The property market recovers and the home market returns to a happy time

In April last year, tenants who broke through the threshold were enough to make a shop rent three times; but after that, more and more tenants "disappeared", and eventually most shops could not find their next home. As of February this year, three shops will not be able to rent one. From March onwards, the property market has gone abruptly, and the building materials decoration industry has also been rising rapidly since then. This is the rental experience of Wang Fang, a manager of a home shopping mall on Yishan Road in Shanghai.

Yishan Road, the largest street specializing in building materials in the downtown area of ​​Shanghai. Like other shops on Yishan Road, she had to ride an industry "roller coaster" in the past 12 months: from the peak of early last year, to the bottom in August, to the recovery this year, the peaks and troughs of the market are both It came so suddenly.

There are more than 200 building materials and furniture companies renting and operating here. Among them, large-scale building materials businesses include Shengyuan Dadi, Xinglida International Decorative Furniture City, Xiyingmen, Jiajiajia Decoration City, Shanghai Building Material Mall and other enterprises. There are still new home shopping malls opening on this street.

In Wang Fang's view, August last year was regarded as the "freezing point" of an industry. Affected by the financial crisis and economic recession, the home improvement industry and other industries are also facing the "winter" test. The price of building materials has further declined, and the public's decoration Attitudes gradually changed to wait and see. Faced with this situation, some analysts pointed out that providing a new consumer experience and specialized products was the breakthrough point for the home improvement industry in 2009 to seek changes. But no one can take care of such profound issues. Because by the end of last year, sales in the home furnishing industry in Shanghai had fallen by 15% to 20%, the economic crisis made most merchants feel the same.

"Assuming a shop can sell 100 tables in September, according to the traditional sales cycle, it should be able to sell 120 tables in October. But in fact, the sales in the chain did not rise anymore." Li Yan, executive vice president of Jiajiajia Holdings, told CBN reporter Said. Jiajia Jia also has shopping malls on Yishan Road. They were a little uneasy since the fourth quarter of last year. They even worried that the sluggish sales in 2008 was only a lagging effect of the shrinking property market. This year and next year may intensify.

In view of such a consensus, most home building materials companies began to prepare to tighten their belts. "Resellers are reluctant to invest, and they start to care about the prices of the shops, and they are even reluctant to open new stores." Sun Yue, general manager of Home Plaza, which has experienced twists and turns in the above leasing, recalled to the CBN reporter. The rent they set at the beginning was 14 ~ 18 yuan per square meter per day, which is a popular retail rental price standard, which is equivalent to the rental prices of Red Star Macalline and Xiyingmen.

However, the market continued to decline, and the enthusiasm of the manufacturers immediately reversed 180 degrees. This newly entered mall was previously positioned as a European product, but later it could only start to make some choices among domestic high-end brands. An enterprise that Sun Yue experienced had six or seven shops in Shanghai at the peak of 2007 and hopes to open a new store in this new square. The planned store area is 2000 square meters. However, in only one year, the dealer's store continued to shrink, and only one room remained, and it was unsustainable. The dealer, who was still negotiating rent prices with Sun Yue, also "evaporated".

However, "happiness" came suddenly. In March of this year, the "Xiaoyangchun" effect of the property market has begun to spread to the building materials and home furnishing industry. "There is a home improvement company, the general manager of Shanghai has been looking for a suitable store, but the board of directors is still reluctant to invest heavily. Until November to December last year, there is still no conclusion. By March this year, the board of directors immediately decided to open a new store, but We have no shops to rent to them. "Sun Yue said.

"This round of property market recovery is different from the past, because most of the transactions are for existing houses and second-hand houses. Therefore, the business of various home building materials plazas on Yishan Road has started to flourish again." Found a new owner. Some home building materials companies can't wait for their dealers to get over their breath, so they rush to find new stores in the market.

"There are also 'bottoms'." According to Sun Yue, Nobel, the largest ceramic tile manufacturer in the mainland, took advantage of the market downturn and ate an area of ​​1100 square meters in its home square to open the largest shop in Shanghai. And another Italian ceramic tile brand got rid of undecided dealers and went directly to set up stores in China, which was unprecedented in the building materials industry. "They started to choose their own stores, hoping to convert the" raw shop "into a" cooked shop "before returning it to the dealer, so as to build up the confidence of the dealer." Sun Yue said.

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