Chain of China outlet malls planned
Italian mall developer RDM Group has another five outlet malls under development in China to follow the latest which opened in Shanghai at the weekend.
The outlet malls, branded Florentia Village, will be rolled out over the next two years as the company aims to cash in on the growing purchasing power of Chinese consumers.
The company’s second outlet opened behind schedule located between Pudong International Airport and Shanghai Disneyland. It comprises two phases covering a total of 90,000 sqm, with the first phase of 75 retailers now trading. It will eventually house around 200 Italian, European, American and Chinese luxury and premium fashion brands such as Armani, Bally, Ferragamo, Givenchy and Tod’s. Discounts of up to 70 per cent will be offered throughout the year, the company said.
A third mall is scheduled to open very soon in Guangzhou, with four more planned for Chengdu, Wuhan, Chongqing and Qingdao by 2017
“Total investment for the seven projects, including the first one opened in 2011 in Wuqing, Tianjin, will be around US$1 billion,” said Maurizio Lupi, MD of Florentia Village and RDM Asia.
“We hope to reap an annual turnover of between 15 billion and 20 billion yuan (US$2.4 billion and US$3.2 billion) from our China outlets after 2017 when all of them are operating.”
By 2017, RDM expects 60 per cent of its global turnover to come from China where demand for luxury and premium goods remains robust.
RDM now has seven outlets in Italy and China, aims to expand the number to 15 globally by 2017.