[Yangcheng Evening News] Yuexiu REIT Launches a New Round of Business Adjustment
Release Date:2014-03-28 15:42:11

Yangcheng Evening News reporters-Wu Haifei and Sun Jing report: After injection into Guangzhou IFC in 2012, Yuexiu Real Estate Trust Funds (referred to as "Yuexiu REIT") is launching a new round of business adjustment and optimization. Yuexiu REIT, together with the well-known retail giant Fast Retailing Group, recently announced that Uniqlo’s largest and latest flagship store in South China- Guangzhou Victory Square store will open on March 28, which is located in the "Golden Circle" of Guangzhou Tianhe Road, with its business area about 6000 square meters.

Vice Executive President of Yuexiu REIT Liang Danqing said that the current rent of Guangzhou IFC is 25% higher than that of the similar commercial properties in the neighborhood. As one of the four major listing platforms of Yuexiu Holding Limited in Hong Kong, Yuexiu REIT was listed on the HKEx in 2005. With White Horse Building, Fortune Plaza, Urban Building, Victory Plaza and Yuexiu Neo-metropolis Building which are in the core commercial area of Guangzhou, its performance kept rising steadily after listing.

Liang said that thanks to the injection into Guangzhou IFC in 2012, Yuexiu REIT had a compound growth rate of 20% from 2008 to 2013. And after the high growth through acquisitions, the next focus will be the endogenous growth through commercial adjustment, and the introduction of Uniqlo’s largest flagship store in South China into Victory Plaza is precisely based on this consideration.

Tianhe commercial circle, with Victoria Square as the commerce portal of Guangzhou and even South China, gathers a number of large-scale commercial complexes, such as Tianhe City, Grandview Plaza and Taikoo Hui. In this regard, Liang said that Victoria's business adjustment, taking "fashion, creativity and interaction" as the core, will focus on introducing "trend flagship store" and "fine dining." In terms of commercial environment, a comprehensive systematic planning will be carried out for Victoria’s layout, commercial environment and brand recognition to revitalize footfall.

According Liang Danqing, in recent years, the company's commercial operations have been successful. The rental rate of " White Horse Building in recent years have reached 100%, and the rent has also continued to improve at a high level, and the latest level of rent per square meter per month reached RMB 544 ".