Reborn Tycoon Rise

After visiting Japan for a few more days, Xu Zhi and his party returned to Xiangjiang.

After half a month, Hutchison Whampoa Company and Land and Carnegie Group have launched several negotiations on the acquisition of Hilton hotel properties, but some details are still not agreed upon. After knowing that Xu Zhi has returned to Xiangjiang, Chen Songqing , and Bao Fuda immediately came to visit.

In the conference room of Hutchison Building, Chen Songqing, Bao Fuda, Xu Zhi, Ma Shimin and others sat on different sides.

Xu Zhi looked through the negotiation records of other people's previous meetings, smiled and said, "Two of you, if you have any questions, please let us know. Let's discuss it together. I also hope that this project can be finalized as soon as possible!"

Now is the middle of 1981. In fact, the real estate market has begun to show negative growth. Due to the large-scale construction of industrial office buildings in the past few years, many factories have moved to Shenhai City in the mainland due to the reform and opening up in the mainland. This has led to the industrial The office vacancy rate has reached 20%, and rents have begun to fall.

Commercial real estate and residential properties have also begun to fluctuate, rising and falling at times. This is a game between two forces. Some people feel that housing prices have reached a peak and begin to sell off assets, while others feel that there is still room for growth and are constantly selling. Take over.

Xu Zhi does not want this negotiation to drag on any longer. By the beginning of 2082, the transaction price of the land auction will drop. Even if Land and Caring are still optimistic about the future of the Xiangjiang property market, they are not fools and will naturally not take over at a high price. .

Chen Songqing smiled and said: "Xu Sheng, I don't know if you are satisfied with the transaction price of HK$2.7 billion."

"Okay." Xu Zhi nodded in agreement. According to the location and area of ​​the Hilton Hotel, the price is similar, close to the land prices sold in recent auctions.

Chen Songqing nodded and continued: "Xu Sheng, according to the contract between Hutchison Whampoa Company and Hilton Hotel Group 20 years ago, if we breach the contract now, we need to compensate 330 million Hong Kong dollars.

Since Xu Sheng is unwilling to have a conflict with the Hilton Hotel, then we will be the villain, but the liquidated damages should be paid by Hutchison Whampoa. This request is not too much, right?

However, Hutchison Whampoa is only willing to reduce an additional HK$200 million. You must know that the subsequent cost of demolishing the Hilton Hotel will be tens of millions of HK$, and we will pay for this money. "

"Sheng Chen, although according to the contract it is indeed necessary to compensate 330 million Hong Kong dollars, there are many loopholes in this legal regulation. I think with the strength of Carin and Land, it should not be a problem to lower the price." Xu Zhi He said with a smile.

Chen Songqing frowned and said: "No matter whether it is easy or not, this also requires the use of our resources, and it is also a fight with an international hotel chain group or even a lawsuit. Xu Sheng did nothing and just wanted to save this money in vain. This is Isn’t that a little too much?”

"Sheng Chen, it's not your style to get entangled in such trivial matters. If we reach an agreement as soon as possible to demolish the hotel and build it into the First Xiangjiang Tower, I'm afraid the benefits will far exceed the amount of money we are negotiating now." Xu Zhi smiled. Said, Chen Songqing has been famous for not caring about price in the past two years. He buys things everywhere and sells them at high prices.

"Xu Sheng, generosity is not taken advantage of." Chen Songqing said unhappily. His previous generosity was just to drive up the stock price. It was basically an internal transaction and a high price announced to the outside world. But now this negotiation involves a real deal. Interests, he will naturally not be "generous" anymore.

"These are two things. Xu Sheng should not confuse them." Bao Fuda suddenly said: "But this is the first cooperation between us. Land can take a step back. As long as Xu Sheng is the same as last time, he is willing to let Bank of East Asia pay 13 A loan with an interest rate of % is good.”

"That won't work." Xu Zhi shook his head and smiled: "This involves internal transactions. Bank of East Asia and Hutchison Whampoa are both companies under my subsidiaries. Although this kind of transaction does not violate banking laws, I do not agree to it.

Moreover, Bank of East Asia is not a large bank after all, and the funds cannot meet your requirements. "

Xu Zhi also understood. Chen Songqing and Bao Fuda still came here with the low interest rate of the Bank of East Asia, but now it is completely different from before. The deposits of the Bank of East Asia increased greatly some time ago. In order to issue the loans as soon as possible, they were willing to give them With a low interest rate of 13%, and now that the bank's internal balance of payments has begun to balance, profitability has of course become the number one priority.

Chen Songqing nodded and smiled: "Mr. Ma Shimin and Yuan Sheng from the Bank of East Asia have already explained this to us. We understand Xu Sheng's concerns, but our request is not for this transaction, but for the subsequent construction of the building. We hope that the funds needed will come from a loan from the Bank of East Asia."

"Building construction costs?" Xu Zhi asked with a smile: "That's okay, but the rules are the same as last time. There must be enough collateral, and you both must guarantee each other."

"No problem." Chen Songqing agreed with a smile.

Bao Fuda did not answer. Instead, he frowned. After thinking for a moment, he said, "This time Land will not use stocks as collateral."

He had used 5% of the stock last time. Although Jardine and Land had completed mutual control, he was always uneasy. The funds needed to build the First Hong Kong Tower would be at least 2 billion Hong Kong dollars, even if Carnegie assumed half of it. Such a large amount of funds also requires more stocks as collateral. Although he is very confident about the real estate prices in Xiangjiang, if something goes wrong midway, even if the control of Land is not lost, a seat on the board of directors will be controlled by an outsider. , this is not acceptable for Land, which has just lost Wharf.

Xu Zhi smiled and said: "Bao Fuda, you don't think I will give you billions of Hong Kong dollars in loans without collateral, do you?"

Bao Fuda said: "We are using the future equity of this building as collateral, why not?

Xu Sheng, this is also the current normal state of the real estate market in Xiangjiang. I think you should be aware of it. "

"I know." Xu Zhi smiled. There are only two reasons why real estate in any country or region goes crazy. One is the government's acquiescence, and the other is the bank's release.

The same is true in Hong Kong today. Although the British Hong Kong government also found that housing prices are too high, due to its commitment to maintaining Hong Kong's free economy, the intensity of the Hong Kong government's intervention is far less than that of other governments.

Banks are even more crazy. It is normal to use land as mortgage, but many banks in Hong Kong dare to use future housing prices as collateral. That is, the bank loans first, and the collateral is the building after the future house is built.

Some crazy people even bet that house prices will continue to rise, and use this to issue high-amount loans.

If house prices keep rising, there is no problem, but if there is a slight fluctuation, the entire operating system will be completely destroyed.

Xu Zhi thought for a while and then said: "Let's do this. If Jardine Group is willing to provide the guarantee this time, I can agree to the loan."

"Yihe guarantees?" Bao Fuda frowned.

"Yes, Jardine, Land, and Carin will mutually guarantee the construction funds for this building. In this case, I don't need any collateral. What do you two think?" Xu Zhi said with a smile.

"I need to go back and discuss with Newbijian. In principle, I agree with this plan." Bao Fuda thought for a while and said, the loan must be guaranteed, and it is normal for large companies to guarantee each other. After all, as long as the entire real estate project develops smoothly, After the construction of the building is completed, you can make a huge profit when you sell the off-the-plan property. As for the so-called mortgage, as long as you have the money to pay it back, it will disappear.

"Okay, Mr. Bao Fuda is so refreshing." Xu Zhi smiled and said. In the previous meetings, Bao Fuda still respected Newbijian's attitude, but now it seems that it is a different situation.

The reason is also very simple. Although Yihe Mutual Control has protected Landmark from being snatched away, it has also become the controlling shareholder of Yihe Land. This will naturally cause a change in the mentality of Bao Fuda, a real estate executive.

Chen Songqing smiled and said, "Okay, it's great to be able to cooperate with Xu Sheng again."