Three Pitfalls In The Development And Operation Of Shopping Centres

First is the trap of business thinking.

People often say: whether to do commercial real estate or real estate business?

Most commercial real estate developers in China have moved from residential development to commercial development.

The mode of housing development is cash flow plus profit, only when the house is sold.

It is possible to roll out the development, and the profit will be high if the housing price is high or the cost is low.

When it comes to commercial real estate, it often considers whether cash flow can cover the business from the perspective of development. How can the cost be lower? But the development of a shopping center is roughly 800 million yuan in the three line cities, while the operating income of the shopping center in forty years will reach about four billion yuan.

Therefore, people who make commercial real estate start from commercial operation and start from the end. Only when business projects are not outdated, investment operation is done, people's income is guaranteed, and early investment can be recovered.

Next is the trap of business mode.

Current domestic

There are two main business models. One is the cash flow asset model marked by Wanda and Xincheng holdings.

In this mode, the cost of investment in commercial property must be compensated through the development of complex and the profit of the marketable business.

This means that the ability of professional development of residential and commercial enterprises must be very strong. At the same time, there must be a strict evaluation mechanism for land development within the enterprise, so as to ensure that the development plots can meet the planning layout and business model of the commercial complex.

The other is the trust fund mode which takes Hongkong enterprises as the mainstream.

These enterprises have strong overseas financing capability, low financing cost and heavy financial burden. They can keep their pure commercial shopping centers and office buildings and get investment returns through long-term operation.

But these enterprises often choose in a second tier city, business incubation period will be relatively short, the layout of the city is relatively limited.

The third is the trap of commercial talents.

In recent years, with the housing market being regulated by policies, various housing enterprises have been fighting for commercial real estate. Even businesses that do not understand commercial real estate have switched to commercial real estate, and the volume of commercial volume of the whole society has expanded rapidly. When more and more capital and land are flowing into commercial real estate, talent has become a major factor that puzzles the development of commercial real estate.

The rapid development of land development, development and construction, planning and design, investment operation, property management and so on all need professional talents, but unfortunately, these areas are very short of people at present.

The quality of commercial real estate talents varies greatly, and the quality of talent is relatively low due to the acceleration of talent mobility.

A project cycle and a talent growth cycle have not yet been completed, and enter another stage and another enterprise.

Nevertheless, the shopping center is still an industry with broad prospects, rapid development and continuous improvement in its development level. It is imperative for all enterprises to seize opportunities, meet challenges and avoid traps, and find their own world in fierce competition.