Giant Beijing Department Store Acquired by Shopping Mall Group behind Solana

OK, so it’s official: the group behind Beijing’s Solana Shopping Mall has acquired the charter Department Store in the West of Beijing. After several years and a number of futile attempts to get this mega version of a department store going, they have finally given up and sold out. Whether the operators behind Solana are capable of pulling of a turn-around of this 340,000 sqm property remains to be seen. Industry insiders in Beijing are doubtful and cite the lack of capital on Solana’s part as the main hindrance. In any event, it shows once more the rise of the shopping malls and the demise of the department store. Surely, it didn’t help that Charter (originally from Jilin) wasn’t playing on its home turf in Beijing which was only worsened by the fact that in 2010 they acquired what was back then the largest ever department store in the entire country. As the retail people in Beijing know, something of that scale might possibly have worked in the Eastern parts of Beijing, like Chaoyang, but surely not in the West of town. One of my old acquaintances has just joined as new GM of Solana. In his case, recently departed from HK listed department store chain New World, this might give him just enough insights to have a fair shot at solving the Charter dilemma that has dropped so elegantly in his laps. Good luck to you, old friend!