What Is Commercial Real Estate?

Commercial real estate refers to real estate used for commercial purposes, so it is also known as commercial real estate. It is distinguished from residential real estate, which is dominated by residential functions, and industrial real estate, which is dominated by industrial production functions. Commercial real estate generally refers to real estate forms used for various retail, wholesale, catering, entertainment, fitness, leisure and other business purposes, and is different from ordinary residential, apartment, villa and other real estate forms in terms of business model, function and use. Real estate with office as the main purpose belongs to the category of commercial real estate and can also be listed separately. More vocabulary used abroad is the concept of retail real estate. Broadly refers to the form of real estate used in the retail industry, which is a narrow sense of commercial real estate.

commercial estate

Commercial real estate

The size of commercial real estate also varies. Large-scale

In recent years, large-scale integrated shopping malls have quickly become the main force of many urban commercial retail markets, while traditional commercial properties have been difficult to meet their requirements for hardware and software, which has left a huge market gap for the real estate industry. Commercial real estate companies that merged the traditional circulation industry with the real estate industry came into being.

According to statistics, starting in 2010, the tightening regulation of real estate opened the curtain. The New Deal mainly targets the residential market, while commercial real estate has become a beneficiary of the New Deal. In 2010, China's commercial real estate showed explosive growth, reaching a record high. From January to December 2010, the investment in the development of commercial buildings and office buildings amounted to RMB 598.884 billion and RMB 185.655 billion, respectively, an increase of 33.90% and 31.2%.

In 2011, with the replacement of the real estate pattern and the adjustment of policies, the development of residential real estate began to slow down, while the commercial real estate market showed unprecedented vitality. Suddenly entered the golden development period. For the whole year of 2011, the year-on-year growth rates of sales of office buildings and commercial business premises reached 16.1% and 23.7% respectively.

Since 2012, the overall development of China's commercial real estate has continued to improve, and the market has gradually moved into rationality. From January to September 2012, the year-on-year growth rates of completed investment in commercial business buildings and office building development reached 25.3% and 36.1%, respectively. From January to September, sales of office buildings decreased by 4.2%, and sales of commercial buildings increased by 2.3%.

Judging from the types of land transfers and the number of commercial real estate project developments in some key cities in the first quarter of 2011, commercial real estate has shown a trend of surpassing residential real estate. In combination with the economic development of some cities, the commercial real estate bubble in some regions has become a foregone conclusion. Commercial real estate bubbles are particularly severe in second- and third-tier cities. China Shopping Center Industry Information Center previously issued a report saying that Zhuhai, Zhongshan, Haikou, Yinchuan, Xining and other five third-tier cities

According to data released by the Ministry of Land and Resources, the supply of state-owned construction land nationwide was 611,000 hectares, a year-on-year decrease of 16.5%. Among them, the land for industrial and mining storage was 147,000 hectares, a year-on-year decrease of 29.9%; the land for real estate was 151,000 hectares, a year-on-year decrease of 25.5%; and other land such as infrastructure was 311,000 hectares, a year-on-year decrease of 1.9%. ^[2]

Targetlessness refers to archery without a purpose. Archery can be targeted without target, but business cannot be targeted. Positioning the market according to the facts and data from the market research of commercial real estate projects is an important step in formulating a basic strategy. Environmental analysis, market analysis, discovery of opportunity markets, determination of target markets, determination of marketing strategies, are the basis of market positioning, and market positioning is the turning point of project success or failure.

Inventory of major commercial real estate events in November 2012

November 2012 was not peaceful. Major commercial real estate events include the successful listing of Xuhui Group, Xincheng Holdings in Hong Kong, Wanda Beijing Tongzhou Nadi, and Kunming Henglong Plaza project. Wenzhou Longwan Wanda Plaza opened; major retail brand events include Tianhe Cat Suning Tesco "Double 11", Wahaha Hangzhou WAOW mall opened on the 29th, Shenzhen's first Apple store opened, Intime department store national store 14th anniversary celebration; however, there were also many negative news this month. Billion Annoyed Investors, Chairman of Jingji was exposed to Macau s gamble to lose Jingji 100 Building, Long Lake Real Estate Chairman Wu Yajun's divorce, Shanghai Bund Land King Competition Trial, Delayed Progress of Changsha's "Sky City", Wal-Mart's National Layoff Plan Quietly In progress, Zhang Lan, chairman of Qiaojiangnan, was exposed to change his nationality ...

The focus of real estate companies in 2013 will shift to commercial real estate to accelerate the deployment of second-tier cities

Reporter statistics found that nine real estate companies like Vanke, Poly, Longhu, and Gemdale Group will take commercial real estate as the focus of development in 2013, especially the proportion of "self-holding" is still increasing. Five real estate companies, including Greentown China, China Merchants Real Estate, Evergrande Real Estate and Fantasia, will increase their presence in second-tier cities in 2013.

Inventory of commercial real estate events in January 2013

Major commercial real estate events in January 2013 included Vanke's "B to H" proposal, Nanlian Real Estate changed its name to "Vanke Overseas Real Estate", Ruian established Xintiandi Company, CapitaLand renamed to CapitaLand, Greenland Hong Kong's shell buying has started, Shenzhen Haiya Fun City opened on the 19th, Beijing Investment Bank Yintaihao threw 10 billion yuan in Beijing to seize land, and so on; major retail brand events include the departure of Ding Yao from Wanda Department Store, Qiaojiang South's listing hearing through the Hong Kong Stock Exchange, the launch of Wangfujing Online Mall, and Leshijiazhuang and Tianjin stores opened together, Tang Jun officially left Xinhua Capital and so on; however, there were also many negative news this month. Wenzhou's 400 million real estate trust developer Run Road, Agile Chen Zhuolin were formally charged with indecent assault, and Ivanhoe Cambridge evacuated. China, South Korea's E-mart plans to withdraw from the Chinese store business, Wal-Mart's Zhengzhou Erqi store is closed, Metro announces the cessation of the expansion of Wanda City in China, Yum! Catering publicly apologizes for the "quick chicken" incident, etc.

February 22, 2013 Beijing News The National Bureau of Statistics today released the 2012 National Economic and Social Development Statistical Bulletin. The communiqué showed that the annual investment in real estate development was 7,180.4 billion yuan, an increase of 16.2% over the previous year. Among them, the residential investment was 4,947.4 billion yuan, an increase of 11.4%; the office building investment was 336.7 billion yuan, an increase of 31.6%; the commercial business housing investment was 931.2 billion yuan, an increase of 25.4%.

Top Ten Events in China's Commercial Real Estate in March 2013

Five local rules of the new country were introduced to diversify the development of housing companies. Wanda intends to go public in Hong Kong. Intime, Suning, and Yoshinoshima changed their names to seek business breakthrough. The "first lady" effect favored local clothing brands, Macy's and other foreign department stores. E-commerce curve entering China, China Merchants Real Estate and Gemdale planning product lines leverage financial development for business, Wal-Mart, Tesco's new development strategy in China, Gucci, LV adjust its strategy in China, Hangzhou Jiebai's "Snake Elephant" -style acquisition of Hangzhou Building or failed, Wahaha's foray into commercial real estate underscores the lack of operational experience.

Inventory of latest personnel changes in commercial real estate in August 2013

In August 2013, personnel changes at Sun Hung Kai Properties. He Zhijie replaced Guan Wenhao as a non-executive director; Li Guozhang resigned as the independent non-executive director of Wharf Group; Jianye Real Estate's independent non-executive director changes: Wang Shi resigned as MukKinYau to take over; in the first half of China Overseas Kong Qingping, who made a profit of 13.1 billion Hong Kong dollars, stepped down as chairman of the board of directors; Bailian Group replaced four chairman Chen Xiaohong and Ye Yongming in 10 years ...

Inventory of latest personnel changes in commercial real estate in January 2014

In January 2014, Vanke hired Chen Wei as executive vice president; Wang Rui joined Zhengrong Group as the commercial banner and has laid out 5 million square meters of commercial projects; Ruian Real Estate CEO Li Jingang left and Luo Kangrui returned to the front line of management; Shanghai Zhongying Ruiye Xiang, the chairman of Real Estate, will be the vice chairman of Sanxiang Co., Ltd .; Xu Zhongren will return as the president of Quanlian and set the goal of expanding the store to a thousand in three years ...

In April 2014, RET launched the first commercial real estate index system in China

After two years of in-depth research and professional analysis, on April 22, RET Ruiyide China Commercial Real Estate Research Center released China's first commercial real estate index system. The index system integrates macroeconomic, commercial land, rent, and vacancy rates. Taking into account the characteristics of commercial real estate and the competitive development of e-commerce and physical commerce, it also incorporates O2O development indicators for brand retailers and commercial real estate. As an important reference index for the commercial real estate industry, this index system shows more regular and trendy changes and development trajectories of commercial real estate, and provides a basis for commercial real estate investment and strategic decision-making. ^[3]

"2013 Top Ten Trends in Chengdu Commercial Real Estate": Leasing and Sales Simultaneously Become the Mainstream Trend

Taking the pulse of China's commercial real estate development trends and displaying samples of Chengdu's commercial real estate, the "2013 China Commercial Real Estate Chengdu Summit" planned by the West China Metropolis Daily was held at Mingyu Shangya Hotel on the afternoon of October 25.

Experts and scholars from the State Council Development Research Center, the Ministry of Housing and Construction, agencies, brand developers and other commercial real estate and economic fields gathered in Chengdu. At this meeting, Mr. Zhang Jianhua, general manager of RET Rui De Southwest Region was invited to release "2013 Top Ten Trends in Chengdu Commercial Real Estate". Because it refreshed the "Top Ten New Trends in Chengdu Commercial Real Estate" released by RET in 2012, it attracted much attention.

I. Chengdu commercial district changes from radioactive radiation to lateral radiation

2. The trend of thematic development in business districts is obvious

3. The scale of cities has increased, congestion has increased, and consumer convenience needs have increased.

Fourth, consumers have developed from "commodity consumption" to "place consumption".

Fifth, the identity characteristics of new consumers in more dimensions, laying the foundation for new formats and themes.

6. The trend of going to main stores has intensified, and the proportion of sub-main stores has increased.

7. From the first line to the third line, the imbalance in the rental and sale prices of shops has increased.

8. Retail investors have experienced a round of investment boom and are becoming more rational.

Nine, the residential giants increase the proportion of business, leasing and selling simultaneously will become the mainstream trend.

X. Brand opening channels continue to sink, and luxury brands are developing at a slower pace.

Inventory of the latest personnel changes in commercial real estate in December 2013.