Chapter 79 The First Store
The supporting facilities in the commercial area that Mu Yang is looking for are mature.
According to the price of new residential buildings in this area, the price is about 15,000-23,000 yuan per square meter. The price of new buildings and shops on the first floor is about 40,000 yuan.
A mature shop like this has a good location and a large flow of people. The unit price is definitely more than 70,000 yuan per square meter. For a shop of 200 square meters, it is calculated based on the annual investment income without interest calculation. It requires 8 to 12 years to pay back the capital. The annual rent is estimated
Between 1.2 million and 1.7 million is more reasonable.
If the annual rent exceeds two million, and you have the money, you might as well buy it and get your money back in seven years;
If the annual rent is less than 500,000 yuan and the annual interest is less than 3%, if the appreciation of the store is not taken into account, it is better to sell it and deposit it in the bank to earn interest or bank financing.
Of course, there are other factors, such as artificial hype and landlords raising prices.
Another way is if you don’t lack money, you won’t sell it even if the price is 150%, just to resist financial risks. After all, those who can afford the store will not be short of money.
Mu Yang sighed, if it were 2022 and physical stores were in recession, although residential housing prices were high, shop rents had not increased much.
Mu Yang said while walking that the market situation in 2009 was roughly the same, but considering that each region is different and there are other complex factors, it is normal for the price deviation to be large.
The store he was interested in in Huanglong Century Plaza had an area of 220 square meters and was privately owned.
We have negotiated once and asked for a rent of 2 million yuan for the first time. Since no one is renting it, there is no transfer fee, which is relatively lucky.
But the rent was too high, and many businesses that wanted to move in were scared away.
Outrageous!
Shops in core locations are expensive. For a general business district, two to three hundred square meters and an annual rent of several hundred thousand would be enough;
For a shop in a different location, maybe around 200,000 yuan would be enough;
If you go to a county or town, the annual rent is estimated to be less than 100,000.
Like Song Xuelu's shop, the front of the shop is fifty or sixty square meters, which is considered a good location in the town. The annual rent is just over 10,000 yuan, which is very cheap.
A cup of new-style milk tea costs about ten yuan in town, but very few people consume it. I feel that spending this money is better than spending three yuan on a can of drink.
Therefore, for the consumer target group that Muyang is targeting, it is impossible for him to choose a general business district location. If he wants to choose, he will choose the best location.
Compared to the imagined annual profit, rent is nothing.
Mu Yang and Song Xuelu asked the landlord to come out again today. Perhaps it was because the shop had been empty for more than a month and Mu Yang was interested in renting it. They had seen the car Mu Yang drove and knew he was capable, so they planned to come out to meet him.
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The two parties made an appointment at a tea shop. Mu Yang and Song Xuelu drank a pot of tea, and the landlord drove over.
The landlord's surname is Liu, a middle-aged man in his fifties.
"Mr. Liu, let's not talk about the price for now. Let's have a cup of tea before we talk. We can't quarrel because we can't negotiate. We are doing business. Being friendly makes money. Even if cooperation fails, we can still make friends." Mu Yang poured him a cup of green tea.
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"Haha, you young man is right, knowledgeable, and friendly at first glance.
Next to you is your little girlfriend, she has good taste, you must cherish her."
Seeing Mu Yang nod in recognition, Song Xuelu also smiled and said hello.
Mr. Liu took a sip of tea and began to complain: "I hate some people the most. They call and ask directly, how much does it cost to rent, and ask for this and that. They feel like a thousand-year-old bastard, arrogant, and very
I have money, but the rent I pay is so low, as if I have never seen any money."
"Haha, what Mr. Liu said is genuine, not rude but not rude."
Mu Yang laughed and asked, "Mr. Liu, do you know whether you have bought anything from the store?"
"I know, I don't use it much. My daughter at home only comes into contact with it when she does a lot of online shopping."
Mu Yang said: "E-commerce is developing faster and faster now, just like our mobile phones, they are updated too fast."
Mr. Liu nodded: "I agree with this. A few years ago, I still used blue screen mobile phones. A few years ago, I used a BB machine. I didn't expect that now I can use mobile phones to surf the Internet."
"Yes, Mr. Liu, as an older generation, has a deeper understanding of the changes in e-commerce over the years," Mu Yang said.
Song Xuelu didn't say anything but poured tea for the two of them. She didn't know what Mu Yang meant by saying these words.
But Mu Yang said something to her: Business negotiations do not necessarily start with the quotation, and the planning and digging begins before contact.
Since the contact, Song Xuelu didn't think Mu Yang had time to chat. Every step he took must have his purpose.
Mu Yang talked about e-commerce, young people’s consumption concepts, and then housing.
"Mr. Liu, have you noticed that in recent years, the appreciation rate of residential buildings has been much faster than that of shops?
More and more young people prefer online shopping, and it is estimated that physical stores will not be as prosperous in a few years."
"You mean to suggest that I sell the shop and switch to residential housing?"
"Mr. Liu, I'm just chatting casually. It's up to you to make your own judgment. There are risks in investment. I believe you are more experienced than me." Mu Yang didn't know what predictions to make. Are you familiar with him? Why should you believe it if you say it?
These are all businessmen and can be easily analyzed and judged, not predictions.
Seeing that he had entered the game, Mu Yang continued: "Your store must have been vacant for a long time. It is difficult for the shop floor to appreciate. At 220 square meters, according to the current market price, it is about 17 million yuan.
You want a rental price of 2 million yuan, which is eight years of investment income. For ordinary people, if the rent is this and there is no shortage of funds, they would rather buy than rent."
"Then how much do you want to rent? I can only open a restaurant in this store." Mr. Liu is not as tough as before when he raised prices. In the past two months, five companies have been negotiated.
Among the five bidders, the lowest bid was 1 million, which he scolded, and the highest bid was 1.5 million, but he hesitated.
"Mr. Liu, not only look at the rent, but also look at what business the tenant does and whether it can increase the value of your store.
I open a new type of tea shop, targeting mid-to-high-end young consumers.
I can rent it for at least three consecutive years with an annual rent of 1.3 million yuan.
If you cancel the lease within three years, I will pay half a year's rent.
But during the three-year period, if you break the contract and skip the rent, you will compensate me for one year's rent and renovation costs." Mu Yang made the request slowly, and could not make it all at once.
This kind of prosperous shop has no shortage of tenants. He quoted the price based on the 13-year investment income of the current market value of the shop.
After Mu Yang finished speaking, he looked at Mr. Liu's expression and just laughed, knowing that the annual rent of 1.3 million was a bit low.
If Mu Yang's quotation was ridiculously low, the rough man in front of him would probably have yelled loudly.
Mu Yang had spent a lot of time talking about online business and relationships, just to lead Mr. Liu by the nose.
Mr. Liu was a rough guy. He started to see that Mu Yang was getting younger and relaxed his vigilance.
Chapter completed!