On August 24th (Wednesday), Changjiang Real Estate officially published a 'house sale advertisement' in the newspaper. The advertising space was very simple. A black and white version of the rendering of a Champagne Building (hand-painted version) was paired with four large characters 'Champagne Building', and then Simply add your phone number, address, and approximate price.
The higher the floor, the cheaper the price. For example, a unit on the 12th floor only costs about 22,000 per unit; while the most expensive unit on the floors below is 38,000. The main reason for this is that everyone’s concept remains High-rise water supply issues.
After all, Kimberley Road is in Tsim Sha Tsui, close to the business district, so the unit price is still relatively expensive.
As soon as the news came out, there was a lot of discussion.
A foreign lawyer told reporters that selling residential buildings in stratified units will "bring disaster to future generations." Various disputes will arise in the future, such as how to repair elevators and change property leases?
This comment has been recognized by many people. Of course, everyone does not know about the "public housing lease" matter, so they make this comment!
Cheung Kong Holdings.
Lin Zhichao was in the office, looking at the Champagne Mansion's "Lower Book" in his hand with a satisfied look on his face.
A building book is 16 pages long and has nearly 20 pages. It contains text describing in detail the topographic environment, building materials, and strata prices of the building. It also contains the building site, perspective and floor plans of the building, slope plans, floor plans, and so on. , everything you need.
Except that the printing and binding quality are worse than those of later generations, the content and layout are no different from the popular advertising albums of later generations.
There is also a little story about the invention of the 'property book': in the past, real estate agents in Hong Kong were not active at all. Those who took people to see properties were all 'negative property sellers' because they took many people there every day. Visiting real estate properties requires running back and forth many times a day, even twenty times. My husband has finished watching it today, and my wife will come to see it again tomorrow. There is nothing left to do. As a result, the real estate agent's back and legs ached, and he couldn't handle the customers. Over time, he said angrily to the customers, "Go and see for yourself." If the customer asked more questions, the real estate agent might curse.
With the invention of the 'building book', even a building will have a building book compiled, saving a lot of energy and making it more widely publicized.
It's interesting!
After a while, the "Big Three" of Cheung Kong Industries walked into Lin Zhichao's office.
Huang Changhong, deputy general manager, is a real estate expert who graduated from the Department of Architecture. He is mainly responsible for the planning, design, and construction of the site;
Zhou Fuzhao, financial manager, was an employee of a bank in the early days and was very good at finance;
Hu Zhaoxu, marketing manager, is good at everything from land purchase to real estate sales, as well as handling relations with relevant government departments.
Therefore, the three giants are already trusted and reused by Lin Zhichao. The key is that they are veteran employees who have been with him for more than eight years and are the founding veterans of the company. During this period, Zhou Fuzhao was sponsored by Lin Zhichao to study in the UK and obtained a university accounting diploma; Huang Changhong also traveled to Europe and the United States many times for short-term further study of architectural knowledge. Only Hu Zhaoxu relied on his own exploration and learning. Of course, his external communication skills were a natural talent.
"Now that Hong Kong's real estate is about to be ignited, everyone will definitely join in and invest a lot to build buildings. As the first to eat crabs, we must be the industry leader. We will treat 'building a house' as opening a factory. When sales are made here, we purchase goods over there, and the goods are constantly rotating.”
Lin Zhichao imparted his experience. After all, his knowledge was ahead of these people.
After listening, the three people also understood that what the boss meant was that if they made money from selling the buildings, they would continue to purchase the land, instead of just developing the land and old buildings in their hands.
Later, Lin Zhichao said: "At present, in the next two years, we may sell one building every month on average. Everyone must do a good job in various tasks and enhance their management capabilities!"
"Yes, boss!"
The three people listened with excitement. One building per month would mean two to three thousand residential units in a year.
In fact, this is already Lin Zhichao's conservative development!
After all, according to Lin Zhichao's estimation, if Hong Kong's market capacity in the past two years was 10,000 residential units a year, then the reason for the sharp decline in 1957 may be that there were 15,000 to 20,000 residential units a year.
After all, the fundamental reason for this plunge (the urban area is relatively stable) is that supply exceeds demand and the Hong Kong government restricts the sale of uncompleted properties. As far as Lin Zhichao knows, this is the case.
Of course, Lin Zhichao will not regret selling two to three thousand residential units a year. He is not greedy; after all, the current real estate profits are not high (the profit margin is high), and land reserves are also very important.
On Saturday morning, hundreds of people gathered at the 'Champagne Building' site on Kimberley Road very early, and it became news material for major media.
The Champagne Building only has a total of 176 residential units for sale, and the number of people on site alone is several times that many, so that one salesperson has to deal with dozens of viewings. Fortunately, the emergence of floor books, sand tables, etc. freed the sales staff; but even so, there are still many people asking questions. Fortunately, everyone is well-trained.
In this case, there is no need for "entrustment" at all. This will be the real situation of Hong Kong real estate in the past two years.
"What does it mean to sign a 'public housing lease' when buying a house?" When someone was about to make the move, they found the 'public housing lease' mentioned in the building deed.
"Public housing leases are the best legal agreement for high-rise residential buildings. Once this agreement is signed, it means that everyone will jointly bear the subsequent expenses of the building, such as elevator maintenance, sanitation fees, etc. At the same time, , after signing the public housing lease, the converted land area above is the land area you can get if the house is demolished in the future, which can be easily converted into compensation costs. It is equivalent to not only buying a house, but also buying part of the land. "The salespersons picked up the loudspeakers one after another and introduced.
"This is a good idea! With so many people living in the same building, it must be a lot of trouble, but as long as there is a public housing lease, all problems are solved immediately. It is like a property management company in a private housing estate." Some people have seen too much Said knowledgeable.
Those who can buy a house are definitely not workers, they are all people with a small career and wealth, and they will not be short-sighted. Of course, since you must sign a "public housing lease" if you want to buy a house, most people will not hesitate.
In an open space in the 'Champagne Building', Lin Zhichao was also chatting with visiting friends, including He Shanheng, Liao Baoshan, Feipingtai, Chen Detai and others. They came to join in the fun. In fact, they were seeking information and seeing how Lin Zhichao sells properties. of.
Among them, Airship Tai and Li Gaofu were acquaintances, but it was the first time they met Lin Zhichao, but everyone quickly became familiar with them. At this time, Airship Tai was shocked. He did not expect that while he was still studying the 'Public Housing Deed', others had already started to implement it.
It turns out that Airship Tai also has a small piece of land in Mong Kok, Kowloon, which he plans to build high-rise residential buildings and plans to sell at the end of September. Unexpectedly, Lin Zhichao reacted faster than anyone else. In less than two months after the building regulations were passed, others had already demolished the building. Put it up for sale.
"It's great, it's great. Lin Sheng has solved all the troubles with 'public housing leases'. It's time for those British lawyers to shut up!" Liao Baoshan listened enthusiastically. He has recently been planning to enter the real estate industry and build high-rise residential buildings, but he is struggling with the policy. Understanding and worrying, so I have been waiting for the opportunity. Now, it's clear that the opportunity has arrived.
Lin Zhichao said with a smile: "Not all British lawyers are short-sighted. Our public housing deed is still a document drafted by Lawyer Andulu!" Then he joked: "Is it possible that Brother Liao also plans to show off his skills in real estate? That's not allowed. Well, who can do it better than you who own a bank?"
Everyone laughed!
In fact, He Shanheng and others also built a small building last year, but it was not in the name of Hang Seng Bank. Instead, it was built and invested by a private partnership of He Shanheng, He Tian and others.
Banks in Hong Kong can do anything, it’s a free port!
Liao Baoshan immediately said: "Lin Sheng is joking! The money in the bank belongs to the bank, not to me."
It’s weird that it’s not your personal one!
Lin Zhichao can already imagine that with the boom in real estate, these banks have formulated high-interest policies in order to attract deposits and seize the deposits in the market. The annual interest rate may be more than 18%; because these banks use the money to invest in real estate, they find that the annual interest rate is more than 18%. If the yield is much higher than 20%, banks will also be short of money, and the result will be a large amount of deposits.
Most banks in Hong Kong are private and family banks. They lend money to their own families and individuals, which is convenient for large banks. Until the mid-1980s, this kind of thing still happened. At that time, the only local Chinese bank left was the Bank of East Asia.
Liao Baoshan also asked a question: "Lin Sheng, isn't the 20% down payment disadvantageous to the real estate company? It would be slow to pay back and not conducive to turnover, right?"
Everyone paid attention to Lin Zhichao's answer. Indeed, the ratio was reduced from 50% to 20%, which is a huge ratio.
How could Lin Zhichao share his inner thoughts - just to tell you not to be too crazy, but he said: "It was an analysis error on my part. I thought that Hong Kong's purchasing power was insufficient, so I used this method to attract customers. I just didn't expect that, With so many people coming today, it seems that Hong Kong has a lot of purchasing power. Of course, this down payment can be adjusted according to various real estate companies, there is no basis for it! Including the two-year loan period, it can also be adjusted."
"That's it!" Liao Baoshan said with sudden realization. He actually thinks that a down payment of 20 to 30% is quite good, since he has a strong bank background anyway.
Later, Lin Zhichao smiled and said to Airship Tai: "Huo Sheng, I heard that you have sold a lot of buildings in the past year and have rich experience. How would you like to comment on the various aspects of the Champagne Building?"
From last year to this year, Airship Tai also developed some small buildings (five-story tenement buildings) and made a lot of profits, but certainly not as much as high-rise buildings.
"Lin Sheng is joking! You are a big shot in the real estate industry. From stratification, staging, building documents, sand tables, sales offices, to today's 'public housing leases', what you have done is simply a benchmark in the industry. We latecomers just need to follow your way!" Airship Tai said seriously.
No matter what, others were one step ahead of him, and he truly admired them.
I learned all the demos from you, Lin Zhichao smiled inwardly.
After chatting for a while, everyone dispersed.
On the same day, all 176 residences in the 'Champagne Tower' were sold out, and it was officially announced as of 3 p.m.
For a time, Lin Zhichao had predicted that Hong Kong's real estate market would go crazy!
Based on the current land price of Champagne Tower, it is worth approximately HK$2 million (23,000 square feet), construction fees and miscellaneous expenses are approximately HK$1.5 million, and the total investment is HK$3.5 million; and the total selling price of the 176 residential units is HK$5.15 million. , plus the value of shops and ground floor shops is about HK$1.5 million, which is equivalent to a withdrawal of HK$6.6 million.
Profits doubled!
For such a real estate, the development period is 18 months, the longest, and construction only takes less than 12 months.
Such a high rate of return would be crazy.
Even if the land and other costs increase in the later period, the property prices will also increase accordingly!
Of course, the risk is also greatly increased, but no one will care!
A new week begins.
Newspapers were full of reports about this 'Champagne Mansion', which became the talk of the city after dinner. Many people understand the truth. If residential buildings are allowed to be built with 12 floors, it will greatly stimulate the Hong Kong real estate market, more people will buy properties, and the housing shortage will become a thing of the past.
At the same time, the Champagne Building became a template for major real estate companies, and everyone was sharpening their knives for a while!
Lin Zhichao is reviewing the plans of the 'Tan Kung Building' at 2-4 Hysan Road, Causeway Bay in his office. He has been in the real estate industry for eight years. He is an 'architect' himself and is familiar with plan design and construction. He is already among the top talents in the industry and is familiar with building regulations.
Tan Kung Building is located in the triangle area of Hysan Road and Leighton Road, but this triangle area is not only the land of Tan Kung Building, but also two old properties of the Lee family. If he develops high-rise buildings, the Lee family will surely benefit from the appreciation of land prices.
Lin Zhichao still uses the first floor and basement as shops, but the second and third floors are designed as office buildings. The Tan Kung Building is 20 stories high. When completed, it will become the tallest building in Hong Kong. Of course, this thing is not negotiable. After all, Causeway Bay is not as meaningful as Central, and it will soon be replaced by other buildings.
This year, Yangtze Real Estate will only sell three buildings. After all, the sales price will be higher next year. However, in this case, Lin Zhichao must also inject capital because he may have to participate in the official land auction.
Global Shipping can no longer provide funds. After all, some funds must be reserved as operating funds; Yangtze River Industry can provide 5 million Hong Kong dollars. After all, industry also requires continuous investment, and 10 million Hong Kong dollars have been provided to Yangtze River Industries at the beginning of the year.
HK$5 million can't buy much land. The current average price of residential land in Hong Kong and Kowloon is already HK$80 or 90 per square foot.
Therefore, Lin Zhichao planned to borrow 10 million Hong Kong dollars.
Coupled with the funds withdrawn from real estate developers, it is enough to purchase land reserves in the future.
As for his plans to invest in commercial buildings, Lin Zhichao planned to do so after 1957. After all, without the popularity of residential properties, where would the business be?
At the same time, if there are beautiful land and old buildings for sale in Central, Hong Kong, Lin Chi-chao will be in a situation where he has no funds to buy; because the price of beautiful land in Central has risen to more than 800 Hong Kong dollars per square foot, such as the Pedder Street purchased by Lin Chi-chao Hong Kong hotels currently start at least 20 million Hong Kong dollars.
Fortunately, there are currently no high-quality land and old buildings in Central for sale, because everyone is not stupid and will definitely have to wait a year or two. By then, land prices in Central will be HK$1,500 to HK$1,600 per square foot, reaching the peak in the 1950s.
In this way, Cheung Kong Holdings can use its housing profits to acquire residential land and prime commercial sites in Central.
Cheung Kong Properties currently only has four buildings and land in Central, which is obviously not enough. At least before the 1960s, it would have been more reasonable to have six or seven buildings.
After a while, Huang Changhong and his mentor Zhou Guangpu came to Lin Zhichao's office.
"The drawings of this Tan Gong Building are wrong!" Lin Zhichao said immediately.
Zhou Guangpun's face suddenly turned red. He was an architect (architectural designer) from a famous university. He was called to the office just over an hour after submitting the manuscript to his boss. He even wondered in his heart whether the boss was deliberately beating him up, otherwise how could he find out the problem in such a short time.
Of course, everyone has heard that the boss is very familiar with real estate drawings, construction, etc., and always takes things seriously.
Huang Changhong immediately said: "What's wrong, boss? This drawing has been proofread by me."
Lin Zhichao did not blame these people. They were all professional architects. He did not need to scold them, but wanted them to convince him. Let them understand that their boss is a very serious and professional real estate elite.
"This is a triangular area, and the angle of light can be adjusted accordingly, so that the construction area of our building can increase significantly. Do you think this is the case?"
Zhou Guangpun felt a little embarrassed at the moment. With the boss's advice, he instantly understood that he had made an omission, and it was estimated that he would lose thousands of square feet of building area.
Many buildings in Hong Kong hope to be merged during reconstruction; if two or even three streets can be connected, the floor area ratio will be greatly increased. The streets and streets in Hong Kong are not as wide as those in the Mainland. They are often the same area as two buildings. If the two buildings are merged and rebuilt, the floor area of the building will be greatly increased.
Tan Kung Building is located in a triangular area, but it can only face two streets at most. Adjusting the light angle can also increase the floor space at a considerable amount.
"I'll go back and calculate again!" Zhou Guangpu said.
"Well, we should pay attention to these aspects in the future, especially thoroughly understand the Hong Kong government's building regulations and update them with the latest ones. Don't miss a single detail." Lin Zhichao did not blame him too much. After all, he took his time.
After Zhou Guangpu left, Lin Zhichao said to Huang Changhong: "Who is the project manager of Champagne Building?"
Huang Changhong said: "It's Lu Xiaopei!"
I was hired here through the introduction of the boss.
Lin Zhichao nodded and said: "People from Shanghai may not know how to settle accounts. The construction site asked Paul Li to inspect and review more, and you also need to inspect our sites more!"
Lu Xiaopei knows construction and management, but he just doesn't know how to settle accounts, otherwise he wouldn't always be litigating in his previous life. Many times, I almost went bankrupt because of miscalculations.
In fact, his boss likes to inspect construction sites, but the key is that he also has affairs with two major groups, Global Shipping and Yangtze River Industries, otherwise Lin Zhichao would be eager to get involved in the real estate.
Real estate is very comfortable!
"Yes, I understand! Many of the work on the construction site is supervised by Cheung Kong. If there are any mistakes in Poly Construction, Cheung Kong will also be aware of them."
After chatting for a while, Lin Zhichao felt relieved. There were many talents in Yangtze River Industrial, and he, the boss, was not completely worried; since the work was left to his subordinates, he would not have any psychological burden.
Those who have a small territory now may have a lot of territory at any time in the future, and Lin Zhichao will not be able to divide himself. (End of chapter)
