Creation of a Modern Shopping Center in Khmelnitsky, Ukraine

The aim of this project is the establishment in Khmelnitsky of the shopping complex that will consist of shops of different styles to meet the needs of the population.

To meet the needs of the population and visitors this project will provide a set of services under one roof that will include:
• Shops selling foodstuffs, machinery and others
• Office enterprises of various activities;
• Modern room boutique with a nice facade;
• Car wash;
• Convenient parking.
Creating a single shopping complex in the city center is planned at the Khmelnitsky galvanized tableware factory by reconstruction of buildings followed by finishing building and their resettlement. Factory premises are situated at the center of Khmelnitsky.

Premises of the factory are 2000 sq. m. Expansion of the commercial center’s area is planned as follows:

• Room of the shop, an area of 667, 2 sq. m., and the adjacent building structure, an area of 330.4 square meters, can be added to the factory area and complete the second level of the entire length of the premises;
• Separately located premises with total area of 200 square meters, can be increased to the same area and complete the second level;
• Completion of glass boutiques along the length of the front room of the plant will increase the total area of buildings by approximately 200 sq. m.

Thus, we received a total area of 3400 square meters of premises.
These premises will be leased or put up for sale.

Purchase of this property can be done in two ways:
• Purchase of the plant for zincked tableware as a collective enterprise;
• Purchase of the plant building.

The purchase price is $800 000 at rate of $400 per sq. m. (2 000 sq. m. x $ 400). Estimated cost of reconstruction for the second-floor superstructure and completion of the glass boutiques (front side), and arranging the surrounding area, would be $1 million - $1.2 million USD.

Therefore, to implement the idea of a Commercial center we need in total $2,000,000.

The premises of the Khmelnitsky plant for galvanized utensils have very convenient location and the area is the best option for a trade complex. The newly created shopping area and office space will be used at full capacity, unlike the existing competitors, where the stores are half empty.

The research shows that in our time Khmelnitsky is undergoing major transformations in the retail trade of food and the industrial sector. This is due to several reasons.

Firstly, in Khmelnitsky has opened stores, which carry out retail trade of the self. Despite some minor flaws, these companies offer a new level of public services. Other shops are unable to participate in the competition without significant changes in their capacity and ownership. Secondly, there is growth of the consumer-culture population and, consequently, increased requirements for organizations that provide related services.

The aim of this project is establish a Commercial center that will meet the needs of the population.

Total borrowed funds will be $2,000,000.
Revenue from subsequent renting will be $40,800 per month.
The calculation was conducted at 100% of deposit renting.
The project will pay for itself in 5 years.
It should be noted that debt repayment will begin approximately no earlier than one year after receiving funds. This term is needed in order to bring the factory premises and the surrounding area to the proper state (reconstruction) and to add additional areas.