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- Development of first Florentia Village in Southern China -
SINGAPORE, Feb. 4, 2013 /PRNewswire/ -- Henderson Global Investors (Company Registration No. 199700782N) announces today that the joint venture team, Silk Road Holdings, responsible for the iconic Florentia Village Designer Outlet Centre in Wuqing Tianjin, has swooped in on a further development site in the Nanhai District of Foshan, Guangzhou, Southern China. The Guangzhou site is expected to deliver a 50,195 sqm Designer Outlet Centre to be known as "Florentia Village Guangzhou" scheduled to complete in late 2014. The latest acquisition is part of Silk Road's strategy to replicate the success of their Florentia Village Designer Outlet concept in multiple gateway cities in China over the next few years. Key reasons for selecting the Guangzhou site include its strategic location with excellent connectivity, its large catchment area with affluent target customer group, and its lack of localised competition. Florentia Village Guangzhou will form part of an adjacent mixed use development including hotel, serviced apartments, and other commercial elements concurrently being developed by Gaw Capital Partners.
Silk Road Holdings' shareholders include the Fingen Group, China Outlet Mall, Gaw Capital Partners, Waitex alongside a major US institution. Silk Road continues to identify other sites in key cities and is working with local municipalities that recognise the benefits and qualities of the Florentia Village schemes.
Silk Road completed its maiden acquisition of Florentia Village Jingjin last year -- a 41,730 sqm Designer Outlet Centre between Beijing and Tianjin. Designed and developed by RDM Asia, Florentia Village Jingjin opened in June 2011 as China's first authentic Italian outlet village. It houses 165 stores with the strongest mix of luxury and premium Italian, International and Chinese brands available in the market offering guaranteed discounts on goods year round for shoppers. Currently, Florentia Village Jingjin is the only designer outlet in China boasting Prada, alongside a dazzling array of other top European fashion brands such as Gucci, Ferragamo, Bottega Veneta and Burberry. The centre is fully occupied and has proved an enormous trading success with an impressive list of brands waiting to join the scheme and an ever growing following of dedicated customers.
Silk Road is advised by RDM Asia (the real estate development company of the Fingen Group in Asia) as operating and development partner alongside Henderson Global Investors as investment advisor. Together they bring an unmatched experience in this niche sector in China, leveraging their European experience and success. In addition, Waitex and Gaw Capital Partners work together with RDM Asia to provide the integral local knowledge and development experience in China. The combined team brings an unprecedented degree of international outlet expertise, luxury retail network, development capability and local market knowledge which has established a new benchmark for the China luxury outlet sector in terms of design, brand representation and consumer experience.
Commenting on the latest site acquisition, Jacopo Mazzei, CEO of RDM Asia explained: "This is a terrific site in a key area of the country which will further our goal to establish a series of the best in class luxury outlet centres in 1st and 2nd tier cities that will ensure Florentia Village represents the definition of luxury outlets across China.
Kenny Gaw of Gaw Capital Partners added: "In addition to helping secure this terrific site as Florentia Village Guangzhou for our Silk Road JV, Gaw Capital Partners is also excited to be the developer partner for the non-outlet portion of this major mixed use development. We look forward to the opening of this bright new shopping mecca in southern China."
Chris Reilly, Director of Henderson Property Asia, concluded: "We are very excited by the latest acquisition and remain extremely confident about the prospects for the luxury retail sector in Southern China. Chinese consumers are very brand conscious and expect a sophisticated shopping experience with high quality service and premier brands. RDM's Designer Outlet Centres provide this combination at significantly discounted prices which we believe is a formula for success."
Notes to Editors
About Henderson Property
Henderson Global Investors is an independent FTSE 250 company with US$104.7 billion in assets under management worldwide (as at 30 September 2012). Henderson has been present in the Asia-Pacific region for over 15 years, headquartered in Singapore and represented in Hong Kong, Sydney, New Delhi, Tokyo and Beijing. Henderson has a full spectrum of property assets under management in the region including direct, indirect and property securities. Retail property is recognised as a core strength for Henderson, and represents over 50% of the direct property assets under management.
Henderson has significant interests in the outlet mall sector and currently manages the established, market leading European Outlet Mall Fund and UK Outlet Mall Fund in partnership with McArthurGlen. On behalf of its clients Henderson currently holds 13 outlet malls across 8 countries and has a portfolio value of over US$2 billion.
About Fingen Group
The Fingen Group was founded in 1979 and focuses its business in three areas: fashion, retail and real estate development. The real estate development business includes a portfolio of mainly retail and residential/hospitality assets valued at circa US$1.8 billion. It currently manages more than 20 developments with a total surface area of more than 600,000 sq m. In fashion and retail, Fingen Group has held licences and developed some major global brands including Calvin Klein, Guess and Jean Paul Gaultier. They have strong relationships with many major Italian brands that underpin their outlet business.
RDM Fingen began in Italy, where they have a strong record of successful real estate development projects. The Designer Outlets are strategically located throughout Italy, in locations carefully selected to maximize revenues. Fingen RDM developed, amongst others, Serravalle -- the largest outlet mall in Europe. Fingen RDM is the developer for the next generation of designer outlet malls in China. As the first of its kind, Fingen RDM developed a designer outlet mall close to Beijing, the Florentia Village with relationships with brands including Prada, Ferragamo, Armani, Burberry, Fendi, Tods, Bulgari, Zegna, Celine and Dunhill.
Fingen Group has been present in China since 1986 and has today built an experienced outlet operation there supported by the Italian Management team. In China, the Head of Operations has over 15 years experience in outlets. The Centre Manager of the Florentia Village, Beijing has managed outlets for the last seven years including two in China.
http://www.fingen.it/en/business/real-estate/
About the partnership
Henderson Global Investors (HGI) and Fingen RDM (the real estate service company of Fingen Group) started working together in 2004 and have since formed a close and successful relationship. HGI invests in some of Europe's largest luxury designer outlet mall schemes through its European Outlet Mall Fund and the UK Outlet Mall Fund in partnership with McArthurGlen. The chart below details the centres held in Henderson Fund ownership:
Fingen Group have developed 5 Luxury Italian Outlet Centres including Serravalle Scrivia (Alessandria), Castel Romano (Roma), Barberino di Mugello (Florence), Noventa di Piave (Venice) and the Marcianise (Caserta). The Fingen Group business model combines real estate development, fashion and retail. The company is present in Europe and Asia with over 2,000 staff.
About Florentia Village
Florentia Village -- Jingjin Designer Outlets is China's first authentic Italian outlet village and promises Chinese consumers the ultimate shopping experience with 165 of the most famous Italian luxury brands and international and Chinese fashion premium brands offering irresistible discount prices all year around. Opened since June 2011, Florentia Village delivers an uncompromising shopping experience for Chinese consumers with beautiful Italian style architecture, authentic Italian and international cuisine, and entertaining public events -- bringing the fashion, culture and spirit of Florence Italy without ever leaving Beijing.
With a total site area of 60,000 square meters, and a gross leasing area of 42,000 square meters, Florentia Village boasts collections from finest Italian luxury and premium fashion brands around the world. Consumers can find the diverse variety of products at outlet value laid across four distinctive shopping zones: luxury, international premium, sports and outdoor, and leisure.
Florentia Village -- Jingjin Designer Outlets is characterized by the authentic Italian style with fabulous architecture, including a canal running through the entire village with gondolas, elegant arena and bridges, beautiful fountains, romantic squares and porticoes, not to mention a variety of gourmet from all over the world and outdoor cafés. Florentia Village -- Jingjin Designer Outlets provide Chinese shoppers the kind of shopping experience unavailable to them before, and it's a perfect destination for a shopping day-trip for families, friends and lovers.
Florentia Village -- Jingjin Designer Outlets is located in Wuqing, a fast-growing town between Beijing and Tianjin. The location is conveniently connected to the adjacent metropolitans by highways and national roads, as well as the Jingjin high-speed railway. There are 22 daily trains stopping at Wuqing and the train station is only 100 meters from the center's main entrance.
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