Ikea’s parent company to build $1.2b mall in Shanghai

Ingka Holding BV, parent of the world’s largest home-furnishings retailer IKEA, has begun development on a $1.2 billion mixed-use development in Shanghai that the home furniture supplier says is its single-largest investment globally.

The new project, to be located adjacent to Hongqiao International Airport in the western part of the city, will operate under the brand Livat, and is expected to open at the end of 2022.

The complex will total 430,000 square meters (4.6 million square feet) when completed, among which 120,000 square meters (1.29 million square feet) will be devoted to more than 300 retailers for clothing, catering, entertainment, education and sports. The project will also feature Ikea’s first class A office, with a modern office covering 60,000 square meters (646,000 square feet).

Apart from Shanghai, Ikea plans to build another two new Livat projects in Changsha, Hunan province, and Xi’an, Shaanxi province, which are scheduled to open in 2020 and 2022, respectively.

Ikea first introduced retail brand Livat in China in 2009. Livat has three projects located in Beijing; Wuxi, Jiangsu province; and Wuhan, Hubei province.