LY: Food plays a huge role in destination venues in North America. In the past, the ratio in big shopping centres or mixed-use developments would be 80% retail and 20% food. Today, it’s the other way around. We’ve had a lot of experience working on the American Dream project, a 3 million square foot ‘retailtainment’ and food destination development in the Greater New York (Tri-State) area – the biggest of its kind in the US. According to the owner, four fifths of the project’s revenue now comes from entertainment and food. It’s a similar story with Eataly, the high-end supermarket chain. Since introducing indoor eating areas, 50% of their business now comes from onsite dining and food consumption.
AN: The F&B offer is also key in hospitality, with many people visiting hotels just for the dining experience. And it’s not exclusive to hospitality guests; it’s also an attraction for locals, which helps to diversify customer demographics for the client. What’s more, the F&B space has become an important extension of a hotel brand because it can be designed to elevate the whole look and feel of a hotel or venue. You see this at MARCUS, Montreal’s Four Season’s restaurant by celebrity chef Marcus Samuelsson. His new restaurant, Marcus Live, which was designed by our team, will soon be opening at American Dream.
In this way, F&B has become an anchor point, enhancing the services and spaces around it, making these venues more commercially viable and sustainable. By providing a compelling reason to visit, F&B can maximise the economics of a project and really generate value locally. Increasingly, I think we’ll see F&B collaborating with retail and hospitality to create a great overall experience. Not as separate vendors, but as partners, working together, which will also provide leverage against the existential threat from e‑commerce. It’s no coincidence that Louis Vuitton and Gucci have recently opened their own restaurants and cafés. And it’s not just retail and hospitality. Mixed-use and workplaces are doing the same, using F&B as a tool to attract people into their spaces.