Simon to co-build Shanghai mall

Simon Property Group is to build a Premium Outlet Center in Shanghai’s Pudong District in partnership with a local developer.

The new centre will be located adjacent to the Shanghai Disney Resort on land owned by the Pudong City Government.

The Chinese partner is Bailian Group, the largest retail conglomerate in China, the two parties signing a memorandum of understanding for the joint venture last week. its businesses include No.1 Department Store, Yongan Department Store, Oriental Department Store, Nextage Mall and Bailian Nanfan, Xijiao, Youyicheng, Zhonghuan Shopping Malls, Bailian Brand Outlet Plaza and Lianhua Supermarket and Hualian Supermarket.

Simon Group currently has interests in 70 Premium Outlet Centers located in the US, Japan, South Korea, , Mexico and Puerto Rico, and in Malaysia which it opened early this year close to the border with Singapore.

Simon’s Premium Outlets combine designer brands, high quality environments, value pricing, and direct marketing to create successful outlet destinations in major markets. The existing portfolio includes Woodbury Common in New Jersey, Las Vegas Premium Outlets, Gotemba Premium Outlets in Tokyo,) and Yeoju Premium Outlets in Seoul.

Bailian Group operates various retail businesses such as department stores, shopping malls, and supermarkets. At present, it has about 6000 stores in its portfolio.

The newly-signed MOU also provides a framework for the joint development of additional Premium Outlet Centers in mainland China.

Ma Xin Sheng, Bailian’s chairman, said with Simon the world’s largest real estate company and the leading developer of upscale outlet centers in the world, Bailian believes a business partnership will produce significant synergies in the design and development of outlet centers.

John Klein, president of Simon’s Premium Outlets division, said Simon already welcomes large numbers of Chinese visitors to its outlet centers around the world and “we look forward to also serving these valued shoppers in China”.

You have 7 articles remaining. Unlock 15 free articles a month, it’s free.