San Francisco International Airport has received significant interest from the duty free industry for the upcoming Request for Proposals (RFP) process for the International Terminal Duty Free and Luxury Stores Lease.
Many of the leading duty free operators in the Americas, as well as several Asian and European groups, attended the informational conference held at the airport on April 4.
The Lease is for the operation of 10 Duty Free and Luxury Stores locations post-security in the International Terminal, and one location in Terminal 1, totaling 45,943 square feet. The concepts sought are duty free core category shops and high-end luxury boutiques. The Lease term is fourteen years. The proposed minimum annual guarantee is $42,000,000.00, and the Minimum Acceptable Percentage Rent Offer is Thirty Percent (30%) of Gross Revenues.
According to the sign-in sheets posted on the SFO Concessions opportunities website, representatives from Dufry and Hudson Group, Duty Free Americas, DFASS JV Partners, Heinemann Americas, ATU America, Pacific Gateway Concessions and Paradies Lagarderé attended, along with incumbent concessionaire DFS Group.
South Korea’s Lotte Duty Free and Hotel Shilla Co., as well as Istanbul-based Setur Servis Turistik also attended.
Small, local and disadvantaged businesses were also encouraged to participate. Among the ACDBE companies attending were representatives from San Francisco-based Skyline Concessions, and Palazzo Concessions, who partners with Hudson Group and HMSHost with operations in Los Angeles and San Francisco.
Casino-resort/airport specialty retailer Marshall Retail Group was also on the list, as was luggage and travel accessories specialist RDG Concessions, among a number of airport, business development and capital projects consultants.
The informational meeting allows the airport staff to discuss concepts, minimum qualification requirements, address any questions relating to the Lease and receive comments from participants. For more information, go to http://mission.sfgov.org/OCABidPublication/BidDetail.aspx?K=11775.