Tesco Switch To Real Estate And Find New Way Out

The competition of British supermarkets has entered a white hot stage. Hardi, Liddell and other discount supermarkets have been growing faster, and have been on the way to massive investments, opening more stores and bringing more jobs. A few days ago, Liddell announced that he invested 220 million pounds to add 20 new stores and create about 2500 jobs, so that the number of stores would reach 620 by the end of the year. At that time, Tesco, the leader of the British supermarket, decided to control the scale of its stores in the UK and use its idle land to build houses.

In fact, Tesco was criticized by the industry as a result of its hoarding of large quantities of land in Britain. It is estimated that all the idle land can build about 15 thousand homes.

Last year, Britain Consumer shopping habits have changed significantly. Because of the economic downturn, British consumers tend to be frugal, no longer go out to the big stores every week, but often go to nearby convenience stores. The daily goods purchased are often purchased by discounted retailers, Liddell and the supermarket. When they need high-end goods, they choose Marsha and other places. Therefore, the location of the middle end of Tesco is seriously damaged. Tesco has decided to reduce the number of new stores and develop large stores every year. For those who no longer plan to open supermarkets, they will be sold, leased, or used for the development of real estate.

　　 Tesco "We are planning to build more than 4000 homes in the UK, which may be self occupied or sold to real estate developers in the future," said in a statement last Friday.

Tesco's move will help ease the housing shortage in Britain and drive up house prices in the UK. At the same time, it will also enable Tesco to liquidate some of its fixed assets. Housing data from Halifax, the largest mortgage lender in the UK, showed that the average housing price in the UK was 183 thousand and 462 pounds as of June.

It has also become the largest real estate project in the history of Tesco. According to foreign media reports, 4000 houses under Tesco will be completed in 2017. Initially planned in the southeast of England, it is planned to be built in the weir garden and St. al Bence. However, the development plan shows that the northern and western cities of England are also being planned.

It is understood that residential communities and local associations have given positive feedback to this project.

In Britain Supermarket In the battle of scale, Tesco CEO Philip Clarke halted the scale competition of supermarkets, instead of focusing on investment in small convenience stores and digital enterprises. It is also because of the no advantage in the price war, the sales of Tesco are declining. In the first quarter of this year, Tesco suffered the lowest sales in 40 years, and the local sales decreased by 3.7% compared with the same period last year.

At present, Tesco is refurbishment of the existing large supermarkets, especially restaurants, cafes and bakeries, and is also slowing down some projects to be opened in stores. Tesco has 3400 stores in the UK, of which 247 are super comprehensive supermarkets and 482 are traditional comprehensive supermarkets.