GRANDJOY(SZ:000031) Cai Jing Wang·2025-11-21 09:12Core Viewpoint - The recent land acquisition by Dalian Wanda Group in Chengdu reflects a strategic shift from a capital market-oriented approach to an asset operation-oriented strategy, indicating a deeper transformation within the company [1][3]. Group 1: Land Acquisition Details - Dalian Wanda Group acquired a land parcel in Chengdu's Qingyang District for 2.65 billion yuan, covering over 201 acres, which will be developed into the third major Wanda Plaza in Chengdu [1][2]. - The acquisition includes four plots with a total area of approximately 134,500 square meters and a total construction area of about 305,200 square meters, consisting of two commercial and two residential plots [2]. - The commercial portion will be a key highlight, designed as a heavy-asset Wanda Plaza, strategically located near Guanghua Avenue and the subway line 4 [2][3]. Group 2: Market Potential and Challenges - The Qingyang District presents a market gap due to stable industrial foundations and rising consumer demand, making it an attractive investment area for Dalian Wanda Group [2]. - Despite the clear market potential, the new Wanda Plaza faces challenges in attracting customers, as the high-end commercial landscape in Chengdu is already dominated by established players like IFS and Taikoo Li [4]. - The company plans to introduce a mix of top-tier brands and unique business formats to fill the high-end commercial void in the Qingyang District [4]. Group 3: Financial Strategy and Future Outlook - The project is expected to generate positive investment value and stable cash flow upon completion, with a dual strategy of residential and commercial development to balance cash flow [3]. - Dalian Wanda Group's existing projects in Chengdu, such as Chengdu Wanda Plaza and Tianfu Wanda Plaza, have shown strong operational performance, with high occupancy rates and increasing rental income [3]. - The privatization plan, which is set to take effect soon, aims to streamline decision-making processes and enhance operational efficiency, allowing the company to focus on strategic investments like the Qingyang project [5].