Reborn Tycoon Rise
Chapter 183 Real Estate Auction (1)
Li Jiacheng smiled and said: "Xu Sheng, if you can get the other party to tell you the price, Xu Sheng has already succeeded half the battle. If there is a price, it means that the other party has plans to sell it. Moreover, the land price is changing day by day, so you can't calculate it based on the previous land price." With the current market value, Xu Sheng should have a yardstick in his mind as to whether it is a good deal or not. If he doesn't agree, just negotiate slowly."
Xu Zhi nodded and said, "Okay, thank you Li Sheng for this. I will arrange for a lawyer to follow up!"
Li Jiacheng said: "It's nothing. I also hope that this matter will end soon. Xu Sheng will become Weicheng's new shareholder. If Midea Electronics invests in the industry and we Weicheng invests in real estate, it is best if everyone benefits!"
Xu Zhi smiled and said nothing more.
Li Jiacheng was silent for a while, and then said: "Xu Sheng, I heard that Evergrande Real Estate will also participate in the auction of P23 plot next to Mong Kok MTR station?"
Plot P23 in Mong Kok is the original land of Mong Kok Center, a famous building in Mong Kok in later generations. Historically, the joint consortium headed by Hang Lung Group invested in this land to build a 22-story Mong Kok Center. In the early 1980s, Mong Kok Center was launched At the time of the sale, it was the peak period of real estate, and the United Consortium earned a profit of HK$430 million!
430 million Hong Kong dollars. According to the current Hong Kong dollar exchange rate, it is already close to 100 million U.S. dollars. It is comparable to the value created by a tank war in half a year. You must know that classic games are extremely rare, but in Hong Kong, there are a lot of this kind of land, and the profits of real estate are high. , absolutely destroyed various high-tech industries, just because it cannot form a monopoly and cannot compare with unicorns in the field of technology!
Xu Zhi said: "Yes, is there any problem?"
Li Jiacheng frowned and said: "Xu Sheng, you should know about this auction. Hang Lung, Yangtze River Holdings, Henderson Land, and New World are already preparing to cooperate in bidding for this land!"
Xu Zhi said calmly: "What then?"
Li Jiacheng said: "At present, the British capital in Hong Kong is still very powerful. We Chinese capital should not start internal strife at this time. If we all participate in our own affairs, wouldn't it be a waste of increasing our own costs? It is better not to avoid this kind of vicious competition!" "
Xu Zhi smiled and said: "So, you guys are planning to withdraw from the bidding?"
Li Jiacheng smiled and said, "Xu Sheng should know what I mean?"
Xu Zhi smiled and said, "Don't do to others what you don't want others to do to you. Li Sheng should understand this, right?"
Li Jiacheng sighed and said, "I understand, that's it for today. I'll say goodbye first!"
…
The time soon came to June 9th, and the Heung Kong MTR Corporation held an auction for the P23 area of the Mong Kok site!
The role of the subway is actually very simple. It reduces congestion and promotes urban economic development. In almost all countries and regions around the world, the subway itself is losing money, and the government generally provides subsidies to maintain operations.
But the city of Xiangjiang is different. The subway company here is the only company in the world that can make a profit on its own! The fundamental reason is the agreement between the MTR Corporation and the Hong Kong government: the land that the subway passes through is all owned by the MTR Corporation, and the MTR Corporation uses the funds to develop the subway after auctioning the land.
This has alleviated the economic pressure on the government to a certain extent. You must know that the total project cost budget of the Tsuen Wan Line built in 1978 is HK$4.1 billion. Auctioning of land to raise funds is the only way to develop the subway.
The auction location is on the 6th floor of the Heung Kong MTR Corporation headquarters building in Central, and the time is exactly 10 a.m.
At nine o'clock, Xu Zhi's car slowly stopped under the building.
This auction brought together most of the real estate companies in Hong Kong. In addition to the five Chinese-owned real estate companies, some second-tier Chinese real estate companies, British-owned Land, Swire Properties, and Wheelock all participated.
Many real estate bosses frowned when they saw Xu Zhi and his party. Although they had already known that Xu Zhi had established a real estate company, there had been no news. This should be the first time that Xu Zhi had participated in the Hong Kong government's auction.
Facing a competitor with hundreds of millions of dollars in hand, even if you have no experience in the real estate industry, it will put a little pressure on a bunch of giants!
I'm afraid that the stupid person will hurt others with his own abilities!
After entering the venue, Xu Zhi roughly estimated that there were about 40 companies participating this time, and the Xiangjiang Metro Company auctioned a total of 9 pieces of land, all located at different locations on the subway line.
According to the registration order of real estate developers, each company received a hand plate with a number. Evergrande registered late, and the number plate was No. 37.
There is still a while before the auction, and people from various groups are communicating with each other in low voices. For some small real estate companies, the pressure of this auction is actually very high. Not only local companies from Xiangjiang, but also some from Japan and Southeast Asia. Consortiums have also participated. The real estate situation in Xiangjiang has been booming in recent years, and the mainland has begun to reform and open up, attracting a lot of foreign investment.
Bao Fuda also came to the auction on behalf of Land. After chatting with the people around him, he walked towards Xu Zhi.
Although the auction attracted many companies, each company could only bring a few people in. Compared to the huge venue, the seats were very empty and everyone sat casually.
Bao Fuda sat next to Xu Zhi and smiled at Xu Zhi: "Xu Sheng, are you not satisfied with the huge profits in the gaming industry and want to come here to steal our jobs?"
Xu Zhidao: "My principle is to go wherever I can make money. As for other people's jobs, as long as there are good things in them, what if they are robbed?"
Bao Fuda smiled and said: "Haha, that's interesting. Xu Sheng, why don't you cooperate with us Land and acquire some more pieces of land together!"
Xu Zhi refused: "It's too late to talk about this now. If you want to cooperate, let's do it next time!"
It is very common for real estate companies to form groups to cooperate, but in fact the fundamental reason is due to insufficient funds or uncertainty about the future. Many companies can share the risks equally, and several joint ventures are also more convenient for future bank loans.
However, Xu Zhi knows when real estate is at its peak and when it will hit rock bottom. Now that he can monopolize the profits, of course he will not cooperate with anyone.
Unless there are other resources to cooperate!
…
Major real estate developers are in place and the auction has officially begun.
The auction organized by Xiangjiang Metro is actually relatively simple. There are generally two types:
The first is for all bidding companies to write down their own reserve prices and cooperation plans, and then the board of directors of the subway company will study each one and choose the best one. In 1977, Changjiang Industrial participated in this kind of auction when it defeated Land.
The second is the traditional plan, which introduces the land situation, price increase, auction process, etc.
Today’s auction belongs to the second type. The auctioneer introduced on the stage:
"The first auction is the B15 plot in Yuen Long District...
The land area is 85,000 square feet, and the starting price is HK$60 million.
The minimum price increase per time is HK$1 million..."
After the auctioneer finished speaking, none of the major real estate giants were in a hurry to bid, but several small companies were eager to give it a try and gradually raised the price to 70 million...
Yao Mingcheng, who was standing next to him, introduced in Xu Zhi's ear: "The location of this piece of land is actually okay, but the commercial facilities near Yuen Long are not perfect. If it is used to build a shopping mall, the area is a bit small. The office building is okay, but it still needs a lot of space." Let’s see what the final transaction price is.”
"On the 18th, 85 million!"
"Number 22, 90 million!"
…
"No. 6, one hundred and one million!"
After the price reached hundreds of millions, the bidding slowed down. In the end, a medium-sized real estate company won the land for HK$106 million, which works out to about HK$1,300 per square foot!
This is nothing in the prosperous areas of Central or Kowloon, but it also refreshes the land prices in Yuen Long District.
The price of the first piece of land exceeded 100 million, which seriously stimulated everyone's psychology. Instead of feeling pressure, they became more positive. This is the case in the real estate industry. The more money pours in, the higher the house price will be, and ultimately the profits of the real estate company will be the same. higher.
However, this piece of land is just for warming up the venue. Many large real estate companies have no end at all. This kind of small land is originally prepared for medium-sized real estate companies. Although large companies can bid, the profits are too small. I don’t like it!
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