Longhu Tian Jie System Accounts For More Than 8 Per Cent Of Rent Income

Longhu media chief told reporters, "since last year, Longhu real estate has begun to strive to inventory.

At the same time, a reduction plan has been made in the start-up area.

More importantly, as early as many years ago, Longhu began to layout commercial property, Future Ltd will launch about 3000000 square meters shopping center to the market.

Low profile near the alternative Longhu real estate also began to force commercial real estate Red Sea, want to compare with Wanda ratio.

But it has to be said that this is a risky choice.

According to the world famous comprehensive commercial real estate service and investment company Sibon Richard's global survey of 180 cities, it is found that China has the largest number of shopping centers in the world, accounting for more than half of the total.

At the same time, the development of Internet shopping squeeze and other new formats has made the total supply and demand of domestic shopping centers seriously unbalanced.

A few days ago, the more than 20 famous brands collectively withdrew from Huaihailu Road, Shanghai due to rising land rent and labor and actual sales volume, which aroused great concern at the government level in Shanghai.

Under this situation, what kind of abacus is Longhu real estate determined to dive deep into commercial real estate red sea?

Actively promoting commercial property

In the past six months, Longhu real estate has been actively promoting its commercial property, and Tian Jie is its main brand.

"Tian Jie is a regional shopping center for middle-income new families. It does not contain high-end products such as luxury goods, nor does it do very low-end things. Its products focus on the position of middle and upper fashion."

In July 24, 2014, Longhu released a new image and positioning of the "Tian Jie" project, and made a new interpretation of the group's commercial real estate path: it is estimated that by 2017, the number of opening days of Longhu Tian Jie shopping center will increase from 5 to 14. By that time, the total number of shopping centers held by Longhu will exceed 20, and the total opening area will exceed 3 million square meters.

Before that, from 1 to June in 2014, the three phase of Chengdu Jin Nan Tian Jie, Shanghai Hongqiao Tian Jie, Beijing times sky street and Chongqing times street street were under construction.

The two days of Chongqing days street, Beijing long Ying Tian street, Chengdu era sky street 1, Xi'an Longhu star Yue Hui will also open in late 2014.

Hangzhou days street, Chengdu Jin Nan Tian street is expected to be completed and opened in 2015.

Guotai Junan analyst Yu Lifeng told reporters analysis, "in the long run, commercial real estate has a relatively stable business model, so for real estate companies are good choices.

Comparatively speaking, Vanke recently stepped into the commercial real estate sector. The volume of Vanke is bigger. The development needs quick turnover and more land. So the choice space of the Vanke will be smaller. The government says that it needs to build commercial property, and Vanke will not have much choice.

And the scale of Longhu is not so big, the restriction is less, it can be adjusted a little. "

Yu Lifeng believes that now the development of sales mode has been unsustainable, and commercial real estate can create a relatively stable cash flow, so developers become the object of pursuit.

In this regard, good lots, lots of land, ample funds and stable operation teams are essential elements.

Longhu's commercial operation in Chongqing is relatively good, so it has certain advantages. However, the advance of commercial property needs to go step by step.

At present, the investment property of Longhu group is mainly divided into three major products: City shopping mall, Tian Jie series, Community Shopping Center Star Yuet Hui series and high-end home life shopping center.

As of June 30, 2014, the Longhu group has opened a shopping mall with an area of 760 thousand square meters, with a total occupancy rate of 95.8%.

The total rent is 400 million yuan, and the rental income after deducting business tax is 380 million yuan, up 24.1% from the same period last year.

Among them, Tian Jie is still

The main source of income accounted for 82.2%.

The growth rate of rental income is also the highest, at 28%.

In the future, Longhu will invest in holding property in the form of the upper limit of 10% of the sales property in the year. The plan will increase the contribution of commercial real estate to the core profit of the group from about 5% to about 20% through the development of 10 to 15 years.

Shao Mingxiao, chief executive officer of Longhu group, said that Tian Street shopping center will be the main investment direction of Longhu's "business" strategy. The implementation of its brand new image and business philosophy will help Longhu create a "good place" concept for customers.

In the shopping center's trading strategy, although the Longhu group increased the cooperation to the strategic level of the group, the media leader of Longhu group told reporters that the Longhu group began to plan to increase the proportion of commercial property in 2011, and it is expected to increase to 20% by 2026.

"In the operation of shopping centres, Longhu insists on its own initiative. There is no plan for light assets operation. Other shops, such as residential Deshang, will be sold."

Although light assets have not yet been put on the agenda, they are also under consideration in Longhu.

Wei Jian, general manager of Longhu commercial operation company, told reporters that the choice of light assets will certainly be attempted.

With the support of 10% of the group's sales, and with these funds, the development of Longhu's commerce will be faster.

Wei Jianyi said, "the project of light assets operation must be in the first tier cities, and the fund is also the front line, such as Shanghai and Shenzhen.

The projects currently open in Longhu are mainly concentrated in second tier cities.

If you want to share a good project with others, this is the most basic thing, so the company wants to run well first, earn money, and cooperate with others. "

Faced with the oversupply of shopping centres in some cities, housing companies need to be more cautious and risk control when choosing to enter the city.

In this regard, Longhu has designated six core cities, including Chongqing, Chengdu, Beijing, Hangzhou, Shanghai and Suzhou.

Wei Jian said that Longhu is still more trusting of the core cities, and will not easily go to places that are unfamiliar but offer favourable conditions.

In the long run, core cities still have higher growth potential, including urban volume, population density, consumption habits and so on.

Longhu's first tier city shopping arcade, Beijing long Ying Tian street, will open in late 2014, marking Longhu's official entry into the first tier cities.

By the end of 2016, Tian Jie commercial project will be fully featured in Beijing, Shanghai and other tier cities.

According to the Longhu business development plan, it is estimated that by 2017, the number of opening days of shopping mall in Longhu will be increased from 5 to 14, all of which are located in 6 front-line and leading second tier cities in Chongqing, Chengdu, Beijing, Hangzhou, Shanghai and Suzhou.

By then, Longhu will have more than 20 opening stores, with a total area of more than 3 million square meters.

Wei Jian said, "the future development of Longhu's commerce will emphasize more strategically. On the one hand, according to the brand positioning of Tian Jie, we should take the initiative to find commercial plots suitable for developing shopping centers in the target cities. On the other hand, we should follow the business philosophy to carry out planning and construction after taking the land."

With the weakening of the sales market, the land market has begun to cool down. Longhu said that it will focus on Beijing, Chengdu, Hangzhou and other cities with abundant capacity and team maturity, so as to supplement the urban quality plots with reasonable prices.

In addition, the two largest new towns in Nanjing and Foshan were added to the new towns with the base price acquisition and equity cooperation to further expand the depth distribution of high-energy cities and enhance the proportion of land reserves in the near urban areas.