Chapter 229 Planning for the Future of Kwai Chung Container Terminal

"Yes." Zheng Yuhua said, "The hardest thing to find is a suitable location to build a port.

As long as there is a suitable location, all that needs to be done afterwards is to invest money. Hong Kong now has a lot of local ships and the trade volume is also increasing, which means that the existing shipyards are often not enough.

If we can build a new one, it will be very convenient to maintain and repair our own ship, and we can also receive business from other ships outside. "

"It's a good idea." Yang Wendong agreed and said, "We are optimistic about shipping. In addition to direct investment in shipping, we can also provide related service support."

Zheng Yuhua replied: "Yes, all the larger shipping companies in Hong Kong have ship repair docks. Swire, Jardine Matheson, Whampoa and Wheelock have all provided this service for a long time.

These British-owned shipyards can even repair warships and are also the maintenance centers for British warships in Asia.”

"Yeah." Yang Wendong nodded: "From this perspective, investing in a dock like this is still very cost-effective, but we need to find a suitable place first."

Zheng Yuhua said: "Yes, as far as I know, there should be no such natural harbor around Hong Kong at present, otherwise Hong Kong would have been occupied by the British long ago after more than 100 years of opening.

If you want to build a new dock, you need to reclaim land, but it will take a lot of surveying work to figure out where to reclaim land. ”

"Well, tens of millions of Hong Kong dollars is really nothing compared to finding a suitable location." Yang Wendong nodded and said, "Leave this matter to me. I will let Changxing Real Estate find a suitable location."

Zheng Yuhua agreed and said, "Okay, I'll wait for your good news."

……

The next morning, Yang Wendong came to the top floor of Geely Building again, and Zheng Zhijie and Liu Huayu naturally came as well.

Yang Wendong asked, "How was the scene yesterday?"

Liu Huayu replied: "The location is very good, the surrounding transportation is very convenient, there is a parking lot in the basement, and there is a bus stop nearby, which meets the needs of a supermarket or department store.

In terms of supply, I checked a lot with Mr. Zhao from yesterday afternoon to evening, and also looked at some of the goods in his warehouse. Basically, he can meet about half of my supermarket's needs, but because the purchase volume is not large, the price is still a bit high. "

"Well, let's open the supermarket first." Yang Wendong nodded and said, "In the early stage, we can rely on Zhao Chengguang. Later, when we have more stores and the purchase volume is large enough, we can buy from Zhao Chengguang or build our own procurement chain."

Zhao Chengguang’s business is to supply goods to many grocery stores or shopping malls in Hong Kong, which naturally meets the needs of supermarkets.

This is also one of the reasons why Yang Wendong has always valued Zhao Chengguang very much. He knows that sooner or later he will need such resource channels.

Liu Huayu said: "Okay, indeed only after the supermarket opens can we gradually develop different suppliers ourselves."

Yang Wendong nodded: "Yes, but when we grow bigger in the future, we must also take proper care of Zhao Chengguang. He has helped me with many of my businesses."

He now gives adequate rewards to those who helped him in the early days, except for the foreign woman Elena who refuses to accept his benefits.

But the Hong Kong government seemed to know that she had a good relationship with them, so they began to value her and entrusted her with certain responsibilities in poverty alleviation, which satisfied her only pursuit in life.

Although the cooperation between Zhao Chengguang and himself was based on interest at the beginning, it was indeed an opportunity for himself to develop. Therefore, later on, the market of Changxing Industrial in Hong Kong was also given to him.

Now that he has opened his own supermarket, even if he develops his own supply chain in the future, it is impossible for him to be responsible for everything. Walmart in its previous life couldn't do it either. So many discrete businesses can be handed over to Zhao Chengguang.

"Okay, no problem." Liu Huayu agreed and said, "Yesterday, Zheng Sheng and I went to see three shops near Central. They are not small in size and are suitable for building a new supermarket in terms of location."

"Which three positions?" Yang Wendong asked.

"I have a map here." Zheng Zhijie quickly took out a map of Central with several hand-drawn circles on it.

After handing it to Yang Wendong, he said, "These three places, I actually selected a total of 8 locations before. After Zheng Sheng looked at them, he thought these three were good."

"Hmm." Yang Wendong said after reading it: "It looks good. The locations are a bit far from each other, and the commercial location looks okay."

"Yes." Liu Huayu said, "The transportation is not bad. The bus stops in Central are quite dense. But Mr. Huang still promised to build a few closer stops."

"Okay." Yang Wendong looked at Zheng Zhijie and asked, "Are these three properties for sale?"

Cheng Chi Kit replied: “Only one company is willing to talk. The other two companies are backed by Hong Kong Land and Wheelock. There is no room for negotiation. They are only willing to rent.

Whether to rent or buy, we have to decide quickly, otherwise someone else will grab it and it will be gone."

"Okay, then we can buy if we need to, and rent if we need to." Yang Wendong said, "But we need to negotiate the price, especially the lease term, which needs to be long. Otherwise, if we make achievements and they don't renew the lease, it will be troublesome."

Although we know that it is better to have one's own property when running a supermarket or other service industry, it is impossible to maintain a 100% property ownership rate no matter what.

Unless it is a new market, you can choose any place when you first enter, such as the mainland after the reform and opening up.

In Hong Kong, the area has been developed for dozens or even hundreds of years. It would be very difficult to lock in the characteristics of a property and then acquire it.

Supermarkets need scale to form a virtuous circle, so renting first is acceptable.

"Okay." Liu Huayu and Zheng Zhijie both agreed.

Yang Wendong added: "Old Zheng, this kind of supermarket industry has a certain regional monopoly. Once it is established in one place, it will be difficult to open a second one. Even other department stores and small shops will be affected.

So later on, you will have another task, which is to identify all the properties in Hong Kong that are suitable for opening supermarkets, make a list, wait for the right opportunity, and then acquire them.

Lao Liu, your task here is mainly to understand the consumption habits of Hong Kong citizens, sort out a set of supermarket management methods suitable for Asian consumption, and then cultivate various grassroots management in the next few years."

In the past few years, we will first learn experience, cultivate talents, and integrate the procurement supply chain. When the real estate prices plummet in 66, we will specifically acquire properties that can be used to open supermarkets.

As long as they take advantage of the real estate crisis and open supermarkets in every corner of Hong Kong, they will be able to seize the initiative. Then, even if others enter the market, it will be difficult for them to compete.

Of course, if a giant like Jardine Matheson enters the market, it will definitely burn money. By taking the lead, you can also avoid too much loss in competing with such a giant.

"Okay." Zheng Zhijie agreed.

Yang Wendong said again: "Lao Liu, you go ahead and do your work. I have something else to talk to Lao Zheng about alone."

"Okay, Mr. Yang, I'll take my leave then." Liu Huayu said and left.

Yang Wendong said to Zheng Zhijie: "Old Zheng, Changxing Shipping has proposed an investment plan. They want to build a dock in Hong Kong that can repair and maintain ships. The requirement is..."

After listening to the boss finish his story, Zheng Zhijie asked, "Mr. Yang, does this project belong to Changxing Real Estate?"

"No." Yang Wendong shook his head and said, "This project belongs to Changxing Shipping, and they also invested in it. I came to you only because you have experience and friends in the real estate industry, so I want to entrust you to find a suitable location for reclaiming land and building a dock."

"Mr. Yang, this matter." Zheng Zhijie said hesitantly: "Go to the seaside to find such a location, you can spend money to explore, but the problem is that there is too much land along the coast of Hong Kong, it is difficult to find a suitable one;

Otherwise, it wouldn't be our turn to experience such a thing.

In fact, in the past few years, many investors have done this and found some places where they could reclaim land, but they eventually stopped because the economic benefits were not suitable. "

"I know all this too." Yang Wendong didn't care and said, "I have a friend who has strong connections. I learned from him that there is a suitable location in Kwai Chung Drunk Bay in Tsuen Wan District.

You arrange for someone to investigate there, and if it is suitable, Changxing Shipping will build a dock there."

Hong Kong's future container terminal is in Kwai Chung. In the late 60s, the Hong Kong government began to build a container terminal here with many big capitals.

However, Kwai Chung today is still just an economically ordinary town like Kwun Tong.

This would be his chance. With his current financial resources, he was far from being able to afford such a large investment as a container terminal. However, it would not be a problem to build a dock first.

If the place I choose overlaps with the location of the Kwai Chung Container Terminal in the future, I will not only be able to get a demolition fee, but I may also be able to participate in the terminal project. After all, ten years from now, my financial resources will definitely not be the same as they are today.

Even if you develop faster, you can take the lead in driving this big project.

Even if Kwai Chung has a large area and the shipyard and the pier do not conflict, once the pier is built, the shipyard will have greater business.

No matter what, I'll make a lot of money.

"Drunk Bay? I've heard of that place." Zheng Zhijie nodded and agreed, "Then I'll ask professionals to investigate."

"Okay, give me an answer as soon as possible." Yang Wendong followed.

Three days later, Zheng Zhijie found Yang Wendong again and said, "Mr. Yang, I asked someone to check out Zuijiu Bay. As long as they are willing to reclaim land, they can build a dock."

"So fast? Only three days?" Yang Wendong was also a little surprised at the efficiency.

Zheng Zhijie replied: "As long as we have the exact location, I can contact people and promise to pay them more for their hard work. Then, some professionals will take leave or be absent from work and go directly to the site for inspection.
I don’t really understand the details, but they stayed there for two days and seemed to have measured the depth of the water and the slope of the shallow sea, and then they got the answer.”

Yang Wendong nodded and said, "That's good. It's so fast, I have to give you some hard work."

It is said that in the past, when the Hong Kong government was preparing to carry out container reform in Hong Kong, it spent a lot of manpower and resources looking for a suitable place along the coastline. It also took a long time before it finally found the Kwai Chung District.

I directly locked onto Drunken Bay, the most suitable location in Kwai Chung District.

“Okay.” Zheng Zhijie agreed and said, “But they only came to a preliminary conclusion: the local terrain is suitable for land reclamation to build a dock or port terminal;

But the cost still needs to be calculated in detail before a conclusion can be drawn. At present, it cannot be said that investing there is economically worthwhile."

"Well, OK, then we will arrange for professionals to go to the site for inspection." Yang Wendong nodded and said, "Also, let's get in touch with the Hong Kong government. We want to build a shipyard in Hong Kong."

It is definitely cost-effective to build it in Kwai Chung, otherwise there would be no Kwai Chung Container Terminal in the future.

But we have to follow the normal procedures, especially after the professional analysis report comes out, we can go to the Hong Kong government for negotiations.

"Okay, I'll let the legal department handle this." Zheng Zhijie added, "But this investment involves a lot of money, and it's a big project for Changxing Shipping Company. Do you think Changxing Shipping should send someone to participate in the entire project? At least send someone to take a look at the site first?"

"That's right." Yang Wendong thought for a moment and said, "Then let's go there tomorrow with Ms. Zheng. I want to take a look too."

He was also somewhat interested in the location of the future container terminal and wanted to take a look. He had actually been to Tsuen Wan District, but only to the town center there.

"Okay, then I'll arrange the itinerary." Zheng Zhijie agreed.

For such a large investment, as a manager, it is better for the boss to go to the site to take a look. For example, for Changxing Real Estate, Yang Wendong usually goes to the site to take a look at large projects.

The next morning, Yang Wendong and Zheng Yuhua followed Zheng Zhijie to the beach of Zuijiu Bay.

"You have quite a lot of rocks here?" Yang Wendong said with a smile after seeing the situation on the beach.

Zheng Zhijie said: "Yes, although this area cannot be said to be uninhabited, there are indeed not many people coming here. There are some villages about a kilometer to the east."

"Then let's take a walk around and take a look." Yang Wendong said again.

Zheng Zhijie said: "Okay, Mr. Yang, this way."

After walking around the sandy and rocky beach, Yang Wendong asked, "Old Zheng, if we apply to the Hong Kong government to develop this land, will it be approved directly?"

"It's not a big problem. There is no official mining plan here at the moment, so there is no conflict." Zheng Zhijie replied, "In addition, the Hong Kong government has actually wanted to develop the Tsuen Wan area over the years, but there has never been any major economic focus.

The shipyard we built here will more or less help the local economy."

"Okay." After thinking for a while, Yang Wendong said, "Immediately arrange for experts in dock construction and land reclamation to calculate the cost. Once the cost is calculated, we can apply to the Hong Kong government for the construction of a new dock.

We can apply for more land nearby. In the future, we may have more than one ship, and we can also build a complete set of ship repair facilities, staff dormitories, etc. "

Since I have come here to invest, I naturally have to buy some more land. The current location is completely wasteland, and it costs less than 1 yuan per square foot.

Zheng Zhijie reminded: "Mr. Yang, these can only be applied for industrial land."

"I know, I just want industrial land." Yang Wendong smiled.

He did not expect that this place could be developed into a commercial district or shopping mall like Hutchison Whampoa or Taikoo Wharf in the future. What he wanted now was a real shipyard and part of the rights to Kwai Chung Wharf in the future.

PS: Please give me a monthly ticket
(End of this chapter)

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