Chapter 164 High-end residential and cinema investment

Chapter 164 High-end residential and cinema investment

Chapter 164 High-end residential and cinema investment

Time quickly came to 1960.

February 1:
Yang Wendong met an elite from the real estate industry who was recruited by a headhunting company at the headquarters of Changxing Industrial.

"Hello, Mr. Zheng." After being introduced by Wei Zetao, Yang Wendong shook hands with the visitor Zheng Zhijie and said with a smile.

"Hello, Mr. Yang." Zheng Zhijie also politely shook hands.

"Everyone, please sit down." Yang Wendong smiled and said to Wei Zetao, "Old Wei, you can also stay and listen."

"Okay." Wei Zetao agreed, and then took a few bottles of Watsons soda from the side.

Yang Wendong asked, "Did Zheng Sheng follow Huo Yingdong and Huo Sheng before?"

"Yes." Zheng Zhijie nodded and said, "Mr. Yang and Mr. Wei should know something about Mr. Huo's situation. His real estate company is having some difficulties in development, and Mr. Huo himself has also started to invest in the sand panning industry on a large scale."

"Yeah." Yang Wendong nodded. As for this Hong Kong businessman who was draped with the national flag after his death, he naturally knew very well what happened.

Then, he asked, "Mr. Zheng, what do you think of the current real estate industry in Hong Kong?"

Zheng Zhijie replied: "Mr. Yang, I have used 80% of my assets to pay the down payments for four houses."

"Haha~" Yang Wendong smiled and asked, "Then why is Zheng Sheng so optimistic?"

Zheng Zhijie replied: "Because of the industry, Hong Kong's industry has developed too fast in recent years. Not only is there a sticky note king like Yang Sheng, but there are also hundreds of small factories of various kinds.

I found a piece of data before. In 1958, Hong Kong's re-export trade accounted for 61% of its exports. In the first half of last year, it became 52.6%. It may fall below 50% in the second half of the year or even the whole year.

This is because a large number of Hong Kong factories export various industrial products. These industrial products create a large number of jobs and the factory owners also make money, so they will inevitably invest in real estate. This is the instinct of many people.

Another important reason is population. Hong Kong’s population has also increased significantly in recent years. Although the increase is mainly among the poor, the demand has increased, which can still drive up housing prices.”

"Good analysis." Yang Wendong nodded and said, "Population and economy are the core of real estate."

In the past, after the 20s, the real estate market in the mainland gradually became less prosperous. The fundamental reason was the decline in the birth rate and the slowdown in economic growth.
Zheng Zhijie said: "Mr. Yang's summary is also correct and accurate."

Yang Wendong smiled and said, "I know a little about the theory, but the actual operation requires professionals like Zheng Sheng."

"Mr. Yang, isn't this what you hired us to do?" Zheng Zhijie asked with a smile, "Then I wonder which area of ​​real estate Mr. Yang is going to work in, or which region he is going to choose?"

"Is there any difference?" Yang Wendong asked back.

Zheng Zhijie said: “There is not much difference, but the corresponding relationships in different fields or regions are different. If you want to do well in real estate, you need to build good relationships with these people;
As a new company, it is better to invest in one region at a time. Only large companies with connections to the Hong Kong government can invest freely in Hong Kong, but currently these companies are mainly British-owned companies.

"That makes sense." Yang Wendong nodded and said, "Then where do you think we should invest?"

Zheng Zhijie said, "Mr. Yang, may I ask how much money you are prepared to invest? Or, how much bank resources can we mobilize?"

Yang Wendong said: "Several hundred million or tens of millions is no problem. I have a very good relationship with Liu Chong Hing Bank and have negotiated with them. They will support me in real estate."

Although it was only a verbal agreement with Liu Chong Hing Bank, it is impossible to promise such a thing in writing because it is not a cooperation on an actual project;
However, Yang Wendong was not worried about any problems. This kind of cooperation was not a one-time thing, and the initial amount of cooperation would not be large. If things went well, it would be increased gradually.

Moreover, real estate will basically not lose money in the next few years, unless you choose an unlucky position.

Zheng Zhijie added: "If that's the case, then we should go to Hong Kong Island."

Yang Wendong asked back: "Isn't it possible in Kowloon?"

Zheng Zhijie shook his head and said, "In the long run, yes, for example, if Mr. Yang wants to hold a property here for a long time, it is possible.

Because the current trend of Hong Kong's industry is to shift from Hong Kong Island to Kowloon and the New Territories, the population will also flow here. You only need to look at the annual electricity growth data of China Light and Power to know this.

But this process is very slow, and most of the people who migrate here are ordinary workers who cannot afford to buy houses, so if you want to do normal real estate business, you can’t choose this place.”

There are two power supply companies in Hong Kong, HK Electric is responsible for Hong Kong Island and CLP Power is responsible for Kowloon Peninsula. Electricity data is the most direct reflection of the economy.

"What you said does make sense." Yang Wendong nodded and said, "It just so happens that it coincides with some of my ideas. What I want to build is high-end residential buildings."

"High-end residence?" Zheng Zhijie asked, "Are you talking about a villa, Mr. Yang?"

Yang Wendong shook his head and said, "No, a villa is a villa, and mine is essentially a normal high-rise residential building. The building is no different from other companies' residential buildings.

What is different is the decoration. What I need to do is to provide buyers with a complete living environment, that is, the decoration will be our responsibility. "

During this period, he also visited some residential properties in Hong Kong. They were basically the same as those in China in his previous life, with unfinished properties. After the owners moved in, they needed to do the renovations themselves. This is actually a concern for many people.

Therefore, Yang Wendong had this idea. In the past, a few high-end brands would launch the concept of fine-decorated houses to facilitate the owners;
Of course, this concept is good, but many companies are too unscrupulous and do a very bad job of fine decoration, which damages the brand and forces many buyers to be unwilling to buy fine-decorated houses. Zheng Zhijie thought about it and said, "This is feasible. The real estate company does not need to do anything. It can be outsourced to other decoration companies.
The only problem is that everyone has their own preferences and requirements for decoration. "

Yang Wendong said with a smile: "In theory, this is true, but in reality, ordinary homebuyers, even those with decent financial conditions, where do they get this kind of experience?
Most people, when it comes to decorating, actually just look at how others decorate their homes. If they have the same apartment type, they will probably just copy it and at most make some changes in a few places, right?"

"Yes." Zheng Zhijie said after pondering for a moment.

Yang Wendong continued: "So, before we sell the house, we can build a sample house for all the buyers to see. If they like it, we can just do the deal.

If you want to change anything, someone will record it and you can change it later during the renovation. There will be some extra charges involved.

If it still doesn’t work and the buyer is not satisfied, that’s not a problem, we can just hand over a rough house.”

Zheng Zhijie thought for a moment and said, "What a good idea. Using unified decoration to reduce costs. Mr. Yang has a great idea."

"Reducing costs is secondary. The main thing is to improve the level of the community, which will make it more valuable." Yang Wendong said with a smile.

A house is not an ordinary commodity. Its financial attributes are greater than its actual residential attributes. That is to say, many people buy a house, even if it is for living, but they also need to consider its financial value.

To realize financial value, the most important thing is the location of the land, which is difficult to change, but improving the level of the entire community is also a good method.

Zheng Zhijie nodded and said, "Yes, for a community like this, if the location is suitable and the surrounding facilities are comprehensive, the selling price will definitely be much higher than that of a community in the same location."

"Yes." Yang Wendong nodded.

Zheng Zhijie asked again: "Mr. Yang, if it's just like this, other people can also imitate it. This kind of creativity is not difficult to register a patent like industrial products."

"Mr. Huo invented pre-sale housing, and he also has no patent, but this does not prevent him from becoming one of the top real estate tycoons in Hong Kong, right?" Yang Wendong smiled and said, "If it weren't for that reason, Mr. Huo's current achievements would definitely be higher."

In the real estate history of Hong Kong, Fok Ying-tung came much earlier than Li Ka-shing, Li Shau-kee and others, and it is no exaggeration to say that he is even older than the previous generation.

In the early days of Hong Kong, real estate was sold one by one and required a one-time transaction. Most of the buyers were landlords who rented out the properties after purchasing them.

The huge demand for funds caused the real estate industry to be sluggish until Huo Yingdong invented pre-sale housing.

Because of this idea, Huo Yingdong was able to leverage a real estate project worth HK$10 million with HK$250 plus bank leverage, and ultimately make a profit of hundreds of thousands or even millions of Hong Kong dollars, which was extremely profitable.

However, naturally, other people followed suit and also made huge profits. In the end, this greatly stimulated the real estate market and the banks, completely tying real estate and banks together.

"Yes." Zheng Zhijie nodded and said, "Mr. Huo's talent in business is the strongest I have ever seen."

Yang Wendong went on to say: “I can’t control other people’s affairs, but I can control my own affairs. Because I really want to build a good brand, the quality of the decoration must be as good as the owner’s own decoration, or even better.

Just for this reason, I don’t believe that those real estate developers who only want to make quick money can do it. "

Everyone likes to make quick money. Even if the A-shares were like that in the past, and everyone knew that entering the market was like taking a gamble with their eyes closed, there were still many people rushing to jump in.

Even many factories, knowing that they are doing long-term business, will sometimes save costs and seek short-term profits.

Zheng Zhijie said: "If Mr. Yang thinks this way, then he will definitely be able to do a good job in this real estate brand."

"Yes." Yang Wendong nodded and said, "In addition to high-end residential properties, I also want to invest in a real estate project: a cinema chain."

"Cinema line?" After listening, Zheng Zhijie asked, "Mr. Yang, you own a radio station and a newspaper. Are you planning to enter the movie market?"

"We'll talk about this later." Yang Wendong said with a faint smile: "Let's buy the property first. If we can buy the cinema chain, we can negotiate the price and buy it if it's suitable. Or we can choose the right land and build it ourselves.

Not only Hong Kong Island, but also some prime locations in Kowloon need to be considered, but here we basically need to build it ourselves, and we can choose places with dense population, that is, the town center. "

The film market is indeed good. Although it cannot compare with real estate or industry in terms of value, it is also a part of the media. In the era when there were no free wireless TV stations, many people relied on movies to access the "screen".

However, there is no need to rush this matter. We should first get the suitable cinema chains. As long as the cinema chains are in our hands, we will be invincible in the future.

Zheng Zhijie nodded and said, "This is not difficult. All you need is money. It's much easier than running a real estate company."

"Yes, how the cinema chain is operated has nothing to do with your real estate company. I will find someone to take charge of this matter in the future." Yang Wendong paused and said:
"Mr. Zheng, we have been talking about this for a long time. I wonder if you are willing to join my Changxing Real Estate Company. As for salary and benefits, I will increase it by 50%. There will also be project bonuses in the future. Just follow the market rules."

The real estate industry has project bonuses, which fluctuate according to market conditions. In this way, when the market is good, project leaders and management are full of energy, and when the market is bad, it can also reduce the costs of real estate companies, killing two birds with one stone.

"I am honored to follow Mr. Yang, the King of Post-it Notes." Zheng Zhijie said with a smile, "I am willing to join."

Yang Wendong smiled and said, "Okay, welcome to join Changxing Real Estate Company."

(End of this chapter)