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Dear Partners! We offer to consider our suggestion to join participation in construction of the trade pavilion at the territory of furniture market ‘Uzhnji’

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Presentation on theme: "Dear Partners! We offer to consider our suggestion to join participation in construction of the trade pavilion at the territory of furniture market ‘Uzhnji’"— Presentation transcript:

1 Dear Partners! We offer to consider our suggestion to join participation in construction of the trade pavilion at the territory of furniture market ‘Uzhnji’ in Omsk city! Market ‘Uzhnji’ The market ‘Uzhnji’ is one of the biggest and oldest specialized markets of construction and decoration products and furniture in Omsk. We began our work in 1997. Today, in our trade complexes you can see wide selection of material for construction, repair and decoration. Furniture Market In different pavilions ( 15000 square meters) it presents upholstered furniture, contract furniture, furniture for kitchen and furniture for offices. Loyal prices and wide assortment attract a large number of customers from Omsk and from other regions too. Photos of trade market “Uzhnji”

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3 The attractiveness of this offer consists of stable and successful work that is why the rental prices are high at this market. For comparison the cost of rent on other large furniture trade centers in Omsk: The cost of the rent depends of floor and area. In the most trade complexes u can find free trade area. There is no free trade area at the trade market ‘Uzhnji’. – Furniture Market ‘Uzhnji’1050 – 670 rub/m² – ‘KIT Interier’590 – 490 rub/m² – TD ‘Gnezdo’ 590 rub/m² – ‘Kontinent’ 500 – 400 rub/m² – ‘Kentavr’ 300 – 500 rub/m² – TD ;Triumf’ от 500 rub/m² – ‘Magistral’ 500 – 400 rub/m² – ‘Maiak Moll’ 800 rub/m² !

4 The location of existing commercial building and construction of the object. 1.Active market ‘Uzhnji’. 2.The area under construction of new retail pavilions. 1 2

5 Construction of this object was begun some years ago. The foundation was laid, the columns were built, overlaps and stairs and walls were partially assembled. Total investment amounts near 60 million rubles.

6 The appearance of the object under construction. Depending on financial possibilities and objectives on the investor we can make changes to the project.

7 Floor diagram of the proposed project 1 floor

8 Floor diagram of the proposed project 2 floor

9 Floor diagram of the proposed project 3 floor

10 THE ADVANTAGES OF OUR OFFER Long-term work, large advertising budget, brand recognition, a wide range and flexible pricing policy provide high customer schedule. Availability of utilities, boiler house ( heating, hot water supply), free electric power ( if u connect to omskenergy it charges a fee 15 000 rubles per 1 KW ), water supply, sewerage. Experienced team of top managers of the administration of the market has proven its effectiveness by numerous awards and diplomas in Omsk. We have own security company (CHOP ‘ Alta’). Cleaning service on the territory on the market is provided own specialized company ( OOO ‘ZEFS’).

11 THE PURPOSE OF OFFER The sharp increase in bank interest rates in 2015 it made impossible to use the service of credit institutions. That is why we are looking for a strategic partner for the construction and operation of new retail space. We offer joint construction of a new tree-floors trade pavilion the total area 7457 m 2. The trade area is 4952 m 2. The area of the first floor is 2 927 m 2, trade area is 1 989 m 2. The area of the second floor is 2720 m 2, trade area is 1863 m 2. The area of the third floor is 1810 m 2, trade area is 1100 m 2. Land located in our property for construction purposes we are ready to transfer produced with your participation OOO. Percentage built to date is 20 -25 of the total volume of construction. In Omsk average cost of construction 1 m2 is 25-30 thousand rubles. Thus the cost of completion the construction is 125 million rubles

12 THE PROFITABILITY OF THE PROJECT With an average rent in our market 700 rub/m2 annual revenue is 42 million rubles. Maintenance expenses (utilities, cleaning, security and etc) is about 20 percent of the amount of rent. The total annual revenue is about 34 million rubles. With an equal distribution of shares in created organization Your net annual income will be about 20 million rubles. When such indicators return on investment will be 8 years. In case of the organization of independent trade of furniture and accessories operating profit can be substantially increased. To do this you must supply the middle segment of quality furniture in a wide assortment. Attracting private construction organizations will significantly reduce the cost of construction and installation works. There can be other measures reducing the payback period of project.


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