Why do real estate developers pursue cultural and entertainment dreams?

category:Finance
 Why do real estate developers pursue cultural and entertainment dreams?


Wandas Oriental film capital, rongchuang film and Television Industrial Park, seems to be a good business. The consideration of 91% equity transaction of 13 cultural and tourism cities is 43.844 billion yuan. From the perspective of rongchuang obtaining nearly 50 million square meters of marketable property through the transaction, the acquisition cost per square meter is very low.

All the stories of cultural tourism city should start from Wanda. If you understand Wanda, you will understand the logic of the real estate tycoon. Fortunately, Wang Jianlin, chairman of Wanda Group, likes to make speeches and has said it countless times.

Wandas story should start with commercial real estate. At the beginning of 2000, Wang Jianlin realized the risk of housing development. With the completion of urbanization, the demand for housing will decline and most enterprises will die out, which is determined by the characteristics of the industry. At the same time, residential cash flow is not stable.

Wang Jianlin chose commercial real estate. Wanda business is not without a hole, but it has carried on and learned from experience. The institute cooperates with large retailers and has its own design institute, Planning Institute and business management company to promote standardization. Eventually, Wanda Plaza became Wandas cash cow.

The cultural and tourism projects are like an enlarged version of Wanda Plaza. Wanda has built a central cultural zone in Wuhan, including 10 cultural projects, with the core of Film Science Park and Han show. Film technology park opened in 2014, including 4D cinema, 5D cinema, flying cinema, interactive cinema, space cinema, disaster cinema, etc. Behind the scenes, Wanda has accumulated commercial experience, and even Wanda films were made to support Wanda Plaza at the beginning.

At this point, it is easy to understand. The essence of cultural and tourism project development is still a real estate project. For real estate developers, many things are seamlessly connected, and the threshold is much lower than expected. Besides, there is also local government support. When it comes to culture and tourism, the core lies in the empowerment of culture and entertainment flow, which is the reason why real estate developers pursue dream culture, or to make money in exchange for money. There are risks in residential development, and commercial real estate tends to be saturated. Cultural tourism is more attractive for commercial projects with plus version.

But the seductive is always imagination, the reality seems to be constantly broken, why? When we talk about culture, we actually talk about the entertainment flow, which is the entertainment industry in essence. But the Guiquan Temple small demon wind is big.

This is an industry still far from industrialization, from IP to project approval, shooting, film, full of unspeakable. A few years ago, the market was very good. The entertainment industry didnt think that real estate developers were more important, and real estate developers were not short of money. Therefore, those who spent money were very happy, and those who were smashed were more happy. Its normal to lose money.

However, the wind has become too fast. Two industries with different fundamental scale and strategic position have entered a relatively low period together, and the entertainment industry is even more frozen.

But expensive circle persons hype ability is still first-class, the industry is not good, still can bluff a Leng a Leng. A lot of projects are fraud. Real estate people said to me.

The big reason for the chaos in the entertainment industry is that the industry chain is too short. In fact, various projects of real estate developers do provide a long chain possibility, but the problem is that both sides have to endure loneliness, and the gold owners can afford to burn money.

As strong as Wanda, it has begun to input its own management system in the production process; rongchuang is also brewing new stories.

It might be a good start.

Source: responsible editor of 21st century economic report: Guo Chenqi_ NBJ9931