Chapter 711: The Temptation of GDP

Chapter 710 The Temptation of GDP

This time, the bidding for eight pieces of land is divided into two stages.

In the first stage, companies participating in the bidding submit their bidding documents and accept on-site interviews. The companies have to introduce their own situation and project plan. At this stage, most of the bidders will be eliminated, leaving only single-digit bids Enterprises participate in the second stage of bidding.

In the second stage, there is no on-site explanation stage, and the bidding companies directly submit the final bidding documents, and then it is better than whoever offers them. The conditions mentioned here are not only the amount of money given, but also other factors.

In fact, the sale of land in first-tier cities is not as simple as whoever pays the most. The city needs to consider the overall planning and future development, so it will also consider what conditions the developer can provide for the project.

For example, if a commercial project is to be planned on a certain plot, the operational capabilities of the bidding companies on the commercial project will be taken into consideration. When the local government sells land, it will take into account the driving effect of the project on the business of the entire city. Even if the land price is slightly lower, it will give priority to introducing well-known and mature commercial complexes.

For example, The Mixc under China Resources, INCITY under Vanke, Wanda Plaza under Wanda, Plaza 66 under Hang Lung, and Taikoo Li under Swire Properties are all mature commercial complexes. These companies have experience in operating commercial projects, and they must have an advantage when bidding for commercial land.

For residential projects, the driving effect on the surrounding industries and land will also be considered. For example, if a residential project is built on a certain land, if the price is high and the sale is good, then the surrounding land will also appreciate in value. If the price is cheap and it cannot be sold, then the surrounding land will also depreciate in value.

These are the most basic, and there are many other conditions, which are also within the scope of consideration.

In this regard, powerful real estate development companies must have more advantages.

It is also for this reason that before 2006, Hong Kong-funded real estate companies could kill the Quartet in the first-tier cities.

Because Hong Kong-funded enterprises not only have capital advantages, but also management advantages, they have more bonus points when bidding for land plots.

This time, eight pieces of land were released in one go, but a piece of fat meat, there must be many real estate companies with relatively average strength, but they want to fish in troubled waters and try their luck.

This is why there are two stages of bidding. The first stage of bidding is to eliminate those companies that are not strong enough to avoid people fishing in troubled waters to the greatest extent.

To put it simply, it is to prevent those who are low-level, poorly equipped, operating garbage, and unaware people from mixing teams.

Leave a group of advanced players to enter the next stage of PK.

...

Li Weidong personally came to the site of the first stage of bidding.

Why is Li Weidong here! A young man quickly noticed him.

Have you met someone you know? The middle-aged man next to him asked.

Mr. Huo, that person seems to be Li Weidong, the chairman of Puppy Group. The young man said.

Mr. Huo looked up, and then nodded: It looks familiar, I should have seen his picture in a magazine. But today is the land bidding, what is he here for? Isn't he a small appliance!

Has the Puppy Group started to get involved in real estate? After all, in recent years, there have been quite a few companies that have transformed into real estate. The young man said.

No matter what I do in the past two years, I have started to engage in real estate. The order of the mainland real estate market should be rectified, otherwise all cats and dogs will come to do real estate.

Mr. Huo curled his lips, and then said: This Li Weidong can be regarded as a well-known entrepreneur in the mainland. If he doesn't make good home appliances, he came to the real estate industry to get involved! Does he think that making hair dryers is the same as developing real estate!

You can't do real estate with money, and it seems that Li Weidong doesn't know that the first stage of bidding today is to weed out unprofessional real estate developers like him first!

Mr. Huo's tone was full of disdain, as if he looked down on Li Weidong a bit.

This Mr. Huo is an executive stationed in the mainland by Hong Kong Island Changjiang Real Estate.

Many Hong Kong people have a sense of superiority when facing mainlanders, and so does Mr. Huo. Even though Li Weidong is a well-known entrepreneur in the Mainland, in Mr. Huo's opinion, Li Weidong is just a man who has only become rich in recent years. old watch.

What's more, the Hong Kong-funded real estate companies at that time were still at their peak, and they would put themselves in an advantageous position when facing mainland companies.

Mr. Huo also comes from a leading Hong Kong-funded enterprise like Changjiang Real Estate. If it is a big brother in the real estate industry in mainland China like Vanke, or a real estate company with a central enterprise background like China Resources and Poly, Mr. Huo will take a closer look. A well-known real estate company cannot catch Mr. Huo's eyes at all.

Li Weidong didn't stay longer, but went directly to a certain lounge, so not many people saw him at the scene.

But even the people who saw Li Weidong didn't care too much. At this time, everyone's thoughts were on the bidding, and who would pay attention to Li Weidong's appearance.

...

In the room, Director Chen took off his glasses and rubbed the Qingming acupoint.

Director, you have audited more than a dozen companies in succession, do you want to take a break first? asked the staff member next to him.

No, let's continue! Director Chen put on his glasses again, and continued: There are still many companies waiting for our interviews, so don't waste time. Let's complete the task as soon as possible so that we can report the results to the leader.

Another person next to him said: The main reason is that there are too many people who want to fish in troubled waters. Some real estate companies are small in scale but not small in ambition. They bid for several lands at once.

This kind of people are also clueless, they may not be able to win a piece of land even if they concentrate their efforts, and they still want to eat big fat people in one go, it is purely a waste of time!

Yeah, I don't know who gave them the courage. They want scale but no scale, and they don't have any significant projects. Some real estate companies, I think, even have difficulty applying for a loan from the bank. They even want to come to us to get it. Earth! said another.

Another person said: Hey, the real estate industry has indeed been too chaotic in recent years. A lot of real estate companies have emerged. Although there are many high-quality large companies, most of them are bad money. Many small companies make money. Not only are the projects cut corners, the quality is worrying, and they may even be unfinished.”

Director Chen immediately said: So we have to make good checks and never let bad money drive out good money! We can't control other places, but on our three-acre land, every project must be done well, and we must not Give bad money room to survive!

After Director Chen finished speaking, he picked up the next file, glanced at it, and said, The next one is Dongshan Real Estate, have you heard of it?

The name is pretty catchy, but unfortunately I haven't heard of it. Someone immediately shook his head, and continued: The information shows that this company has only been established in recent years, and it has also done several successful projects.

They are all projects in third-tier cities, how can they be compared with our projects here! Enterprises developed in small places must want to come to first-tier cities to get a piece of the pie. For our land sale this time, there are quite a few small companies in third-tier cities bidding.

While talking, this person flipped through the bidding materials of Dongshan Real Estate, and then suddenly whispered; Bids for eight plots!

What? All eight lands have to bid? Changjiang and Vanke don't dare to play like this! Don't you know how many catties you have? I think this Dongshan Real Estate is here to make trouble! Such a company should be killed directly. What a waste of time!

It was Director Chen who coughed dryly; The bidding process is formulated by us, and people participate in accordance with the rules, so how can they be killed at will! Then we have become a black box operation! If we want to be eliminated, we have to follow the rules.

The person next to him immediately said: Then let's not waste time. Go and call the representatives of Dongshan Real Estate to come in! End the interview as soon as possible, and kill them as soon as possible!

After a while, Li Weidong was brought into the room.

This person looks quite like Li Weidong, the chairman of Puppy Electric! Director Chen thought to himself.

An industrial entrepreneur like Li Weidong can bring a lot of employment and tax revenue to the local area every time he invests in a project. Therefore, even if the local cadres don't know Li Weidong, they must have seen Li Weidong's photo.

Furthermore, with the advent of the Internet age, the appearance of these big entrepreneurs is no longer something that can only be seen in magazines, and a lot of photos can be found in casual encyclopedias.

Director Chen was still wondering why the person in front of him looked like Li Weidong, and Li Weidong introduced himself; Hello leaders, I am Li Weidong, a senior consultant of Dongshan Real Estate.

Also called Li Weidong? This man is really Li Weidong of the Puppy Group! Director Chen was stunned for a few seconds before asking, Are you Chairman Li of the Puppy Group?

Li Weidong nodded with a smile: Yes, it's me.

Oh, Chairman Li is here, I'm so disappointed! Director Chen stood up directly, stepped forward to shake hands with Li Weidong, and asked at the same time: Chairman Li, how did you become the senior manager of Dongshan Real Estate? Adviser?

To be honest, Dongshan Real Estate has two shareholders, and one of them is me. I am also very interested in this land bidding, so I came here in person. Li Weidong explained.

Everyone present looked at each other. At this time, everyone had understood that Li Weidong had appeared in person to participate in the bidding interview, so this Dongshan real estate must not be fishing in troubled waters, and he is determined to win a certain land.

After some pleasantries, Li Weidong took the initiative to propose: Director Chen, your time is also precious, and there are still so many companies queuing up, so let's start the interview!

Okay, let's start the interview. Director Chen returned to his seat, and then said: Chairman Li, please introduce the situation of Dongshan Real Estate first!

Li Weidong briefly introduced the situation of Dongshan Real Estate, and then Director Chen said: Chairman Li, what advantages do you think Dongshan Real Estate has compared with other companies? Or what are your unique features in the development of the project? planning?

Enterprise advantages and project planning, this is the most important thing in the interview, and it is also the place where various enterprises can widen the gap.

Li Weidong was already prepared, and he said, Our Dongshan Real Estate has always been doing projects in second- and third-tier cities, and this is the first time we have come to a first-tier city. We are still newcomers in the real estate market of first-tier cities.

Compared with the scale of the company, the experience in project development, or the ability to operate commercially, we are indeed inferior to those top competitors in the industry, and I admit this.

But we still decided to participate in the bidding for all eight land plots this time. This is not to fish in troubled waters, nor is it to try our luck in a lottery. We really want to participate in the construction and development of Shanghai City.

Therefore, I can make a promise to Shanghai City that in this bidding, Dongshan Real Estate will not take a single penny of the projects we have obtained from Dongshan Real Estate and all the profits generated after development, and will invest all in Shanghai City!

What! Everyone turned pale with shock.

Enterprises come to develop real estate projects to make money. And Li Weidong directly stated that I didn't take a penny of the money I earned this time, and it was all invested in the local area. This is tantamount to not planning to make money.

Director Chen was the first to come back to his senses: Chairman Li, let me confirm with you again, you mean, you don't plan to make money from these projects?

It's not that you don't make money, but that you will reinvest the money you earn. Li Weidong smiled and said, We acquire land from you, make money by doing projects with you, and then invest the money we earn in your business. Here, it can be regarded as a kind of feedback to the local area. You should not welcome investment, right?

Welcome, how can we not welcome investment! Director Chen hadn't calmed down yet, and he continued to ask: Chairman Li, with all due respect, you should be in business for profit, right? But you If you make money but don’t take it away, how can you make a profit?”

Of course it depends on investment! Li Weidong continued: I am optimistic about the future development of Shanghai City, so I invest all the profits from real estate projects here, and then make profits, so I will definitely make money!

I understand! Director Chen nodded, and he was also a little at a loss at this time.

Director Chen has also presided over many land biddings, but this is the first time he has encountered this situation.

Only Li Weidong said: This time we participated in the bidding of all eight projects. If we finally win a project, then the income of this project will be our future investment in Shanghai City. If we win two projects, it will be Proceeds from both projects are used as investments.

So if all eight projects are bid by us, all the proceeds from these eight projects will be invested in Shanghai City. I don't know if you have any assessment of the profitability of these eight lands after development, but I have done a detailed assessment here.

According to our evaluation, the total income of these eight projects can reach 10 billion yuan. That is to say, if Dongshan Real Estate can win all eight projects, Shanghai City will not only get income from land sales, but also at least 10 billion RMB investment.

Ten billion investment! Director Chen gasped at this figure.

Even after more than ten years, an investment of tens of billions in first-tier cities will definitely enter the top ten local projects.

In 2008, tens of billions of investments were basically possible only through policy guidance. But relying on enterprises to invest tens of billions is something that is unimaginable.

The tax revenue, employment, and net growth that can be brought about by an investment of tens of billions of dollars are immeasurable.

Director Chen quickly figured this out, and he suddenly realized that if he could handle this matter well, then his promotion must be just around the corner!

Based on the fact that it has attracted tens of billions of investment to the city, if you don't upgrade yourself to a higher level, it must be unreasonable!

Thinking of this, Director Chen suddenly stood up and said, Chairman Li, please wait a moment, I have to report to the leader.

...

In the meeting room of the Municipal Party Committee, all the leaders were present.

The thing is like this. We have sold a lot of land before, and have had a lot of successful development experience, but like Dongshan Real Estate, they said that the project income will not be taken away, but invested in us again. This is the first time I saw .So I called everyone here today to discuss this matter. The leader said.

Leader, is this Dongshan real estate reliable? Although their promises are very tempting, don't come here empty-handed, talk nonsense, but eventually go back on it! Someone questioned.

That's not true. Dongshan Mining has two shareholders. One is Zhao Jinshan from Jinshan Investment, who is Mr. Zhao's youngest son; the other is Li Weidong from the Puppy Group. This time, Li Weidong personally proposed the conditions.

The leader paused for a moment, and then said: With the identities of these two people, it should not be empty-handed white wolves. And when we actually operate, we are not without restraint.

Firstly, when we sign the contract, we will definitely list this point in the contract; secondly, we can ask all the funds to go to Shanghai Pudong Development Bank, and then all the funds can be under our supervision.

It seems that the plan proposed by Dongshan Real Estate is feasible. Another person next to him said; Since they are willing to use the proceeds of the projects to reinvest, how much will the proceeds of these projects be?

I've sent someone to evaluate it, and the specific figures haven't come out yet. But according to what Li Weidong said, he estimates that the cumulative income of these eight projects will exceed 10 billion yuan! The leader said.

Ten billion! Most people in the conference room gasped.

Our city's GDP last year was 1.2 trillion yuan. If it is 10 billion yuan, it is equivalent to one-hundred and twentieth of our city's GDP!

The 10 billion yuan should be just an estimate. If the economic outlook is optimistic in the next few years, it is not impossible for the project revenue to exceed 12 billion yuan, which is equivalent to 1% of our city's GDP!

When GDP was mentioned, everyone became excited, and everyone began to silently calculate their accounts.

In 2008, GDP was still the only indicator, and GDP was the core and even the only indicator for assessing political performance.

Ten billion of funds, even if the money is directly brought over, is equivalent to an increase of 1% of the city's GDP. If it is converted into investment, it will definitely be able to drive more GDP.

It’s like investing one dollar in fixed assets, which can almost boost the GDP of three dollars, and investing in the service industry is more than five dollars. If you invest in mid-to-high-end manufacturing, it can drive more than ten times the GDP, and if you invest in high-tech In terms of industry, it cannot be predicted by numbers.

Everyone will calculate this account, that is to say, no matter what industry Li Weidong invests in, as long as he can keep this 10 billion investment, there will be at least 3% GDP growth in the future.

Everyone thought about it for a moment, but no one spoke first, and finally the leader called for everyone to express their opinions.

The person who spoke first said: The conditions offered by Dongshan Real Estate are indeed too generous, and I refused reluctantly, but this Dongshan Real Estate has no experience in developing projects in first-tier cities after all, and its comprehensive strength is not as good as those big real estate companies. The company, this is what I am more worried about.

Another person said: I don't have this concern. Although this Dongshan Real Estate is not well-known, there is Li Weidong behind him! I am worried about another aspect. If we really put the land It’s all given to Dongshan Real Estate, will other bidding real estate companies have any opinion!”

How can we give all the land to Dongshan Real Estate? I think it's enough to give them one or two yuan. The other land is sold to other companies. Eggs can't be put in the same basket. We have to strike a balance! Another person said explain.

But if we give the land to other companies, they won't use their profits to invest. We have lost billions of investment for nothing, which will affect the growth of the city's GDP! Someone beside him reminded.

When mentioning GDP, everyone's expressions became solemn again. Obviously, the growth of GDP is more important than balance. As long as there is GDP, what's the point of putting all eggs in the same basket?

After some discussion, the person in charge finally made a decision: Isn't our bidding divided into two rounds, it is only the first round now, and the next second round is when the final decision will be made.

So I suggest that this first round of bidding should be approved by Dongshan Real Estate first. This is also a warning to other companies participating in the bidding, which is equivalent to putting a catfish in the pond.

Maybe there will be a catfish effect. After other bidding companies feel the crisis, will they give better conditions to the second round of bidders? At that time, we will definitely benefit in the end!

...

Hengtai Real Estate Office, the salesman walked into the manager's office beaming.

Manager, the results of the first phase of bidding have come out. The three projects we focused on participating in have all entered the second round!

Okay! Of the next three projects, we only need to win one of them, and it will be considered a success. The manager said at the same time with a look of death on his face; Bring me the list of shortlisted for the second round, I will study it carefully , which project should the focus of the second round be on.”

The clerk agreed and immediately handed over a document.

Let me take a look. Project No. 5071, in addition to us entering the second round, there are also China Resources Real Estate, Bigui Garden, Changjiang Real Estate, HNA Development, Dongshan Real Estate...

Project 5075 includes Henderson Land, Vanke, China Merchants Real Estate, SOHO, Hopson Development, Dongshan Real Estate... This Dongshan Real Estate coincides with our strategic goals!

Project No. 5076, there are Sun Hung Kai, Sino Land, Greentown, Shimao, Dongshan Real Estate...how come there is Dongshan Real Estate!

The manager frowned, then looked at the shortlisted status of several other projects, and then found that all eight projects had Dongshan Real Estate!

What's the situation! Dongshan Real Estate was shortlisted for all eight projects? What is the origin of this Dongshan Real Estate!

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