The types of store investment can be categorized in a variety of ways, according to the form of store development of stores are categorized as follows:
1, commercial street store investment;
2, market-type store investment;
3, community store investment;
4, the building bottom store investment;
5, Department store, shopping center store investment;
6, business building, office building store investment;
7, transportation facilities store investment
Return
With the national policy of the property market suppression, more and more people will turn their eyes to store investment, in fact, not all store investment is a steady income of the business, which needs to be invested in the store before The first thing you need to do is to calculate the return on investment of the store. How to calculate the rate of return on investment:
1, the rental return method
Formula: (after-tax monthly rent - mortgage monthly payments) × 12 / (the first payment + mortgage payments during the period of time). Advantages: Taking into account the rent, price and the main inputs in the early stage, it has a wider scope of application than the rental return analysis method, and can estimate the length of the capital payback period.
Originality
Shops, evolved from the "city", "Shuowen" will be "city" interpreted as "centralized trading place", that is, today's stores. Tang and Song Dynasty is the heyday of Chinese feudal society. The Tang capital city of Chang'an was the center of cultural and trade exchanges between the East and West, Chang'an East and West City, merchants gathered, countless stores, business is very prosperous. Northern Song Dynasty stores and markets are separate, the capital city of Tokyo (Kaifeng) was the largest commercial center of the city. According to historical records: (Tokyo) East Street to the new Songmen, fish market, meat market, lacquer, gold and silver stores are the most concentrated, West Street to Xinzhengmen fresh fruit market, jewelry and jade rows, the Imperial City, outside the East China Gate, everything. Qingming Shanghe Tu" has informatively recorded the ancient stores, commercial street market scene.
Located at the eastern end of the Yangtze River Delta, north of the mouth of the Yangtze River, south of Hangzhou Bay, Shanghai, the Ming and Qing Dynasties was only a county in Jiangsu Province. Shanghai's first rise, was in the last century, the second and thirties, when Shanghai has become the country's largest economic and commercial center, the Far East's largest commercial center city. According to the "General History of Shanghai" records: in 1933 Shanghai **** there are 72,000 stores, an average of 136.5 households per square kilometer, all over the world, huge and famous businessmen have settled in Shanghai, sixteen stores, Nanjing Road, Jing'an Temple, Xiafei Road (today's Huaihai Road), and other commercial centers in the neighborhoods of the beginning of the first shape.
Definition
According to the above review of the history of stores, we can do the following definition of "store", that is, the store is a place for operators to provide customers with merchandise transactions, services, and experience. Compared with the past definition of the store has the same place, that is, the store is first of all the place of commodity trading; the difference is that the modern concept of the store not only contains the function of trading, but also contains the function of the service function and the function of feeling experience.
The store as a trading place, it is easy to understand, from department stores, supermarkets, specialty stores to automobile sales stores are the size of the commodity trading place. For the vast majority of people, understanding this is easy.
Shops are easy to understand as places that provide services, such as dining facilities and beauty salon facilities, to name a few. Consumers enjoy the quality of services in such stores by getting the services provided by the operators.
Shops as a place to provide experience, such as cinema, KTV, fitness facilities, etc. Consumers in such stores to fully feel the operator to create a special scenario, facilities, ambience, etc., from which they get a sense of beauty, entertainment, health, etc., and the operator to realize revenue in the process.
The concept of store we can find that the store has gone through a great development, has increased from the initial operation of goods goods, to the operation of service goods, experience goods level. Obviously, the form of the above different business commodities will have a direct impact on the store's location, transportation conditions, positioning, size, space, structure, decoration methods, styles, types of commodities, supporting conditions and so on.
Transaction Example
Mr. Kim has 2-3 million dollars on hand and intends to buy a store as an investment. So, the real estate agent introduced him to the relevant policies on store loans and recommended two stores with leases, and then agreed on a time to show them. Mr. Kim himself took the time to observe the site for a few days, and finally expressed a clear intention for one of the stores, and at the same time, he hoped that the bank could provide a 50% commercial loan. The broker then set out a list of certificates and documents to be provided for the loan and specified the amount of monthly repayment required. After Mr. Jin provided the relevant certificates and documents, the intermediary company on behalf of the relevant loan approval procedures, the bank issued a "loan opinion confirmation", so Mr. Jin completed the whole process of store loans.
In the signing of the contract, after the agency, the sale and the buyer of the *** with efforts, the seller and the buyer of the sale of the store on the subject matter, payment methods, term and other conditions to reach *** knowledge. Finally, the two sides successfully signed the sale and purchase contract.
Analysis
The seller:
hoped to obtain a sum of money by selling the property. The rent was low due to the fact that a 5-year lease was signed in 1999 (the market was at a low ebb at the time, so the rent was significantly lower than what the market was at the time the store was sold).
Buyer: Mr. Kim hopes that by purchasing the store, he can preserve and increase the value of his capital. Mr. Kim is a businessman and does not want to invest all his money in the store, but wants to use a bank loan to pay for part of the house and use the rent he collects in the future to repay the loan.
The intermediary: With professional knowledge and teamwork, the transaction is secured.
Appreciation factor
The higher investment potential of stores has spurred a portion of investors to move away from stocks and homes, and toward stores. According to the analysis of Shanghai Centaline Property Agency Co., Ltd, the factors affecting the appreciation of stores are as follows:
Retail industry drives shopsAfter China's accession to the World Trade Organization (WTO), the retail industry will be opened up to foreign investment gradually within three years. During this period of time, the domestic and foreign-funded retail industry will enter the Chinese market, the domestic retail industry has also stepped up the pace of "enclosure", the form of franchise has greatly accelerated the pace of expansion of the retail industry. According to the results of the survey conducted by Zero Survey and Indicator Network in November 2001, the most suitable industry for franchising is the retail industry (43%), followed by the service industry (23.9%) and fast food industry (22%). It is noteworthy that the rapid development of specialized chain stores such as home appliances has attracted the attention of the industry. As a result, the demand for stores will grow more steadily in the coming period. Demand is mainly concentrated in convenience stores, large supermarkets and outlets, chain restaurants, and branded specialty stores.
Popularity IndexThe large number of customers brings vitality to the business. Stores located in commercially prosperous areas, the high flow of visitors has led to commercial prosperity, bringing a lot of space for investment in stores. Therefore, the choice of commercial location of the store should pay special attention to the flow of visitors; located in the small area of the store, the popularity of the community is a very important factor in the prosperity or not. Residential neighborhoods within the owners, which means more consumer demand, open a store to do business has to do well, invest in stores also have to make good money. The key point is that the neighborhood must have a certain size. For example, Vanke City Garden Yosemite stores have become a growing climate, becoming a hotspot for investors.
Locations with strong regional potential business atmosphere will have higher appreciation potential for stores, and vice versa. In terms of municipal dynamics, Shanghai's famous commercial streets Nanjing Road and Huaihai Middle Road will lead to a new round of transformation. Nanjing Road invites McKinsey & Company, an internationally renowned consulting firm, to carry out long-term target positioning and build Nanjing Road into an international first-class commercial street by 2010. Huaihai Road invited Jones Lang LaSalle to carry out its first phase of commercial transformation planning, plans to build Huaihai Road into a more fashionable commercial street, there will be more international first-class brand flagship stores all the way through the row. The first large-scale public **** green space on the bustling commercial street in the central city of Shanghai - 50,000 square meters of large-scale green space on the North Sichuan Road construction program has been finalized, completed in 2002, the commercial layout of the commercial street on the North Sichuan Road and the grade will be further expanded and upgraded. Therefore, the stores in the above area have certain appreciation potential.
Types of investment
The types of investment in stores can be categorized in many ways, according to the form of development of stores, which are categorized as follows:
1, commercial street store investment;
2, market-type store investment;
3, community store investment;
4, building ground floor store investment;
5, building ground floor store investment;
5, market-type store investment;
6, community store investment;
7, community store investment;
8, building ground floor store investment;<
5, department stores, shopping centers store investment;
6, business buildings, office building store investment;
7, transportation facilities store investment
Return
With the national policy of the property market suppression, more and more people will turn their eyes to the store investment, in fact, not all store investment is a steady income of the trade, which Need to invest in stores before carefully calculate the return on investment in stores. How to calculate the return on investment:
1, the rental return method
Formula: (monthly rent after tax - mortgage monthly payments) × 12 / (the first payment + mortgage payments during the period of time). Advantages: Taking into account the rent, price and the main inputs in the early stage, it is more widely applicable than the rental return analysis method, and can estimate the length of the payback period.
Deficiencies: did not take into account other inputs in the early stage, the time effect of funds. Can not solve the problem of cash analysis of multiple sets of investment. And because of its inherent one-sidedness, can not be used as an ideal investment analysis tool.
2, rental return analysis method
Formula: (after-tax monthly rent - monthly property management fees) × 12 / purchase of the total price of the house, the greater the ratio calculated by this method, it shows that the more worthwhile investment.
Advantages: Taking into account the relative relationship between rent, house price and the two factors, it is a simple way to choose "high-performance real estate".
Weaknesses: Does not take into account the full range of inputs and outputs, and does not take into account the time cost of capital, and therefore cannot be used as a comprehensive basis for investment analysis. Cannot provide specific analysis for mortgage payments.
3, the internal rate of return method
Property investment formula: cumulative total return / cumulative total input = monthly rent × cumulative number of months of rental during the investment period / (mortgage down payment + insurance premiums + deed tax + overhaul fund + furniture and other inputs + cumulative mortgage payments + cumulative property management fees) = internal rate of return.
The above formula is based on a mortgage for example; interest payments and brokerage expenses are not taken into account; cumulative returns and inputs are all taken into account within the investment period.
Advantages: The IRR method takes into account all inputs and returns, cash flow and other factors during the investment period. It can be used in conjunction with rental return. The internal rate of return can be understood as depositing in a bank, except that our bank interest rate is calculated on a simple interest basis, while the internal rate of return is calculated on a compound interest basis.
Deficiencies: the calculation of internal rate of return to determine the investment value of the property are based on today's data to extrapolate the future, and the future rent of the rise and fall is an unknown.
4. Simple International Appraisal Method (SIA)
The basic formula is: if the annual return of the property x 15 years = the purchase price of the property, the property is considered to be good value for money. This is a simple method for international professional finance companies to assess the investment value of a property.