10.02.2016 - Tetra Pak has announced the opening in Russia of a regional distribution centre
Tetra Pak has announced the opening in Russia of a regional distribution centre (RDC) for spare parts in the Moscow region city of Lobnya, which will help improve the company’s quality of customer service in Russia, Belarus and Central Asian countries, including Kazakhstan, Uzbekistan, Kyrgyzstan, Turkmenistan and Tajikistan Unipack reports. The size and product range of the centre will significantly surpass that of the previous warehouse. In addition, the efficiency of this unit’s work will improve substantially due to the optimisation and partial automation of processes.
Tetra Pak currently has two global distribution centres for spare parts (in China and Sweden) and five regional distribution centres: in the U.S., Mexico, Brazil, United Arab Emirates and now in Russia.
30.01.2016 - Swedish RusForest AB has statred production in Irkutsk region
According to Invest in Russia Sweden’s RusForest AB operating in Russia announced that the first batch of wood pellets had left its production lines in the township of Magistralny, Irkutsk region, and unmediated wood cutting operations had been started in Ust-Ilimsk.
Specifically, RusForest launched a test run of its wood pellet producing plant in November, and has now officially put the plant into service and opened a pellet production line to deliver its pellets to its European partner.
Furthermore, the company has started direct wood-cutting operations in Ust-Ilimsk without the involvement of any intermediaries, with the first batch of wood already cut and delivered. As earlier reports suggested, the project will be implemented stepwise. The output for 2016 is planned at 100,000 cubic meters of wood, which amounts to roughly 50% of the total projected output in Ust-Ilimsk.
Both the pellet and wood cutting facilities of RusForest have been commissioned on time and in line with the assigned budget. The company’s management believes that the two projects will in the longer term add to the trade and income of RusForest.
29.01.2016 - H&M chose the site for its largest Department store in Russia
According to RBC the state oil Fund of Azerbaijan (SOFAZ), which owns the complex «Gallery Actor» on Pushkin square, passed H&M by 32, about 5.8 thousand square meters in the complex, i.e. all its trade part, told RBC a source close to one of the parties to the transaction. This information was confirmed by representatives of three international consulting companies in the real estate industry. That the company has signed a long-term contract, knows the General Director of consulting company Y Consulting Daria Nuclear. According to her, in the «Gallery Actor» after the reconstruction group H&M will open its flagship store that will run the store H&M and other brands of the group that are not yet represented in our country. The deal with H&M was closed in the second quarter of 2015, told RBC a source familiar with its terms.
Director of communications «H&M Russia» Ekaterina Prosvirkina did not comment on the issue of renting space in the «Gallery Actor». The press service of SOFAR did not respond to a request RBC. In a press-service of the company Cushman & Wakefield, which manages the «Gallery Actor», declined to comment.
Center «Gallery Actor» was opened in 1996 after the reconstruction of the historical building of the House of the actor, almost completely burnt in a fire in 1990. In 1996 «Gallery Actor» became one of the first modern business and shopping centers in Moscow. SOFAZ bought the complex with a total area of 18 thousand sq m at the end of 2012 in the Capital of the insurance group for $133 million To the trading part of the complex have 5.8 thousand sq. m. on Wednesday, 16 December, it became known that the «Gallery Actor» will run until January 10, 2016, when it is closed for renovation, after which TC will work in a Department store.
«Gallery Actor» — best commercial building on Tverskaya, said the Director of Department of strategic consulting Knight Frank Alexander Obukhov. Still in the trade part of complex luxury brands combined with the mass market. Now in the «Gallery Actor» includes, for example, such premium brands as Mercury, Rolex, Swarovski, Bvlgari, Tag Heuer, Emporio Lux and Bottega Fiorentina, and at the same time mass — Levi’s, Swatch, «wild Orchid», «Perchatochki».
Swedish clothing retailer H&M (Hennes & Mauritz AB) in the same name of the network includes network COS, & Other Stories, Cheap Mondey, Monki and others. The main owner of the company — the family of the Swedish billionaire Stefan Persson. As of 19:30 Moscow time on Monday the company’s securities on the NASDAQ rose 0.9%, the capitalization was $57.3 billion.
Revenue of the company from December 2014 to August 2015 amounted to 153,4 billion Swedish kronor (about $18 billion). In Russia, the company’s sales for the same period increased by 15% (year-on-year) and amounted to 2.6 billion Swedish kronor ($308,4 million). Thus, sales in Russia accounted for less than 2% of global sales. H&M opened its first store in Russia in 2009, on 20 December 2015 was 87 H&M stores and one store Monki.
H&M and the retail market
153,4 billion Swedish kronor (about $18 billion) amounted revenues of H&M in the nine months from December 2014 to August 2015. The company’s sales in Russia during the same period grew at an annual rate of 15%, to 2.6 billion Swedish kronor ($308,4 million).
25% of the clothing market Russia in 2014 had a network of retailers which include H&M
87 the H&M stores and one store under the brand Monki has in Russia
$57,3 billion is the market capitalization of the company H&M on the NASDAQ as of December 21, 19:30 GMT
11 new retailers of clothing entered the Russian market in the first three quarters of 2015. In 2014 of new retailers was 28
In 2 times has increased since the beginning of 2014 the vacancy rate in retail corridors of Moscow — then, it was 7%, and by the end of 2015 should be about 14%— the average rental rate per 1 sq m a year in Moscow’s main shopping centres
- will be by the end of 2015, the vacancy rate of premises in Moscow shopping centers
- sq m has reached the total volume of Moscow’s retail space. These are 104 shopping centre
Sources: Colliers International, Rosstat, JLL, Y Consulting
Rent under the percentage
Originally SOFAR was going to attract tenants that would open in a shopping center, the clothing store under the brand name of a higher price segment than H&M, Harrods or Debenhams for example, knows the Director of the Department of capital markets at Colliers International Sayan Tsyrenov. «Well, with anyone and do not agree with the beginning of the crisis, last year, began negotiations with H&M,» he explains. The representative of the company «Debrass» (in Russia owns the exclusive franchise for the development of Department stores Debenhams) on Monday evening, answered the questions of the RBC.
Before the crisis square in the «Gallery Actor» could be rented for $0,8–1 thousand for 1 sq. m a year, now the rate will be significantly below estimates Sayan Tsyrenov. But H&M, most likely, have agreed with the owner of the building is not on a fixed rate, and the repayment terms of percentage of turnover: this is the standard condition of the company in Moscow, said the head of street retail at JLL (until 2014 — Jones Lang LaSalle) Julia Nazarova. «I think H&M did not depart from its traditional policy and will pay a percentage of their turnover,» agrees Alexander Obukhov from Knight Frank.
Clothing retailers usually pay to the lessor 8-15% of turnover, in the case of H&M could be up to 8%, said Obukhov. According to him, the proceeds from 1 sq m of H&M stores in the best shopping centers of Moscow is about 500 thousand rubles per year. Based on these figures the maximum profit, which SOFAR can get from H&M, is about 230 million rubles per year. «Owners of premises H&M is very transparent and comfortable from the point of view of business international public company that guarantees a stable flow forecast and increase the investment attractiveness of the object,» says Nazarova from JLL.