing the shopping experience of the venue.

As of now, the h-Our store, which is also a valuable tenant incubator, has registered close to 250 companies, and the app has been downloaded onto the mobile phones of 4,000 users. The h-Our store has also gained recognition from retail industry experts and managers. At the annual Property Forum conference in Warsaw, it clinched the top spot at the multistage PropTech Festival 2023, distinguishing it as a standout technology in the real estate sector. In addition, in the Polish Council of Shopping Centers competition, it earned a silver statuette as the Mobile Application of the Year.

Fully automated rental possible from just one hour

The app’s operation is straightforward: Everything is managed online via a mobile phone, and the interface is intuitive. Each store at any location is clearly described in the app, detailing its equipment and features, complete with photos. They are ready-made modules that allow you to start trading almost immediately.

After selecting a location, the lease agreement is executed electronically. Invoices are also generated digitally, with payments processed through PayU. Both the acquisition and relinquishment of the premises are managed remotely using a special door code. Crucially, users have the flexibility to decide the duration and operating hours of their stores. In theory, rentals can be as short as one hour. The h-Our store app is available via both the App Store and Google Play.

An ideal solution for managers of commercial properties

“Utilizing h-Our store to rent space is also an excellent strategy for managers of commercial properties, particularly for those venues in the midst of re-commercialization. Fully automating the process means that no additional staff is needed, leading to extra revenue and broadening the variety of what shopping centers offer. The platform is designed for an unlimited number of stores, spaces, and cities. We invite all players in the retail market to join us,” says Jakub Jarczewski, PR Director, METRO PROPERTIES.

h-Our stores are now open in popular M1 brand shopping centers in central Poland, including Warsaw suburb Marki, as well as in Poznań, Łódź, and three cities in Silesia: Bytom, Czeladź, and Zabrze. In their inaugural year, those stores experienced a great deal of success, particularly in the clothing and textile sector, as well as in the electronics and cosmetics sectors. The tenants include both trading companies and local producers featuring their proprietary products. The longest period of time that a store has been rented out via the app is three months, while the shortest rental lasted three hours. The peak days for rentals are Thursdays, Fridays, and Saturdays, and the busiest hours are between 10:00 AM and 8:00 PM.

Spaces customized for new tenants

The h-Our store units are ready-to-use retail spaces designed for the utmost flexibility in order to meet the needs of future occupants, allowing for almost instant rearrangement. These spaces come equipped with comprehensive, wheeled modular fittings, which includes shelving units, racks, a professional cashier’s desk, and fitting rooms. The decor has been composed of neutral tones, thereby allowing for the ideal display of goods from every sector, except for food producers and retailers.

A large glass storefront features a multimedia screen that highlights the store’s offerings. “h-Our store is a platform that accommodates an unlimited number of stores, spaces, and cities, fosters the development of new shopping experiences for mall customers, and simultaneously serves as an incubator for new tenants for property managers. Our doors are open to retailers from around the globe, shopping mall managers, and investors,” adds Jakub Jarczewski.

Renata Kinde-Czyż

Renata Kinde-Czyż is Managing Director, Business Strategist and Sustainability Expert at METRO PROPERTIES Poland