Fangxing Real Estate Test Water High-End Community Business

Recently, Fangxing real estate released interim results report, the first half of 2014, the company's property development sector signed sales of HK $9 billion 763 million 500 thousand.

Company owners should account for HK $3 billion 651 million in profits, an increase of 63% over the same period last year.

Behind the annual report, the retail commercial real estate sector, as one of the core sectors of Fangxing property's "two wheel drive strategy", has shown some potential for development.

According to the plan, the retail commercial real estate area of Fangxing's business in the next 5 years is expected to exceed 1 million square meters.

Fangxing real estate speeds up business layout

"The scale development trend of Fangxing business has initially appeared."

Chen Lilin, director of the Commercial Services Department of RET Rui Yide, pointed out that Fangxing real estate has been developing from the scattered and limited Star Development in the past to the coverage of city level regional business centers, tourism and vacation businesses, community oriented businesses and business supporting businesses.

According to Ren Yanhua, vice president of Fangxing real estate, Fangxing real estate has always had a clear strategic positioning for the retail commercial real estate sector.

As early as the establishment of the planning, Fangxing business set up four retail business lines, namely, city commercial center, community business, business supporting business and tourism holiday business.

In the actual business development, Fangxing business has always been guided by these 4 product lines.

On June 2, the investment and Jinmao holdings of Fangxing real estate were listed on the business trust mode. The amount of financing reached HK $3 billion 531 million, and the investment value of Jinmao investment exceeded 10 billion Hong Kong dollars.

This is the largest IPO of the Hongkong capital market in the first half of 2014. According to the total assets value, Jinmao investment has become the largest listed commercial trust in China.

The industry believes that this marks Fangxing real estate in the field of commercial real estate outlined brilliant, and its future in the commercial real estate action will be significantly increased.

Seize CBD's last mile business opportunities

With the highlight of CBD's last mile business opportunities, community commerce has become the focus of developers' attention.

According to the data, in the first tier cities, there is still much room for improvement in Beijing's community commerce. From the perspective of quantity, there are only 44 at present, compared with 83 in Shanghai, it is still in the value depressions.

Therefore, we always insist on Fangxing Beijing, which occupies the core area of the city. The first battle in the community commercial real estate began with the Qujing, Jinmao town and the commercial street.

Occupied by heaven, earth, and human, Guang canal, Jinmao town commercial street, is located in the upscale and mature living area nearest to CBD. It has only 5 minutes' journey with the three major business circles of China World Trade Center, Huamao and Fuli, surrounded by two horizontal, three vertical and 5 main roads. At the end of 2014, the 7 and 14 lines will be opened one after another.

Form the intersection of golden cross.

At that time, the huge passenger flow at the interchange will bring hundreds of millions of business opportunities to the business street. On the other hand, close to the west side of Guang canal and Jinmao Fu, there will be a planned commercial land with a volume of 150 thousand square meters, which will lead the surrounding businesses to form the East Fourth Ring business circle.

"Good.

The long-term return on investment is much higher than that of office buildings and residential buildings.

A commercial real estate investor thinks that for the investors who value the long-term returns, Guang Qu Jin Mao street has obvious long-term investment value.

It is understood that Fangxing Beijing specially takes the lease sale, unified management way to operate Guang canal, Jinmao town commercial street.

In order to ensure the quality of community business, Fangxing has rejected the high yield but not profitable long-term real estate agents, fast food and other formats. The current rental brands include the private shops, ZOO COFFEE, Wu Yutai tea house, and the main hall of the Imperial College.

Commercial real estate personage introduces, according to the current bulk sale mode, once the sale property is sold, it has nothing to do with the development enterprise. Most of them are in a state of self destruction. Investors can only rely on intermediaries or wait for customers, let alone the positioning guidance of commercial property in the early stage and business management guidance. Such scattered commercial projects are often because of the lack of unified planning and positioning, and the failure rate is very high.

This has caused many commercial property sales to flourish, but business is difficult.

Leasing sales means that when investors purchase a shop, they sign a lease with the developer and lease the purchased property to the developer.

During the rentals period, the owner can get a fixed rental return from the developer at regular intervals.

During the lease term, the developer will sublet the real estate business.

This mode of operation can avoid all kinds of risks encountered in the early stage of project operation, but this mode of operation is suitable for the relatively mature areas of the real estate market, and developers must have certain management experience.

According to the above analysis, generally speaking, the first three years are the business period of the shops, and the investors of the shops often have to bear the consumption for three years in order to gain long-term profits.

The new lease sale mode of Guang canal and Jinmao town commercial street can help the owners to get through the business period smoothly. On the other hand, unified operation management can also ensure the quality of life of the community owners.

And Fangxing real estate, which has mature management experience in hotels and office buildings, is also capable of long-term capital operation. The commercial value of the future Guang canal and Jinmao commercial street is obvious.