Chapter 1962 Customary Practices

He had also heard of the companies that Sun Hai mentioned, and knew that they had a good relationship with Liu Fusheng. If he let them eat this piece of cake, what would he have to do with it?

Hai Changchun asked tentatively: "Secretary Sun, do you think our Sino-Ocean International Group has a chance to invest? We are a local enterprise, and it is our responsibility to build our hometown!"

"Sino-Ocean Group? Chairman Hai, you are really kidding. You are in the trade business. What's the point of wanting the operating rights of roads and railways?" Sun Hai shook his head.

Hai Changchun smiled and said, "Secretary, you may not know that the senior management of our Sino-Ocean Group is also thinking about the future development of the company. Trade is only one of the main directions of our group. We really hope to be able to blossom in other industries and increase our ability to resist risks."

Sun Hai seemed a little embarrassed. "Oh, Chairman Hai, I think it's great that you have this intention, but I can't decide on this matter. I will report to Secretary Liu later and contact you when I have feedback... You are the leading enterprise in Jiangtou City. If you can really invest in road construction, I will also be proud of it."

Hai Changchun nodded repeatedly: "That's right, I'm doing public-private partnership to bring honor to the people of Chaojiang and to Secretary Sun."

……

In the small meeting room of the Chaojiang Municipal Party Committee.

Liu Fusheng met Gu Hongcheng and Yin Daheng.

After introducing each other, shaking hands and exchanging pleasantries, Liu Fusheng said with a smile: "Boss Yin, I heard of the Hengtong Group before I took up my post in East Guangdong Province. You are a proud child of the real estate industry. You have developed many famous large-scale real estate projects. Hengtong Group can be found all over the country!"

Yin Daheng's attitude was neither humble nor arrogant. He smiled and said, "Secretary Liu, you are too kind. I am just a businessman. My little success is also due to the national environment and the good policies of the government. Secretary, you have not only solved many strange cases, but also a master in developing the local economy. You have developed the resource-depleted cities in the Northeast in full swing. After taking office in Chaojiang, you also cracked down on smuggling and corruption, and restored peace and tranquility to the people of Chaojiang. I have heard a lot about you during this period of time."

Gu Hongcheng beside him smiled and said, "Secretary Liu, President Yin, let's not talk about admiration for now. Secretary Liu invited President Yin to come here mainly to discuss Hengtong Group's investment and construction in Chaojiang area."

"You can talk to Secretary Liu about the requests that President Yin has mentioned to me, as well as the policies he wants. Secretary Liu governs the three cities of Chaojiang, and he can make the final decision on most policies."

Upon hearing this, Liu Fusheng glanced at Gu Hongcheng indifferently, because he had gone a little too far with this sentence.

Gu Hongcheng is the mayor of Chaojiang City. Now he is acting like a middleman, actively asking for policies and preferential treatment for Yin Daheng. This stance is obviously a bit wrong.

Yin Daheng said, "Secretary Liu, I know you are a practical person, so I won't be polite with you. A few days ago, I put forward some conditions and requirements to Mayor Gu. I believe you all know them, right?"

Liu Fusheng said, "Mr. Yin wants to acquire land in the Chaojiang area in the form of cooperative development. For all the land, Hengtong Group will only pay a 10% down payment, and the rest of the payment will be settled with the government after the property sales are completed. Is that what you mean?"

Yin Daheng said: "Yes, this is what Hengtong Group does in many cities. Secretary Liu can rest assured that we will sign a formal contract for these terms. When the property sales are completed or the contract period is reached, regardless of whether the property is cleared, Hengtong Group will pay the land transfer fee as scheduled. Secretary Liu can trust our strength in this regard."

Gu Hongcheng also chimed in, "Secretary, I've investigated and found that Hengtong Group has adopted this form of cooperation in more than 100 cities across the country. They have strong assets and will definitely not have any unpleasantness with the local government because of the land transfer fee."

Liu Fusheng ignored Gu Hongcheng and asked Yin Daheng, "So, Hengtong Group can't come up with the funds to buy the land in Chaojiang City now?"

Yin Daheng waved his hand and said, "You misunderstood. Our Hengtong Group has sufficient funds. No matter how big the land is or how good the location is, I am confident that I can pay the land price in one lump sum. However, doing so breaks the rules."

"What rules?" Liu Fusheng asked curiously.

Yin Daheng said: "The development of real estate projects has always been led by both the government and the developers. The government is responsible for land transfer. To put it bluntly, the government sells land to make money, and then carries out other construction and daily maintenance of public facilities."

"Many times, after the land transfer payment is received, the local government will suddenly change its attitude and argue with the developer on planning, or set up many obstacles for the real estate developer in terms of municipal pipe networks and even traffic roads, making it impossible to implement the conditions that had been negotiated."

"A few years ago, I was developing a property in a certain city. According to the city's zoning, there was a subway station and a branch of a prestigious school next to the land. But after the contract was signed and the land transfer payment was paid, all the plans suddenly disappeared. The biggest selling point of my property was gone in an instant."

"Without these selling points, the land wouldn't be worth the price... I learned from my mistakes and made this rule. Since the local government likes to use variables as an excuse, the risk of these variables should be borne by the local government and us developers, right?"

Liu Fusheng nodded slightly. Yin Daheng suffered a lot of losses when investing. Some local governments turned against him, so he needed to share the risks.

Of course, Liu Fusheng knew very well that although the story was true, the character might not necessarily be him, Yin Daheng. He just used this as an excuse to find a reason for himself to get something for nothing.

Gu Hongcheng explained: "Secretary Liu, what Mr. Yin said does make sense. We in Chaojiang City will definitely implement our promise. In addition, given the scale of Mr. Yin's company, the trust foundation for our cooperation still exists."

Yin Daheng said: "We have a relevant resolution within Hengtong Group. If the local government disagrees with our land transfer fee payment method during the negotiation, then Hengtong Group will never invest in any city, no matter how big it is. Secretary Liu, please understand that it is not easy for private enterprises."

Gu Hongcheng nodded repeatedly: "Yes, Secretary Liu, I have investigated these situations. They..."

Snapped.

Liu Fusheng slapped the table and said with a somewhat unhappy look: "Mayor Gu, when you reported this matter to me before, you didn't mention the rules that President Yin just mentioned."

Gu Hongcheng said: "Secretary Liu, it is normal for enterprises to set rules for investment, you see..."

Liu Fusheng waved his hand and said, "How about this, you go back and make a detailed report. I hope that this report can appear on my desk before leaving get off work. I don't understand the conventions and regulations, so I need you to help me understand them."