Retail in Asia


K11 enters Mainland China asset-light market

K11 Group announced that its wholly-owned subsidiary, Shenzhen Xinyisi Business Service Company Limited, has been awarded the tender to provide management services for the commercial portion of the project above the Shanghai Jinqiao Metro Station. As such, K11 Select, a ‘cultural sandbox’ for the new generation, will be introduced to Shanghai for the first time through an asset-light management partnership. The awarded tender project, offered by Shanghai Pudong Development Uptown Property Limited, marks K11 Group’s entry into the asset-light management market, with 10 commercial management projects to be expected by the end of 2023.

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The project site has a total site area of approximately 420,000 square meters, and is located atop metro lines 9 and 12 at the Jinhai Road Station interchange and line 14 at Guiqiao Road Station. K11 Select Shanghai Jinqiao will synergise with the existing Shanghai K11 Art Mall and the planned K11 Shanghai Middle Huaihai Road land parcel project to attract more customers.

“K11 Group’s pioneering cultural-retail concept has been warmly welcomed by the market, and continues to bring substantial returns to the Group. We believe K11 Select in Shanghai Jinqiao Business District will become another new cultural-retail landmark, and will serve as a starting point for the expansion of our asset-light business to other cities nationwide. We will continue to actively identify suitable development opportunities on the mainland to provide customers with a creative experience that combines art, culture and commerce,” said Adrian Cheng, Founder of K11.

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During the first half of fiscal 2022 (as of 31 December 2021),revenue at K11 developments on the mainland increased 39 percent year on year. The K11 brand has a presence in six cities in Greater China, including Hong Kong, and is aiming to expand to 10 by fiscal 2026. K11 plans to actively explore and collaborate on brand management and to expand offline cultural-retail offerings and traffic.