Chapter 174 The land is really cheap (1/4)
After Ye Zishu handed over all the affairs of Wancheng Foundation to Guo Dongsheng, Guo Dongsheng saw that the construction of Phoenix Software's headquarters was nearing completion, leaving some people to continue to focus on this project.
Everyone else followed him directly to Pudong, Shanghai, and even established a branch of Wancheng Jiye in Shanghai, with the purpose of better acquiring land in Pudong New Area.
Now three development zones have been established in Pudong, namely Lujiazui Financial District, Jinqiao Development Zone, and Zhangjiang Hi-Tech Zone. Currently, land is being sold in the first two areas.
Among them, the most valuable area for Wancheng Jiye is the Lujiazui financial district. Wancheng Jiye is currently mainly developing commercial real estate, so the main target is still in Lujiazui.
Ye Zishu was sitting in his office working when he heard the phone ringing suddenly. When he picked it up, it was Guo Dongsheng who called and reported to him the land situation in Shanghai.
According to Guo Dongsheng, the government transferred some land in these places to three development companies in Lujiazui, Jinqiao, and Waigaoqiao by means of empty checks.
These three development companies were also established by the municipal government to replace the government in the transfer of land use rights and transfer commercial land to foreign capital. According to international practice, this is not something the government does.
There are no problems with these, but according to Guo Dongsheng's investigation and information obtained from relevant channels, the government will transfer these lands at a price of 443.7 yuan per square meter for the initial 9.3 square kilometers of land.
If Wancheng Jiye wanted to acquire land from the three development companies, the price would rise to an average of 600 yuan, an increase of 50%, but it was still very cheap for Ye Zishu.
He thought that the average square meter of land there would be more than a thousand yuan. After all, the support from the state is so strong, and Shanghai itself is the most prosperous city in China.
But after thinking about it, I think it is reasonable. The capital is also an important city in China. The price of land purchased by Phoenix Software Company is extremely low. Although it is half sold and half free, the price is still much lower than that in Shanghai.
According to this price, the 5 billion yuan he gave to Guo Dongsheng can buy more than 8 square kilometers of land, while the land currently owned by the three development companies is about 22 square kilometers.
It is important to know that not all areas of this 22 square kilometers of land can be used for building development. The construction of necessary road facilities requires a large amount of land, and the road area ratio is about 11%.
Due to the short time, it has only been a little over a year since the establishment of the three development companies, and the land they have sold is not too much.
Ye Zishu originally wanted to use part of the 5 billion yuan as start-up capital for construction, instead of using all of it to buy land.
But he changed his mind. No matter how he calculates it, if he spends a huge amount of money to buy these lands, he will be able to get a return of more than a hundred times in the future. It is difficult for a businessman to endure such a temptation.
If he doesn't buy these areas, he will also sell them to businessmen in Southeast Asia, Hong Kong and Macau. Instead of cheap businessmen in these places, why not cheap himself. Genius remembered it in a second :(
At least the money he earns will still be used in the country, and eventually the people in other parts of the country will benefit, so he decided not only to spend the 5 billion yuan, but also to continue to invest in the future.
The situation he is facing now is very different from before. Before that, he was always worried that he did not have enough funds, and the stall was suddenly too large, which brought him a lot of financial pressure.
But now the operation of Tai Chi Health Care Company has reversed this situation, making it difficult for him to digest the funds in his hand for a while, requiring a large export of funds.
Industrial investment is certain, but industrial investment takes a long time, and not all industrial investment requires a lot of funds. You must know that it only cost more than 16 billion yuan to build a Baosteel.
The electronics and semiconductor manufacturing industry he is currently investing in is already the leading industrial manufacturing investment in China, but this money can be supported by the revenue of Phoenix Software Company.
As for Tai Chi Health Care Company, not to mention the previously estimated annual market size of US$100 billion, even if it is discounted in half, it will bring Tai Chi Health Care Company US$50 billion a year, which is also a huge figure.
We must know that in 1992, our country's net foreign exchange value was only more than 19 billion US dollars. The overseas income generated by Tai Chi Health Care Company alone has directly doubled several times.
Although Ye Zishu himself can't believe such a conclusion, because it is too ridiculous, there are so many export companies in the country, and the annual export trade volume is only 71.8 billion US dollars.
This is the economic value brought by mastering the core technology, and it is still an irresistible product. Although it does not mean that it hits the fate of consumers, it at least scratches the itch of consumers.
If there is such a huge amount of money in the account, no matter how powerful Ye Zishu is, it will be difficult to spend the money in a short time, and spending money is also particular, he can't just throw the money in a certain industry.
Personal energy is always limited. Even spending money, and spending good money, is quite energy-consuming. In comparison, real estate is much simpler and rougher.
And the income is incomparable to other industries. According to the experience of previous lives, the rate of return of real estate for 30 years is higher than that of investing in the Internet, and it has become the industry with the highest rate of return in China.
Taking advantage of the cheap land in China, it is difficult for ordinary consumers to buy houses with bank loans even if commercial housing transactions are not open, and the relevant laws and regulations on housing transactions are not sound enough.
It’s okay for him to hold these real estates by himself, and he can wait until the value appreciates in the future. This can be regarded as lying down and making money. If he invests indiscriminately, the rate of return will definitely not be as high as that of investing in real estate.
"Guo Dongsheng, listen carefully, spend all the 5 billion yuan in your hands as much as possible, and buy as much land as you can, do you hear clearly?" Ye Zishu said.
After hearing this, Guo Dongsheng was stunned for a moment, and asked cautiously: "Is this too much? If we buy all the land, we won't have funds for development later.
Now bank loans are not very open to real estate, and it may not be enough if you want to buy a loan. Is it too radical? "
"You don't need to worry about it. The development is not implemented immediately. It takes 10 years to develop the whole area, which is considered a long time. Just develop it slowly.
I will give you the development funds in the future, and I will definitely not let you lack funds, so the issue of funds is not your consideration, your consideration is to get me the land, and then develop the land for me. "Leaf Book said.
After listening to Ye Zishu's words, Guo Dongsheng immediately agreed. He was just fulfilling the obligation of reminding his subordinates. Since the boss doesn't need him to worry about money, he just needs to follow the boss's request.
Guo Dongsheng, who received Ye Zishu's instructions, immediately began to organize manpower, and began to analyze the land held by the three development companies to determine which piece of land in the area was more valuable.
After all, it is impossible for him to buy all the land in the other party's hands. He can only choose the land that he thinks has higher investment value, and he must not buy it with his eyes closed.
However, in the 6.89 square kilometers of prime land in Lujiazui, Wancheng Jiye could indeed buy it with eyes closed, so it delineated all the remaining land.
The land area of these places that have not been transferred out is about 5 square kilometers, but the price is more expensive than the average price that Guo Dongsheng gave Ye Zishu just now, but it is not much more expensive. You can buy it at about 800 yuan per square meter.
Ye Zishu didn't intervene too much in how they chose the area. In fact, apart from policy support, what he hoped was that the area he created would naturally become the new center of the city.
In this way, we can get rid of the limitation of land resources in the center of the city. The land becomes valuable because of the development of Wancheng Foundation, rather than because of the land.
