Chapter 753: Get More Land
The next morning, Yang Dongxu drove his broken Nissan to Xinghai Hotel, and then asked the hotel driver to take him to the airport and fly directly to Shanghai.
Now the Shanghai-Hangzhou Expressway is still in the bidding stage. Driving from Hangzhou to Shanghai is very torturous, and taking the train is also very slow, so the plane is the best choice.
This trip to Shanghai is related to the Shanghai-Hangzhou Expressway mentioned by Li Li last night. Hurricane Construction not only has the ability to undertake the part of the expressway project in Hangzhou, but also has the strength to undertake the part of the expressway project in Shanghai.
Compared with Hangzhou, which seems to have fewer people and less competition, it seems that the competition is better in Shanghai. After all, Hurricane Construction has invested in a section of Ninghang Expressway in Hangzhou.
Whether it is the scenic area construction on the West Lake side, Xinghai Hotel, or the scenic area construction on the Qiandao Lake side, they are actually the projects won by Sanwan Travel Agency and the infrastructure construction is contracted to Hurricane Construction.
So compared with Hurricane Construction, a real estate company that ranks among the best in the country, Sanwan Travel Agency has more reputation in Hangzhou, but Sanwan Travel Agency does not have a highway construction team, so it cannot intervene in this project.
It's different in Shanghai. Hurricane Construction can be said to be the main force in Pudong's development. If the largest land hoard in Shanghai is in the hands of the government, then Hurricane Construction is definitely the first company to hoard land.
So although the competition in Shanghai is more intense, it is relatively easy for Hurricane Construction, which has construction experience and construction qualifications, to win a section of the highway construction section. After all, Hurricane Construction does not need the government to lobby banks for loans for construction. It can advance funds for construction by itself, which can reduce a lot of burden on the government.
"What's the specific situation of calling me here?" Yang Dongxu sat in the boss chair in the office of the chairman of Hurricane Construction. Zhao Yu and Zhou Huaiguo sat opposite him.
If Zhao Yu is the general manager of all real estate projects of Hurricane Construction, then Zhou Huaiguo is the general manager of the highway department of Hurricane Construction.
"It's like this. Although the municipal government has positioned the Mohang Expressway as one of the key projects this year and started bidding, and has given some help in bank loans, the current municipal government's upper support funds are not sufficient, so it wants the construction party to advance more funds." Zhou Huaiguo said.
"What's the ratio?" Yang Dongxu asked.
"70%. If it is higher, it will be better and more favorable for the bid."
"What are the benefits?" Such a high advance payment ratio is obviously not something that can be solved by lobbying the bank. After all, if the bank can really be lobbied to lend so much money, why would the government do such a futile thing as raising the advance payment ratio?
"Road sections, the higher the advance payment ratio, the more contracted road sections can be obtained." Zhou Huaiguo said.
Yang Dongxu nodded. This is undoubtedly a very reliable decision. Now everyone knows that although the investment in highways is high and the return cycle is long, the income is stable. As long as you don't have any quality problems during construction, you can just sit at home and wait for the money after the completion.
Therefore, for some businessmen who can't see the future market and don't know how to invest, investing money in highways is definitely a sure-win business.
Therefore, it is a good way to use the tempting bone of the road section to attract social funds to build highways, thereby reducing the financial pressure on the municipal government.
"How is the capital chain of Hurricane Construction now?" Yang Dongxu and Zhou Huaiguo looked at Zhao Yu.
"It's a bit nervous. This year, we have started to build a lot of land, and we have acquired a lot of land. Now we are preparing funds to fight for the land of the machine factory, so we can't put money on the highway." Zhao Yu said.
"At present, the company's funds can advance 30 kilometers according to the 70% advance ratio, but according to the economic development speed of Hangzhou and Shanghai.
After the completion of this road, the speed of fund recovery will definitely be faster than that of Ninghang, and the toll collection rights can be directly mortgaged to the bank for cash after it is completed and opened to traffic, so the more projects on this road, the better." Zhou Huaiguo said.
Obviously, he had his own plans in mind when he called his big boss to Shanghai to discuss this road. To build a highway, you need not only connections but also money. At present, the network that constrains Hurricane Expressway Construction Department is the problem of funds.
After all, Hurricane is simply a real estate company, and more than 90% of its funds are tilted towards real estate projects. There was no plan to develop the highway business before, and the Ninghang Expressway was launched only after the big boss Yang Dongxu personally decided.
The current situation is that Hurricane Construction has a highway construction department, and the personnel and equipment are very complete, and even face tunnel machinery is available. You can't just dismiss the staff and sell the machinery and equipment as second-hand goods at this time, right?
Zhou Huaiguo didn't want to continue the business, but the headquarters didn't have extra funds to support it, so he saw the opportunity that Mo Hang told him.
As long as the 50-kilometer section can be taken, the project can be directly cashed out from the bank for about 800 million yuan after completion. In this way, even if the funds of the highway construction department are completely turned over, some large projects can be taken even without the financial support from the headquarters.
"How much funding gap is there?" Yang Dongxu asked directly.
As for the current inability to find a bank loan, he understands the routine of finding a bank to cash out after the completion. In order to prevent someone from taking a loan to take a project, taking a loan to build a project, and then putting the money earned into their own pockets, the bank loan will pay some interest.
If you don't want to leave any evidence of illegal operations before construction, you can only borrow money from banks. Otherwise, if you don't spend a penny, the government will just cooperate with the bank. Why would they need you?
But it's different after the highway is built. The road has been built and the objective benefits can be calculated. It's just a matter of whether it will be recovered in three years, five years, or ten years.
At this time, the highway income can be borrowed from the bank. The bank will give a reliable loan valuation, so you can directly get a sum of money, and then use the money to invest in other highways. In this way, there is no risk for both parties. Although it is also a loophole, the procedures are on track and no one can say anything.
"Four hundred million!"
"Why don't you just say that even if you contract a 30-kilometer section, you are still short of money?" Yang Dongxu rolled his eyes.
According to the terrain of the construction section of the Mohang Expressway, there are not many sections that are particularly expensive, so the construction of one kilometer of highway costs about 13 million. Zhou Huaiguo wants to contract an additional 20 kilometers of sections, and the total cost is only 260 million. Zhou Huaiguo asked for 400 million at the beginning, obviously wanting him to fill in more.
"Hehe." Zhou Huaiguo, who was often on-site directing construction and was very tanned, showed his white teeth.
"I'll help you with the turnover. It won't delay the business if the money arrives within a week, right?" Yang Dongxu asked after calculating his own small treasury.
"No, no." Zhou Huaiguo was excited.
"Don't be too happy too early. Borrowing money is conditional, and the interest is calculated according to the bank loan interest. After the completion of the project, you will first pay back the borrowed money with cash from the bank, and the remaining money will be the money you need to tell the construction of the next section."
"Ah!" The excited Zhou Huaiguo was a little confused for a moment.
"Oh my god, it's settled. If you agree, I will lend you money. If you don't agree, you can take the 30-kilometer section of the road." Yang Dongxu said that there was no room for negotiation.
"Lend it, definitely lend it!" Zhou Huaiguo said hurriedly. It would be stupid not to understand the business that is sure to make money. Besides, the bank loan interest is only a few dollars?
"Okay, that's it. The money will arrive in a week. You can go about your business." Yang Dongxu waved his hand.
Zhou Huaiguo left the office. Although he got a loan instead of the big boss's continued investment, he was still very happy. With the 400 million yuan that was about to arrive, his room for maneuver was much larger.
"Has the land of the machine factory not been sorted out yet?" After Zhou Huaiguo left, Yang Dongxu looked at Zhao Yu.
"It's almost done now. The main reason is that the machine factory was a state-owned enterprise before. The central government wanted to collect part of the land sale money to supplement the treasury. The municipal government certainly disagreed, so there was a bit of wrangling. Now it has been clearly divided.
The land, the original debt of the machine factory, the previous wage arrears of the machine factory, and the protection of the rights and interests of some old employees are now clearly divided. If it is taken, the conservative return is about 50%. If the land can be held in hand for a few years, it is not a problem to double the return." Zhao Yu said.
"Since everything is sorted out, just take it directly. Don't worry about the return issue, even if it is a loss premium, just press it directly." Yang Dongxu tapped his fingers on the table to express his firm attitude towards this matter.
"Will the land price rise?" Zhao Yu was stunned and guessed something in an instant.
"Whether the price goes up or not, the location of the land of the machine factory is there. We will not lose money if we buy it at a premium even if we don't hold it and build it directly. If there is a subway line passing through there, we will definitely make a fortune." Yang Dongxu said.
Zhao Yu paused for a moment and then nodded: "I understand!"
He thought his boss said that he had received internal information about the city government's subway line planning, so he was so sure to buy the land of the machine factory.
But in fact, it was not the case. Even if the subway line did not pass through the machine factory, Yang Dongxu decided to buy the land at a premium. Because no one knows better than him what will happen next year, that is, after the arrival of 2000.
The national real estate will get on the galloping carriage. At this time, let alone buying land at a slightly premium, even if the price doubles, it will directly double the cost in the next two to three years.
The bottleneck period of the national real estate has entered the countdown. By that time, the price increase in places like Shanghai and Yanjing, which seems to be rising every year, will be child's play in front of the crazy price increase in the next ten years.
"Not only the land of the machine factory, find a bank loan as soon as possible to increase the debt ratio of Hurricane Construction to 65%." Yang Dongxu said again.
"You want to use all the funds you raised?" Zhao Yu asked.
"I don't need it, I want to get all the land. Not only in Shanghai, but also in Yanjing and other places. In short, except for the projects that have been built in the second half of this year, all other projects will be stopped, and all the funds in hand will be put into acquiring land."
"But we already have a lot of land." Zhao Yu felt that his boss seemed a little crazy at the moment, and he had to remind him.