►Current Status and Trend
In recent years, the great leap forward toward commercial real estate has been promoted by high-speed growth in retail sales, economic stimulus policies and the transformation of traditional department stores. The supply of shopping malls has increased greatly from 2013 to 2014. By 2016, a large number of new properties in the market has caused an imbalance between supply and demand in the commercial real estate industry for some cities, and the emergence of fierce competition among large whole-business shopping centers.
Accelerating Vacancy Rate of Commercial Real Estates Under the Influence of E-commerce
The newly emerged commercial real estates from 2009 to 2013 have primarily been channeled through retail sales. However, with the continuous increase in the portion of online retail sales in the total consumer goods retail sales, (7.8% at the end of 2013, 10.2% at the end of 2014, 13.6% at the end of 2015), the future vacancy rate of commercial real estates is expected to further accelerate under the influence of e-commerce.
Rapid Increase in Completed Properties
The 2008 Stimulus policy promoted the great leap forward in the commercial real estate industry while the supply of commercial properties reached its peak in 2015. The enormous supply largely impacted the entire industry within a short period of time.
Future Commercial Real Estate Industry: Enhance Capabilities and Conduct Omni-channel Transformation
Large commercial real estate enterprises will grow stronger in the future and the gap between mature operators and immature operators will be further widened. Therefore, enterprises need to enhance their capabilities. How to establish highly efficient and standardized management systems? How to effectively adapt to the management requirements from different regions and business types? How to improve the overall management and service capabilities for strategic customers? These are all crucial questions that commercial real estate enterprises must consider. On the other hand, the rise of e-commerce and other business types have impacted the price-gap model for the commercial real estate industry. The offline business has lost its advantages in price competition, as consumers prefer to pay for the experience, environment and services. This requires enterprises to strengthen their capabilities, think about how to transform their business models and break the shackles of conventional business model planning to build more fashionable, fascinating and intelligent business functions and elements.
►Challenges Faced by Enterprises
Ø How should enterprises deal with its budget and leaseholder distribution, and accurately forecast cash flows?
Ø How should enterprises deal with declining rental rates?
Ø How should enterprises optimally raise or lower the rental price?
Ø How should enterprises manage settled customers and brands efficiently?
Ø How should enterprises make lease space management more standardized and flexible?
Ø How should enterprises improve the decision-making ability of project investment planning for enterprises?
Ø How should enterprises manage the increasingly complex asset structure of commercial real estate projects?
Ø How should enterprises efficiently set up standardized commercial real estate project management systems to replicate replicate management systems?
Ø How should enterprises to effectively adapt to different management requirements of commercial real estate projects from different regions and business models?
Ø How should enterprises understand client requirements to achieve precise marketing and speed up leaseholders' sales?
Ø How should enterprises centrally manage property units belonging to all enterprise groups to conveniently compute current occupancy rates and vacancy rates?
Ø How should enterprises achieve high integration and unity for real estate business and finance?
♦ Leasing Space Management
The system provides full functionalities for all enterprise projects to manage their property information, floor information, unit information, and the interconnection between different information categories. It can also manage various units of information, area information, date information and other special attribute information. The property and class information for each unit is subdivided in the system and the category features of each leaseholder are recorded carefully to strengthen the unified management of clients and brands. It thus becomes possible to access and view the rental rate, vacancy rate, area and other information related to the date, and the control of the entire lease management cycle can be improved.
♦ Brand and Client Management
Through the group management framework platform provided by the system, it becomes possible to centrally manage all client master file information, qualification documents as well as brand and dealer information. It also supports various merchant and brand categories. Based on these given data, Elitesland can analyze the client contribution rate per square meter to increase lease rates and rental profits.
♦ Potential Customer and Lease management
The system can provide potential customer management, intention letter management, leaseholder information management, lease contract management, property contract management, rent-free-period management, legal clause management, leaseholder move-in management, leaseholder move-out management, lease renew management, etc.
♦ Investment Invitation Planning Support
The system allows enterprises to maintain various rental prices to assist in making the investment invitation policies from different regions and properties. It performs orderly management of market rent, forecast rent and renewal rent to facilitate the decision making process for rental price related problems.
♦ Property Service
Elitesland's solution aims to strengthen the management and maintenance of equipment and facilities by providing file status inquiries of assets equipment as well as maintenance planning management.
The solution further aims to optimize leaseholder services and standards through call center management and work order management.
Advanced real estate forecast through three aspects:
Accuracy: Integrate business data and deal with budget and forecast, including data integration verification and audit forecast report.
Efficiency: Reduce input repetition and report running time based on invoice data as well as the production forecast and budget of lease contract.
Visibility: Achieve cash flow forecast of real estates based on dates, access to forecast and budget information at any time at any place, re-examination and forecast of computing companies, and the establishment of hypothetical information.
Analyze operational and financial performance, to match the management focus with the core business drives and help enterprises make strategic decisions.
♦ Customer Experience
Multi-mode rent payment, summary and classification provides functions such as leaseholder account checking and payment reminder to improve the handling capability and efficiency of rent payment process and increase the efficiency and accuracy from billing to collection.
♦ Project expansion management
By using the system, Elitesland can track the construction schedules, arrange project duration, create supplier-bidding documents and ensure payments to sub-contractors. Elitesland can also view project blueprints and details electronically in order to deeply understand project cost and control it easily.
♦ Project renovation management
Elitesland can provide various functions such as project cost management, supplier relationship management, contract management, procurement management, contract account checking, work hour input, e-procurement platform, to optimize the entire project renovation plan and strengthen project renovation tasks and resource control so that the entire project renovation cost can be visualized.
♦ Billing Management
The system can easily handle recurring costs including rent, property charges, utilities and common area maintenance (CAM) costs.
♦ Financial Management
The system provides invoice management, various expenses settlement, expense collection, and payment management such as deposits, late fees, and front money. The financial module and the real estate management module are closely integrated, thus allowing the system to directly generate accounting entries from financial account checking.
♦ Service Management
The system provides solutions that will resolve problems associated with call center management, field service work order management, service issue log management, technician rate management, service fee calculation, equipment maintenance management and other full-set field service management.