Analysis Of The Format Adjustment Of UNIQLO In Victoria Plaza

< p style= "text-align: center" > img border= "0" alt= "align=" center "src=" /uploadimages/201405/22/20140522085202_sj.JPG "/" < < > >
< p > since the announcement of its Victoria Plaza and a href= "//www.sjfzxm.com/" > UNIQLO "/a" cooperation in March 26th to build the largest flagship store in Southern China, Hongkong's real estate trust fund (Yuexiu real estate trust fund), which has been active in Hongkong capital market, has become the "red man" in the Guangzhou commercial real estate circle. < /p >
< p > May 16th, Cheng Jiuzhou, deputy chief executive officer of Yuexiu housing and other management, interviewed the media on the introduction of UNIQLO and the reduction of the cooperation area of Gome, the positioning adjustment of Victoria Plaza and the development of its property. < /p >
During the period of < p >, the reasons for cooperation with UNIQLO were mentioned. "Yuexiu is the upgrading of the whole Tianhe River, and UNIQLO also needs to become a good flagship store with independent identities." < /p >
< p > "after the opening of Tai Koo Hui, the whole Guangzhou business was upgraded to a grade, from Tianhe City to the age of Tai Koo Hui. After that, some international and good business forms gradually appeared in the whole Tianhe business circle, and some lagging forms were marginalized. If Victoria does not seize this opportunity, the space and time will be lost in the future. < /p >
"P > recalled the original adjustment decision, Cheng Jiuzhou regrets," we were sensitive to the great changes in the Tianhe business circle, and some old formats had no vitality at all. This place is not a stream of people, the market does not accept this category, and then continue to run, a huge amount of rent can not afford, the arrears of rent, this is a phenomenon that the administrator is very reluctant to see. < /p >
Less than P, Victoria has almost more than 20 tenants as before. The main tenants are the replacement of Gome and UNIQLO. < /p >
Although the adjustment of < p > Victoria is still in progress, with the gradual maturity and adjustment of other business circles in Guangzhou, there will inevitably be a diversion of consumption. In this regard, Yuexiu housing is very confident that it believes that the uniqueness of Tianhe is more obvious, from Monday to Friday, high-end consumer groups are more intensive. Coupled with their own convenience and richness, people around you will come over Saturday and Sunday. < /p >
< p > "like Hongkong Tongluowan only one, it is hard to shake. The geographical location of the Tianhe river is hard to shake for a long time, even if other business circles are developing again. < /p >
< p > in addition, with the gradual completion of the East Tower in Guangzhou, when it comes to the recent market prospect of Zhujiang New Town Office, Yuexiu housing management believes that there is a time difference between the East Tower and the West Tower of Yuexiu housing tower in the development time. The two buildings in one area will form direct competition to some extent. In fact, when the East Tower was built, the West Tower had already won a more stable time. < /p >
At present, the hotels of West Tower have been stable. Last year, more than a year ago, the renewal rate of our office buildings has reached 85%. After another one year's efforts, the renewal rate of P will be further improved. So, after the East Tower is really built, its impact on us is limited. < /p >
< p > below is a live record of the real estate trust fund management in Yuexiu. < /p >
< p > field questions: what changes has taken place when UNIQLO entered the a href= "//www.sjfzxm.com/" > Victoria Plaza "/a"? < /p >
< p > Yuexiu housing: the first change is the change of people. < /p >
The P traffic volume of the first three days of UNIQLO opened to nearly 100 thousand people, equivalent to the annual volume of vlorie traffic last year. Especially on Saturday, Sunday and weekend, the number of people is much higher than usual. < /p >
< p > we hope that the flow of people in the future will continue to be stable. A newly opened field is unknown to others, but after a period of opening up, people will have more traffic and repeat customers. To do business, it is necessary to have people's flow, and the volume of transactions will help the rent of Victoria, and how much help is not very specific. < /p >
Before P, Victoria was mainly selling electric appliances, and the surrounding people could not get in. In addition to electrical appliances and nothing to buy, people could not buy electrical appliances every day, so there were fewer people at that time. < /p >
< p > now, the products provided by UNIQLO are the dominant demand in this area. < a target= "_blank" href= "//www.sjfzxm.com/" > dress < /a > fast fashion has a very clear positioning, which can attract the flow of people at the doorway of Victoria, and the change of people's flow is very obvious. < /p >
< p > Second, the image has changed greatly. The building used to be nearly ten years old, and now UNIQLO has made 80 million comprehensive decoration for it. We also invited international famous design companies to design and plan the area outside UNIQLO, so the fashion sense and image of Victoria are different from before. < /p >
< p > Third, after the operation of UNIQLO, Victoria's other formats have been adjusted accordingly. According to the international fast fashion positioning, UNIQLO is the main tenant, and other areas outside UNIQLO, including the 1, 2 and 5 floors of C District, are gradually attracting customers and investing in this location. < /p >
< p > we expect this year's national day to be the second peak of VD's adjustment. March 28th's UNIQLO practice was the first adjustment. The National Day is a comprehensive display of the whole VTO's one to four floor. Now we have some rental contracts being signed, and some design proposals are being examined. Next month is the peak season for decoration. We want to catch up with the national day. < /p >
P. After all, National Day is a high season for consumption. We also want to start business before that. {page_break} < /p >
"P > < strong > field questions: the contract between Victoria Plaza and Gome has stopped. How is it negotiated? < /strong > /p >
< p > Yuexiu housing: at that time, the contract between Gome and US was released in December 31, 2014 and we lifted the contract in July last year and a half year ago. < /p >
The main reason for the early lifting of P is that we want to buy time. At that time, we felt that the whole Tianhe business circle had undergone great changes. Some of the old formats had no vitality at all. This place has few people, the market does not accept this category, then continue to run, the huge rent can not afford, the arrears of rent, which is very reluctant to see the phenomenon of administrators. In fact, Gome continued to be in arrears at that time, and there had been several delays. < /p >
On the one hand, the operation of P is going down. On the other hand, the whole Tianhe river is upgrading. UNIQLO also needs to become a good flagship store with independent identities, rather than a counter in a shopping mall. < /p >
P, the largest shopping mall in Tianhe, is called Tai Koo Hui. After the opening of Tai Koo Hui, the whole Guangzhou business was upgraded to a grade from Tianhe City to Tai Koo Hui era. After that, some international and good business forms gradually appeared in the whole Tianhe business circle, and some lagging forms were marginalized. If Victoria does not seize this opportunity, the space and time for future adjustment will be lost. < /p >
"P", so we started the layout in the year before last, and began negotiations with Gome last April. This negotiation has always alerted Gome's top Beijing. At that time, our strategy was to hope that he could solve it in advance. On the one hand, Gome could not pay such a high rent. On the other hand, we left Gome a more than 1000 square meter on the negative level as the main product store for 3C. < /p >
< p > we have to adjust one year and a half ahead of schedule to meet the needs of upgrading and upgrading of Tianhe business circle and seize the opportunity ahead of time. < /p >
"P > < strong > field questions: last year, Victoria's performance fell by about 30%?" /strong > < /p >
< p > Yuexiu housing: no 30%. In October last year, the contract with Gome was lifted. After the completion of the contract, the rent free period was three months to the end of the year. This is only a matter of time. If we adjust this year, it will also decline next year. < /p >
< p > this rent free period is normal, which has nothing to do with the performance of the whole Yuexiu housing tower, only a few million. Our annual rent is 1 billion 370 million plus that of the West Tower. The contents of the contract should be reflected on the accounting, and then reflect on the statement, there will be some losses. < /p >
"P > < strong > field questions: what is the rental rate of Victoria now? How many tenants do Victoria have?" /strong > /p ".
< p > Yuexiu housing: as before, there are almost more than 20 tenants. The main tenants are the replacement of Gome and UNIQLO. The total number of tenants has not changed much, mainly because of the great changes in the management content. < /p >
Less than P, Victoria's rental rate is currently over 80%, and it is expected to recover to 100% by the end of June. The lease is now under discussion and should be rented out next month. Before the adjustment, the whole renewal rate is very high, which is 98% every year. < /p >
< p > now in the 17 thousand square meters, the real lease is about 5000 square meters, that is, the one or two and five floors of the western district. The 5000 square meters will be completed and opened in the next four months. In fact, the lease has been settled, but it needs to enter the decoration. But some brands already have posters on them, such as Adidas on the first floor. < /p >
Q: how long is the lease of UNIQLO? How big is it? < /strong > < p > strong.
< p > Yuexiu housing: the lease is ten years, the rental area is more than 10 thousand square meters, accounting for 40% of the 27 thousand square of Victoria Plaza. < /p >
< p > 17 thousand square meters are the area of non UNIQLO, some of which have been opened before. In addition, there is a 52 story office building. There are many business travelers. They need a business express way. This part of the office has a lease. We keep it. There is a Starbucks cafe on the first floor and a more than 1000 square meter Gome. These are fixed tenancies. < /p >
< p > the remaining area is not very much. This part of us wants to start again on national day. By October this year, that is to say, in four months, the remaining part of Victoria can be fully opened, so that the first stage of adjustment can be completed. < /p >
"P > < strong > field questions: you mentioned the need to build fast fashion clothing brand, what kind of clothing is the rest area? < /strong > /p >
< p > Yuexiu housing: the remaining investment business, our overall positioning of the core point is fast fashion, but also international. Victoria's name is composed of these two components. I hope this brand is not only a local brand in China, but also influential in other regions outside China. < /p >
< p > positioning is fast fashion, not for senior citizens or children. It must be young people and white-collar workers. The main group of consumers aged 20 to 30 or older. < /p >
< p > Why do we choose this main consumer group, because in this neighborhood work, shopping here, including shopping center over the past 20 years, this group is the main body. They have this kind of shopping demand and they need to provide such products. < /p >
< p >, so in the investment business, actually grasp these two key words, fast fashion and international. Next, our remaining merchants' investment is going around this direction. Including if you recruit in, if it does not meet our orientation, there may be two adjustments. < /p >
< p > < strong > field questions: what is the rental form of Yuexiu housing and UNIQLO? < /strong > < /p >
< p > Yuexiu housing: fixed rent plus royalty, linked to their turnover, they have increased and we have also increased. < /p >
"P > < strong > field questions: will the rent plus royalty of UNIQLO be extended to other merchants in the way of rent collection, or is it used exclusively in UNIQLO? < /strong > /p >
< p > Yuexiu housing: at present, it is a case, or it is implemented in accordance with the individual circumstance adjusted by Victoria. Other property leases in the housing estate, other categories in the property portfolio are fixed rents. < /p >
Less than P, the new business owners will introduce similar models, but they will not become mainstream. Because the reputation of this brand is very good, the growth is very high, and the financial supervision system is very stable. If it is a general self-employed person, we can not deal with it in this way, maybe it is to draw him up with fixed rent. < /p >
< p > we have a precondition for what kind of way the customer will use. UNIQLO is the first time that the whole Yuexiu housing estate has adopted fixed rent plus royalty in 1989. The advantage of this way is the sharing of interests between the two sides. < /p >
< p > this half year is also a very important half year for us. We need to understand the operation mode of UNIQLO in the half year. We should find ways to help him grow. Once the two teams are in good shape, the growth of both sides will be assured. < /p >
"P > < strong > questions on the spot: the mode of collecting rent is based on the precondition for their future performance. UNIQLO is also doing a lot of online stores. Now it is also increasing emphasis on online things. Will it affect the offline in the long run? < /strong > < /p >
< p > Yuexiu housing: This is a relatively deep problem when Yuexiu's housing office and UNIQLO consultations were discussed. The development of e-commerce in UNIQLO is online and offline, and the products of online and offline products are differentiated. Some products are suitable for online sale. They only aim at the Internet, and more products need to be sold offline. < /p >
< p > now the impact of the Internet on the entity is because the things on the Internet are much cheaper and much more expensive under the line, which will attract more people to buy online. If the price is the same, many people will understand the product online, and encourage them to experience it offline. < /p >
< p > because clothes are non-standard products, texture, style, what you see, what you see and what you see online may be two different feelings. Moreover, the location of Victoria is relatively good, office, consumption, the subway is very convenient. So many people who know about the brand of UNIQLO, many people are willing to take advantage of the time of commuting or shopping at weekends, and shopping brings shopping. < /p >
< p > we have studied and assessed that this problem has not been directly reduced to physical sales. In fact, the development of shop operators has entered a stage of relative rationality. Now, Suning also introduces the concept of "online and offline" parity, rather than abnormal competition. < /p >
< p > < strong > field questions: is there a shopping mall similar to Victoria's in Tianhe District? < /strong > /p >
< p > Yuexiu housing: there should be no similar shopping mall in the whole Tianhe area. Tianhe District's shopping malls are characterized by large scale, the concept of Shopping Mall, which may have one hundred thousand square meters or even two hundred thousand square meters of volume. < /p >
< p > in such a large volume, it can only be a comprehensive shopping mall. There may be beer and skittles, everything is complete, there is no way to do one of the fast fashion, and fast fashion can not accommodate such a large volume. < /p >
< p > so, in the whole Tianhe CBD business district, the volume of Victoria is unique. < /p >
< p > we chose this point internally for many times, and invited many experts to demonstrate it. We have considered the theme of children and considered making stationery. Whether experts or our practice for so many years, we all think that the trend of fast fashion is the highest degree of investment, the awareness of the market and the focus of consumption of passengers, so we finally choose this direction. < /p >
"P > < strong > field questions: Victoria is catching an opportunity to adjust, although the Tianhe business circle is growing. Like other business circles in Guangzhou, such as the south station business circle, Luoxi business circle and Zhujiang New Town commercial circle are gradually maturing and adjusting, will these business circles divert the flow of people in Tianhe commercial circle? < /strong > < /p >
< p > Yuexiu housing: from the past ten years, the uniqueness of this place is more obvious. The more crowded places are, the more centres will be generated elsewhere. < /p >
< p > but the uniqueness of Tianhe is more obvious. The high-end consumer groups from Monday to Friday are more intensive. Coupled with his own convenience and richness, people around Saturday and Sunday will come. < /p >
< p > there are only a few shops and several shopping malls to other places. But to Tianhe CBD District, he has many shopping malls, all high schools and low schools are complete, one-stop shopping. Driving, subway and BRT can be easily accessible. < /p >
< p > like Tongluowan, Hongkong, there is only one. It is hard to shake. Although Hongkong is still developing around the world, it is still the best, the most complete and the most convenient place for tourists, or Hongkong residents. In fact, this place is equivalent to the concept of Hongkong Tongluowan. < /p >
The geographical location of the Tianhe river is hard to shake, even if P. < /p >
< p > < strong > field questions: how will the housing development in Yuexiu expand the scale of REITs in the future? < /strong > /p >
< p > Yuexiu housing: from our strategic point of view, we hope to continuously expand the scale. The expansion of channels from outside is a direction, of course, this is difficult. The second direction is from the parent company and from the Yuexiu property side. For Yuexiu real estate, he put some commercial properties in the housing to come, it is also good for him. < /p >
< p > first, he can speed up the development cycle. Second, because he is also our parent company, he will continue to hold his rights and interests and continue to enjoy the future value added of these commercial properties after he has been released. < /p >
< p > for example, to the fortune Tiandi square project, Yuexiu real estate has a relatively large characteristic when buying it. It needs mature projects to buy mature properties. Fortune Plaza opened last August. It is less than a year now. We hope it will last longer and mature in every aspect. We will consider that there is no specific plan yet. < /p >
"P > < strong > field questions: How did the company's IFC (Xi tower) score last year? < /strong > /p >
< p > Yuexiu housing: IFC achieved good results last year. The rental rate of office buildings rose from 70% at the beginning of the year to 85% at the end of the year. The rental rate of the whole year rose steadily, with an increase of 15%. < /p >
< p > < strong > field questions: what part of the floor is not expected to be rented this year? < /strong > /p >
< p > Yuexiu housing: the remaining floors of IFC are mainly in the middle and high areas. IFC is the landmark property. The rent in the middle and high districts will be higher. At present, it should be the highest rent office building in Zhujiang New Town. < /p >
< p > < strong > field questions: what is the rent level? Is there any rent increase plan in the future? < /strong > /p >
< p > Yuexiu housing: high and low, 200 yuan to 300 per month. For tenants, there will be an annual increase of 3% or 5%. It depends on a specific contract, for example, a 5 year contract. There may not be any increase in the first two years, and maybe third years. < /p >
< p >, so you can see that our average rent will increase a little every year. This is the characteristic of REITs. In the past five or six years, the rent of each item increased by 3% to 6% every year. < /p >
< p > the rent will be increased in the future. It depends on the original rent of different projects. < /p >
< p > a mature property usually considers the change of CPI, and takes account of the change of the rent of the competitors in the same area. For example, the two properties of wealth and urban construction are relatively mature. Usually, there is no rent free period when we renew our contracts. < /p >
< p > Second, rents on the basis of the previous year is generally between 5% to 8% values, may initially set low, will choose a higher proportion of growth, if the beginning is relatively low, the market downturn, may choose a lower proportion. Mature property has a normal CPI growth and changes in the market itself. < /p >
< p > the situation of the west tower should be based on the ratio of supply and demand of the Pearl River new town and the standard set at the beginning of the rent. < /p >
"P > < strong > field questions: Recently, the East Tower across the West Tower is about to be capped. This is also a relatively high-end landmark. Will the amount of office buildings affect the rent and occupancy rate of the West Tower office buildings? < /strong > < /p >
< p > Yuexiu housing Tower: there is a time difference between the East Tower and the West Tower in the development time. The two buildings in one area at the same time will form direct competition to some extent. In fact, when the East Tower was built, the West Tower had already won a more stable time. < /p >
< p > we will consider that there is a thunder and homosexuality between the two projects, all of which are landmarks in Guangzhou. They are all in the same area, but because the East Tower is only now capped, it will take two years or even longer to complete the business. < /p >
At present, the hotels of the West Tower have been stable. Last year, more than a year ago, the renewal rate of our office buildings has reached 85%. After another one year, the renewal rate of P will be further improved. So, after the East Tower is really built, its impact on us is limited. < /p >
< p > and the West Tower is closer to the subway station. Downstairs also has a cut through point for direct airport, and the conditions in this area are gradually mature. In addition, the Four Seasons Hotels introduced by Yuexiu is also the best hotel in Guangzhou for its price, brand, location and landscape. It is also scarce and irreplaceable. This also improves the market competitiveness of the whole project. < /p >
< p > < strong > field questions: how do Yuexiu real estate and Yuexiu housing to interact? < /strong > /p >
< p > Yuexiu housing: the former chairman mentioned from a strategic height that "we need to have a normal interaction", which is beneficial to the cooperation between two listed companies. Yuexiu housing and Yuexiu real estate are listed companies, which is conducive to the coordinated development of two listed companies. < /p >
< p > as Yuexiu REITs, we hope to be able to continue to build a large scale, because after large scale, the circulation of our market will increase and the volume of circulation will increase. The liquidity requirements of institutional investors for our fund will be more consistent. Compared with international transactions, the proportion of institutional investors and insurance investors has increased a lot in Yuexiu, especially the long-term holding of institutional investors. < /p >
< p > now many large insurance organizations, when buying a stock, must first consider whether your circulation is enough. < /p >
< p > < strong > field questions: how do we choose the property to be injected into the premises? What kind of property will be chosen? < /strong > /p >
< p > Yuexiu housing: the overall management strategy of Yuexiu housing is to focus on commercial real estate. Now our commercial real estate is quite complete. Part of our flagship is office buildings, including wealth, urban construction and new capital, including office buildings in the West Tower. < /p >
< p > second categories are retail stores, and the group buildings of Victoria and new metropolis belong to shopping malls. < /p >
< p > third is the professional market. The brand effect of white horse is very good. In fact, the location of wealth is also a professional market. If this project is injected, it will increase the scale of our professional market and help the category. The white horse is the clothing category, the wealth world is < a target= "_blank" href= "//www.sjfzxm.com/" > shoes < /a > box, bag category, this item belongs to the specialized market segment. < /p >
< p > hotels and apartments are the main categories of commercial real estate, which exist in our current structure. In the future, the acquisition of new projects will also focus on these categories, because the operation and management of these categories have lasted for nearly ten years, and the experience and complementarity of the whole operation management team have been relatively mature. < /p >