New consumption is becoming a new field of capital intensive layout of real estate enterprises.
In fact, the policy has been guiding and promoting the development of new consumption. On February 23 this year, the Ministry of Commerce, the central network information office and the development and Reform Commission jointly issued the “14th five year plan” for e-commerce development, which pointed out to encourage the development of new models and new business forms, expand new digital consumption and promote the formation of a new digital life.
In recent years, many new consumption “online Red” brands with upgraded consumption have emerged in the market. Behind many brands, there are often shadows of real estate enterprises such as Longhu capital, ocean capital and Jinmao capital.
“The investment opportunities in the new consumption field are objectively related to the changes in the consumer market. It is of positive significance for real estate enterprises to enter such fields, which also shows that real estate enterprises are actively transforming to a large extent.” Yan Yuejin, research director of the think tank center of E-House Research Institute, said in an interview with the reporter of daily economic news.
Intensive layout of new consumption areas
At the beginning of this year, the news that the new consumer brand “Hefu Laomian” plans to seek listing overseas is expected to become the “first share of Chinese noodle restaurant”. Behind Hefu noodles, there is Longhu capital.
In June 2020, Hefu Laomian announced that it had completed the round D financing of 450 million yuan, and Tencent and Longhu capital were the leading investors of the financing. In July 2021, along with other capital, Longhu capital continued to invest 800 million yuan in round e financing of Hefu Laomian.
It is understood that Longhu capital is intensively arranging new consumption fields recently.
According to public information, Longhu capital invested in Yuanqi forest in March 2021. It is a company specializing in soft drinks, with a valuation of 6 billion yuan. In January 2021, Longhu capital, CICC Qihong fund under CICC capital and Zhouji Tongli under far east Hongxin jointly invested in fresh life. It is a full network cold chain food channel service company under New Hope Liuhe Co.Ltd(000876) group, which can provide warehouse dry distribution services from source to store for catering enterprises, fresh retail enterprises and fresh food production and trade enterprises. In 2019, Longhu capital also invested in dingdong, which focuses on fresh food delivery home.
Not only Longhu capital, COSCO capital is also setting about the layout of new consumption and investment. In April 2021, homestead express announced that it had received nearly 1 billion yuan of round B investment, and ocean capital was the leading investor in this financing. Homestead express said that it “has 32 direct branches, 4374 outlets, 100% coverage in provincial capital central cities and municipalities directly under the central government, 98% coverage in prefecture level cities, 85% coverage in county-level cities and 50% coverage in villages and towns”.
In April 2021, COSCO capital plans to establish phase II of the new rural industry fund of 1 billion yuan, The purpose is to “invest in industries conducive to rural revitalization, including but not limited to modern agricultural seed industry, modern agricultural equipment, rural prefabricated buildings, rural energy conservation and environmental protection, new energy, new materials, intelligent manufacturing, artificial intelligence, consumption upgrading, industrial upgrading, logistics supply chain, medical health and other fields, focusing on enterprises in the growth and mature stage of investment.”
As early as 2019, COSCO capital has invested in xinliangji, a catering supply chain enterprise that has created popular crayfish products. Earlier in 2016, COSCO capital also invested in the fresh food supply chain Jiuyan supply chain, and increased its capital in 2020, becoming the major shareholder of the company.
Jinmao capital completed a new round of investment in Internet health platform miaohealth at the end of 2020, and miaohealth had its first cooperation with Jinmao as early as September 2019. In addition, Greentown China invested in “good neighbor convenience store”, Yuexiu industry fund invested in “Baiguoyuan”, Gemdale Corporation(600383) invested in “East Point and West Point”, etc.
According to Kerui’s incomplete statistics, the top 100 real estate enterprises have participated in more than 130 venture capital projects since 2014, and the number of venture capital projects has increased year by year since 2016. At present, more than half of the top 30 real estate enterprises have participated in venture capital.
Real estate enterprises “second growth curve”?
In the context of the obvious decline of the real estate industry, the capital of real estate enterprises have arranged new consumption. Can it become the “second growth curve” outside the main business of real estate enterprises?
In terms of policies, as early as September 16, 2020, the opinions of the general office of the State Council on leading the accelerated development of new consumption with new business forms and new models made it clear that we should deeply implement the innovation driven development strategy, promote all kinds of innovations in technology, management and business models, accelerate the cultivation of new business forms and new models, and promote the close integration of the Internet and all kinds of consumption forms, Accelerate the two-way deep integration of Wuxi Online Offline Communication Information Technology Co.Ltd(300959) consumption and promote the vigorous development of new consumption.
If the capital investment of real estate enterprises in the new consumption field can form a joint force with the main business of real estate development, it will undoubtedly achieve twice the result with half the effort.
As mentioned by Jinmao capital, Jinmao capital seizes the opportunity of China’s economic transformation and upgrading. Based on a thorough analysis of the integration and mutual growth relationship between real estate and finance, Jinmao capital puts forward the strategic positioning of “urban operation financial service expert” and innovates the mode of combination of industry and finance, or should it serve Jinmao’s “overall strategy of urban operators”.
Miaohealth’s official website explained to Jinmao capital investment that based on the advantages of real estate, Jinmao will widely layout high-quality human settlements that meet the needs of customers, integrate the life concept of “green health” into the architecture, and accelerate the cooperation of health management projects based on urban operation and property across the country based on miaohealth’s online and offline health management technology.
“The investment opportunities in the new consumption field are objectively related to the changes in the consumer market. It is of positive significance for real estate enterprises to enter such fields, which also shows that real estate enterprises are actively transforming to a large extent.”
Yan Yuejin, research director of the think tank center of E-House Research Institute, told the reporter of daily economic news that paying attention to the consumer demand of consumers, actively studying new products and providing new businesses are also in line with the business development model of real estate enterprises. The follow-up profit opportunities in this field are large. Enterprises make brands in this process, which will help to occupy a larger market in this field.
