The investment costs of “The Circle” amount to around SFR 1 billion (€920 million). The Zurich Airport owns a 51% stake, Swiss Life AG owns 49%. Image: Zurich Airport
Development

Zurich Airport is the largest mall in Switzerland

The transport hub is getting even more sales space. The reason is that the operator primarily sees growth in the profitable non-aviation portion of the business.

After six years of intensive preparations, preparatory and underground work started on “The Circle” at Zurich Airport earlier this year. The completion of the first stage of the project, which is the largest building site in Switzerland, is planned for the end 2018. “The Circle” will be a service center with an area of ​​approximately 180,000 sq m. The architecturally striking building complex will also feature a varied interior, according to the airport press office.

The Circle. Image: Zurich Airport
The Circle. Image: Zurich Airport

From a retail perspective, this interior, or more precisely, its dimensions, packs a serious punch: It reshuffles the cards in the country’s shopping center ranking. Glattzentrum in Wallisellen will have to give up its position as the largest mall in Switzerland to the current number two, Zurich Airport.

The strong Swiss franc as a problem

The transport hub is the country’s gateway to the world. No fewer than 2,673,965 passengers passed through in July 2015 alone. Even so, the airport operator sees growth primarily in the significantly more profitable non-aviation business. Although 60% of revenues in the previous fiscal year came from the traditional airline business, this yielded only one third of the profits. The largest contributions came from the commercial business as well as the management of properties and parking garages. In public shopping areas, the airport differs little from a mall. Business here has been very robust despite the appreciation of the Swiss franc, whereas the duty-free area has witnessed a decrease since the beginning of the year.

The upcoming expansion of the shopping area at the Zurich airport constitutes an exception in the Swiss retail market. Due to the strength of the local currency, investors are currently holding back. The Swiss themselves prefer to buy over the border in neighboring countries. Zurich Airport has several advantages its competitors lack, however: On one hand, it has extremely liberal opening times, on the other hand, it enjoys ever increasing numbers of passengers and airport staff.

Sign up for our ACROSS Newsletter. Subscribe to ACROSS Magazine.

Development MORE

Preparing for the Breakthrough

Nivy Station in Bratislava, is taking its final form. The international bus station, shopping mall, farmers’ market, and green roof for active rest and relaxation are being prepared to welcome people from all around the country at the end of this summer.

About Mixed-Use Real Estate Drivers

Digitalization, flexibility, and mobility trends are key factors according to Multi Corporation.

Eurovea Generates Movement along the Banks of the Danube in Bratislava

The Eurovea mixed-use complex was completed in the Slovak capital just over 10 years ago. The shopping center is being enlarged by 25,000 sq m, with the new retail space scheduled to open next year.

Opening soon: the second stage of Slovakia’s most ecological shopping center

The shopping area of Eperia in Prešov is increasing by a whopping 50% with 25 new shops, new restaurants, and a multiplex cinema.

About the Green Roof of Nivy Station

HB Reavis has created an oasis for leisure and retail in the heart of a lively district in the Slovakian capital. The 12,000-square-meter green roof serves as a highlight.

Projects & Openings Europe

Cano, GERMANY +++ Galerija Belgrade, SERBIA +++ Galeria Andrychów, POLAND +++ Prishtina Mall, KOSOVO +++ Drehscheibe, GERMANY +++ Novum Presov, SLOVAKIA +++ Mesto Vstrechi, RUSSIA +++ AFI Brasov, ROMANIA +++ Center Alt-Erlaa, AUSTRIA +++ Plärrermarkt, GERMANY