Falabella and its subsidiary Mallplaza have signed non-binding Memorandums of Understanding to develop a mixed-use shopping center in San Isidro, Lima, and consolidate six retail assets in Chile valued at approximately $200 million. The restructuring aims to concentrate all group commercial real estate operations under Mallplaza.
The Bottom Line
- Mallplaza will acquire a 51% controlling stake in Inmobiliaria ISIC after a capital increase funds the greenfield San Isidro project.
- Six Chilean assets spanning roughly 140,000 square meters—including Open Plaza Rancagua and Santa Julia—will be grouped into a joint venture valued at UF 4,857,500.
- Grupo Falabella is systematically streamlining its real estate division to position Mallplaza as its sole regional shopping center operator and developer.
Restructuring Real Estate Assets Across Peru and Chile
Grupo Falabella and Mallplaza formalized two Memorandums of Understanding designed to reorganize their commercial property portfolios across the Andean region, according to gestion.pe. The agreement establishes a clear division of labor within the parent conglomerate by designating Mallplaza as the exclusive operator and developer of all shopping centers. Alejandro González Dale, general manager of Grupo Falabella, noted that the corporate maneuver aligns directly with broader efficiency initiatives.
“This operation is consistent with our strategy to have an organization that is increasingly focused and to better leverage the capabilities that exist within the Group,” González Dale stated, as reported by gestion.pe. He added that concentrating management within Mallplaza will accelerate development pipelines and enhance asset valuation.
Unlocking High-Income Retail Potential in San Isidro
The Peruvian component of the agreement focuses on a greenfield initiative located inside the upscale financial district of San Isidro in Lima. The land currently belongs to Inmobiliaria SIC S.A. (ISIC), a wholly owned subsidiary of Falabella, as detailed by Infobae. When the property was excluded from a prior 2024 transaction between the parent companies, market analysts pointed to elevated land valuation hurdles as the primary obstacle, according to Diario Financiero.
To fund construction, ISIC will execute a capital increase supported jointly by Falabella and Mallplaza once local permits are secured. Upon project completion, Mallplaza will hold a 51% controlling interest in ISIC. Pablo Pulido, general manager of Mallplaza, described the upcoming venture to ATV.pe as an imminent “iconic urban center in Peru” designed to capture high-density consumer spending.
Consolidating Sixty Million in Chilean Commercial Property
Parallel to the Lima development, the second MOU targets six retail properties currently managed by Falabella Inmobiliario in Chile. These assets include Open Plaza Rancagua, Santa Julia in Viña del Mar, alongside facilities in Chillán, La Calera, Ovalle, and Valdivia, as outlined by Perú Retail. The portfolio encompasses approximately 140,000 square meters of gross leasable area.
The properties carry a joint valuation of UF 4,857,500, roughly translating to $200 million. Mallplaza will inject fresh capital into a newly formed joint venture vehicle to finance targeted expansion and modernization plans, securing at least a 51% stake and operational control upon completion.
| Asset Portfolio | Target Geography | Valuation / Structure | Resulting Mallplaza Stake |
|---|---|---|---|
| Inmobiliaria ISIC (San Isidro Greenfield) | Lima, Peru | Capital increase post-permit approval | 51% |
| Falabella Inmobiliario (6 Open Plaza/Regional assets) | Chile | UF 4,857,500 (~$200 million) | At least 51% |
Next Steps in Regulatory Approvals and Binding Contracts
Both corporate boards have cleared the initial framework following independent asset appraisals, as reported by ATV.pe. Implementation now depends on executing formal due diligence procedures, drafting binding legal agreements, and securing necessary municipal licenses. Neither company has disclosed a finalized construction timeline or specific architectural details for the San Isidro mixed-use complex.
