Study Of Commercial Real Estate Planning Based On Trading Area Theory

Coming through the throe from the real estate industry bubble-bursting in 90s, the real estate industry has made a onrushing progress. Real estate development is catching on like fire throughout the country, especially the commercial real estate. Real estate developers turn to develop commercial real estate with the decrease in residential real estate profits, they begin to cooperate in developing SHOPPING MALL or shopping square with giant commercial enterprises. Commercial real estate development has become a topic for after-dinner conversation at the time, and year 2003 is called year of the commercial real estate by people in the field.However, numerous problems have also accompanied with the commercial real estate development upsurge. On the one hand there are new real estates come forth unceasingly, on the other hand the empty rate is reaching a higher level. What causes to this is that the developer did not give enough attention to the risk of the commercial real estate development. There are a lot of items been proceeded on before a detailed demonstration, and falling into hot water is certain.Based on the trading area theory, referring to the researches in the commercial real estate planning theory and combined with the author's experience in the commercial real estate planning, this paper studied the whole course strategy planning of commercial real estate in the product planning, merchant inviting planning and market planning. Firstly, we bring out a definition of the commercial real estate and discuss the problems in commercial real estate development with examples in the epigraph. Then in the second chapter we make a comparison between the commercial real estate and the residential real estate and summarize the features of commercial real estate development. In the third chapter we induct the trading area theory as a theory foundation stone of the paper, introduce the concept of the trading area theory and detailed analytic methods.Secondly, applying the trading area theory to the product planning of commercial real estate in the fourth chapter, with a great deal of charts we point out the factors should pay attention to in product planning and introduce corresponding operating procedures and methods by putting the site selection, locating and product design into certain trading area. Finally, as commercial real estate is a practical industry, the merchant inviting planning and market planning are given wide coverage in the fifth chapter and sixth chapter. As there is little research on commercial real estate planning , it is worth making use of.