Rebirth: The Era of Hong Kong Tycoon

Chapter 91 [Three Musketeers]

With the rapid expansion of Evergrande Real Estate, Lin Rongheng adjusted the new high-level personnel at the beginning of the new year and established the "Three Musketeers" belonging to Evergrande Real Estate. The three are: Wu Hao, He Rui, and Zhang Ruohuai.

Wu Hao is a hard worker. He is like a pontoon of extremely heavy tonnage in Evergrande Real Estate, showing his stability and firmness; he has a special preference for construction projects, knows the construction process like the back of his hand, and has a firm command of the workers. Wu Hao has a good control over the quality of the real estate, and has a good grasp of the cost of construction. All related construction expenses, such as concrete, piling, nailing, and erecting sheds, etc., Wu Hao carefully controls the price, and personally negotiates with the contractor and materials. Suppliers haggle in order to get good quality at a reasonable price.

He Rui is in charge of Evergrande Real Estate's external contacts and entertainment, and establishes good interpersonal relationships in all aspects; because he is lively, well-spoken, and good at communication; He Rui has excellent relationships with banks, government, etc.; He Rui is also good at securities trading and is familiar with how to use market funds.

Zhang Ruohuai is responsible for the design of building plans, buying land for supply, building sales, etc. Zhang Ruohuai joined Evergrande Real Estate halfway, but he has an incomparable advantage: Zhang Ruohuai has worked as a teacher and a technical engineer in the Public Works Bureau. officials.The agencies under the jurisdiction of the Hong Kong Public Works Bureau include the Architectural Services Department, the Civil Engineering Department and other departments. Just relying on his contacts, it is a good idea to go to that company, not to mention that he is also a technician.

in the conference room.

Lin Rongheng said with emotion: "When there are 100 employees, I must stand at the forefront of the employees, lead the way, and issue orders; when the number of employees increases by at least 1000, I must stand in the middle of the employees and beg the employees to help them; When there are 1 employees, I can only stand behind the employees and be grateful; when the employees reach more than 5, it is not enough to be grateful, I must fold my hands together and lead them with devotion to the Buddha.”

"In the beginning, the scale of Evergrande Real Estate was still small, and I could do everything myself; now the scale of Evergrande Real Estate is already medium, and I need to rely more on assistants, that is, your management."

"Although the scale of Evergrande Real Estate is only medium, I have the confidence to make it the largest real estate company in the world; therefore, I need a spirit to lead everyone and work towards this goal together."

Everyone was shocked by Lin Rongheng's ambition. In the eyes of the boss, the tens of thousands of employees and the world's largest real estate company seemed to be "easy".

With such a boss, there is a rush, everyone thinks so.

After chatting for a while, I returned to the main topic;

Lin Rongheng said: "Evergrande Real Estate currently has 36 construction sites and unconstructed sites, and it seems to have become the leader of Chinese real estate companies; but there is still a shortcoming, that is, we do not have enough land reserves; so , this problem needs to be solved urgently!"

As soon as the words fell, an executive said with concern: "Boss, Evergrande's debt ratio is already very high, and the prices of land and old buildings are also relatively high, should we consider suspending expansion; After the funds, we will make plans!"

Faced with this executive's questioning, no one made a fuss. Strictly speaking, no one in Xiangjiang dares to imitate Lin Rongheng's boldness; Evergrande's debt is so high that no real estate company can control it.

Lin Rongheng said with a smile: "People always complain that the current land price and property prices are too high, saying how cheap it was in the past, it would be better to buy it then. However, no one can go back to the past to buy land and buy properties. Even if the price is high now Next, after five or ten years, you will be amazed at how cheap the real estate bought at the high price is now. Therefore, as long as we can collect funds from the stock market and obtain loans from the bank, then just buy the land. buy a house."

Even before the stock market crash in 1973, Evergrande Real Estate did not reduce debt, and it would not follow in the footsteps of the previous generation of Carrian Real Estate; because of that wave of decline, the real estate fell by 30% in total, which is far less than the previous Sino-British negotiation. 60% drop.

Of course, Lin Rongheng will definitely make Evergrande Real Estate sell some land and properties at that time. After all, this is a commercial activity of selling high and buying low.

Hearing Lin Rongheng's philosophy of buying land, a group of high-level executives in the conference room contacted Xiangjiang's real estate situation for the past 20 years and found that it was true.

Lin Rongheng then said: "Since it is a land reserve, it must be purchased with cheap and high-quality land. As a raw material reserve, I suggest that Evergrande can start from two general directions: First, it is determined to purchase without hesitation. A large number of "B land exchange rights and interests".

The Hong Kong government expropriated the cultivated land of farmers in the New Territories for various development purposes. The exchange condition was that the cultivated land should be harvested first, and then the land that could be used to build houses would be allocated to them in exchange, usually two and a half feet of cultivated land for one foot of housing land.Farmers hold a paper for land exchange rights and interests, and they can exchange land for development in the future. Basically, there is nothing they can do to implement real benefits in front of them.

I noticed this situation, so I felt that if we negotiated with farmers and bought their land exchange rights in cash, it should be generally welcomed by farmers.Evergrande Real Estate’s purchase of land exchange rights is much cheaper than the government auction of official land. As long as you wait patiently for the land exchange announcement, you will have a large piece of land purchased at a low price for building buildings. "

"Secondly, we have to search for old building projects painstakingly, we can renovate when the time is right, and it can also be used for rent collection before remodeling. The early development areas in Hong Kong are naturally the three prime locations today, and there are many buildings crowded here. It is already dilapidated. If you can lobby the owner to sell the old building and rebuild the land, the biggest advantage is that a new-looking towering building will be erected on the land king. Real estate developers will not only make huge profits, but also enjoy the beauty of the heartland. With a new look, the old owner can use the cash bag safely and freely, which is really a double-edged sword.

We can set up a network of heaven and earth, through Hong Kong and overseas brokers, and pay a lot of money, so as to find old buildings and purchase them sincerely.Especially Vancouver in Canada and San Francisco in the United States, when many wealthy Hong Kong people immigrated to these places, and they had a large number of Hong Kong properties that were too late to sell.We can set up offices in these places, advertise, and specifically contact the acquisition of overseas Chinese properties.As a result, a lot of cheap land has been obtained, which has increased the company's land reserves. "

The New Territories have not yet developed at this time, and there are very few real estate developers who can think of the B-type land exchange rights. The more representative ones are of course Li Shau Kee, Wang Dehui and others; as for overseas property owners, there are many old buildings, after all, they have If you have the ability to settle overseas, you must be rich. In the situation from 1967 to 1968, it was too late to get rid of the property in your hand, and these people fled in a hurry.

Whether it is a land exchange rights agreement or an old building, although they are all reserved land, in fact, they are also increasing in value with the boom in real estate, which is actually an investment.

Therefore, a management team echoed and agreed with Lin Rongheng's statement, and even flattered Lin Rongheng - saying that the boss had foresight.

The meeting dissipated, and Evergrande Real Estate once again moved forward at a high speed as if it had been wound up.

First, 300 million new shares were issued again to raise 3600 million Hong Kong dollars to increase the company's land reserve;
At this time, Evergrande Real Estate has conducted a total of four stock market fundraisings (including listing fundraising) since its listing, raising a total of 1.54 million Hong Kong dollars.

The total share capital of Evergrande Real Estate has become 5200 million shares, the stock price is 12.5 Hong Kong dollars, and the market value is 6.5 million Hong Kong dollars; among real estate companies, the market value is second only to Landmark at 12 billion Hong Kong dollars.

Lin Rongheng holds 3000 million shares of Evergrande Real Estate, accounting for 57.7% of the total shares; Lin Rongheng also has a real estate company, Evergrande Holding Group, which owns properties of more than 5000 million Hong Kong dollars.

When the time is right, Lin Rongheng will ask Evergrande Real Estate to issue new shares in exchange for the properties of Evergrande Holding Group;
Slowly, Evergrande Holding Group will replace Lin Rongheng's personal shareholding status.

(End of this chapter)