Chapter 1377 Qionghai Real Estate Bubble!

March 21, 1993.

Sunday.

On this morning, Yang Ming was invited by China and Qionghai.

He will go to Qionghai for the first time.

Before 1988, Qionghai was still part of Guangdong Province.

Then Qionghai became a province on its own, and it became the largest experimental zone. However, this experimental zone seemed doomed to fail from the beginning.

Before 1991, Qionghai's housing prices had always been mediocre. After 1991, it increased five times in three years and reached a peak in 1993, which was 7,500 yuan per square meter. It should be noted that historically, Shanghai did not rise to this level until 2006, 13 years later.

The average price of commercial housing in Haikou in 1988 was 1,350 yuan per square meter.

However, when the construction of Qionghai was first proposed in 1991, it was 1,400 yuan per square meter. In 1993, when it was on the verge of collapse, the price was 7,500 yuan per square meter.

The price of land in Qionghai has also risen from 150,000 yuan per mu to 6 million yuan per mu.

83% of Haikou City's GDP and 74% of Sanya's GDP come from land transactions.

At its peak, there were more than 20,000 real estate companies on this island with a population of 6.5 million. There was almost one real estate company for every 300 people.

Their gameplay was also very simple. They mortgaged the land to the bank, obtained loans, continued to expand, bought land, designed drawings out of thin air, and sold the buildings with the drawings. When the land price rose, it might not have started construction yet, and then they continued to transfer the land with the design drawings to the next buyer.

After a piece of land was transferred more than a dozen times, the land was still land, and the building had not been built, but each company that passed the flower drum took the dividends and made a lot of money.

The land was still overgrown with weeds taller than people, and the drawings were designed many times, but many developers did not seem to have the idea of ​​starting construction, because at that time, instead of having money to invest in construction, it would be better to find another piece of land to invest in the second and third phases.

This is no longer an exaggeration, but crazy!

How crazy was the real estate speculation scene at that time?

There was a homeless man who slept at the door of a sales office at night. When he woke up in the morning, he found that he had become the first person in line to buy a house. When he was about to leave with a few tattered clothes, several people ran out from the back of the line and offered to buy his place... In the end, the homeless man took the 70,000 yuan that fell from the sky and left happily.

At this time, Qionghai had already begun to be in the front of the real estate bubble.

Historically, the real estate bubble in Qionghai still caused a great impact.

However, this time I was invited by China and Qionghai to take a look.

It may be that the old man, Mr. Jiang and others have seen the problems there, but don’t know how to solve them.

For Yang Ming, this trip to Qionghai is actually equivalent to a trip.

This time, Yang Ming brought Yang Jirong and his wife, Ah Zhu, Zhong Chuhong, Guan Jiahui, Li Jiaxin, Lan Jieying, Zhou Huimin, Li Zi and others, and He Chaoxun, Yingla, Alina and others followed.

Especially the place of Qionghai Sanya, which is known as the warmest city in China in winter.

At this time in March, the weather in Hong Kong is already very warm, but the weather in Sanya or Qionghai is still a little different from that in Hong Kong.

That morning.

Yang Ming and others came to Hong Kong Kai Tak International Airport.

Yang Ming's private plane was already waiting there.

When Yang Ming and others got on the private plane, they took the private plane and flew directly from Hong Kong to Haikou.

It takes about an hour and a half to fly directly from Hong Kong to Haikou.

This more than an hour.

Yang Ming felt that it was still very fast.

When his private plane arrived at Haikou Dayingshan Airport.

This is the old airport of Haikou, and the new airport is still under construction.

And Yang Ming's visit to Haikou this time still has a great impact in Qionghai and even in China. At this time, Qionghai Real Estate is like a patient who is about to die. Now Yang Ming's arrival is like a patient who is about to die and has received a strong injection.

Yang Ming's appearance gave many home buyers and even real estate investors great confidence.

However, when Yang Ming got off the plane, people from China and Qionghai came to pick him up.

Yang Ming said nothing about the current real estate in Qionghai.

Yang Ming and others got on the car.

When leaving here, someone asked him from time to time along the way, but Yang Ming's eyes were always looking out the window.

What did he see outside?

Of course, it was unfinished buildings.

What was the most common in Qionghai, including Haikou, Sanya and other places in the 1990s?

It was unfinished buildings.

The unfinished buildings here can be said to be everywhere, just like the scars of a city.

The real estate development in Qionghai has been passing the baton before, more like when the real estate industry in Hong Kong was just developing in the 1960s.

Of course, at that time, the demand for real estate in Hong Kong was still very large.

However, the real estate in Hong Kong has also experienced sharp declines and surges.

In fact, the real estate development in Hong Kong and Qionghai is completely different, and they are not of the same nature.

The population of Hong Kong may not be as large as that of Qionghai, which developed at the same time, but Hong Kong is too small and Qionghai is too big, which is also incomparable.

"Are all the unfinished buildings outside?" Yang Ming asked.

"Indeed, they are all unfinished buildings." The man next to him said awkwardly.

When he arrived at the hotel where he was staying, it meant that Yang Ming would stay here for the next few days.

For Yang Ming, he had been to Qionghai many times in his previous life, including Haikou and Sanya, but his main impression of this place was still tourism.

Of course, Qionghai's tourism industry was greatly affected by overcharging tourists, and Yang Ming never came again.

And it was still the early 1990s.

At this time, Qionghai's most important tourism industry had not yet developed, but instead relied on real estate to produce a large amount of real estate.

After Yang Ming and others checked into the hotel.

That morning.

Many people came to see Yang Ming, including about the current development of Qionghai's industry.

There was also a question about whether the current Qionghai real estate industry was old?

Yang Ming knew that Qionghai's real estate industry was definitely hopeless now.

This has nothing to do with investment.

Because this was originally a game of passing the parcel, it was a scam, but it was more about banks and even some home buyers.

Even Qionghai's largest commercial bank, Qionghai Development Bank, was forced to close down. You can imagine how serious this is.

It's very similar to the real estate bubble in Dongyang, but it's different.

Dongyang's real estate bubble is relative to the entire Dongyang.

And the real estate bubble in Qionghai is only for Qionghai.

Of course, the real estate bubble in Qionghai did not recover until many years later.

This really surprised Yang Ming. Why did the real estate bubble in Qionghai become so serious? It can be said that this was a waste of many years of precious time for Qionghai at that time.

When he was at noon.

The domestic and Qionghai sides warmly welcomed Yang Ming's arrival.

However, in fact, before this, the Empire Group had been investing in Guangdong Province and even many cities in China, but there was one place.

That is Qionghai, which was separated from Guangdong Province, and Yang Ming and the Empire Group did not come to invest.

In theory, Qionghai's geographical location is very close to Nanyang, and it is also very good in all aspects.

However, Yang Ming had already known in advance about the real estate bubble that broke out in Qionghai in history, so he did not come here to invest.

Of course, some people still made their first pot of gold in life.

It was Pan Shiyi, Feng Lun and other Wantong Six Gentlemen who escaped in advance and made a lot of money.

After lunch.

Yang Ming returned to the hotel to rest.

There are many people who want to see him now, but he guessed that they must be asking whether it is related to real estate or whether it is related to the investment of Empire Group.

In the eyes of those people, Mr. Yang is very powerful. If he thinks that there is no problem with the real estate in Qionghai, then the real estate in Qionghai will definitely develop.

Even, if the Empire Group invests in Qionghai, then the real estate in Qionghai will definitely develop.

However, Yang Ming neither expressed his opinion on the real estate in Qionghai nor said what industry the Empire Group would invest in Qionghai.

He came to Qionghai for publicity and was rumored to have come.

That afternoon.

Yang Ming took a nap.

Then someone took him out to see the city of Haikou.

When he came from the airport just now, Yang Ming had seen many unfinished buildings on the road.

However, when Yang Ming took the car to go there again, he found that there were more unfinished buildings in Qionghai than he imagined.

Some have built one floor, some have built seven or eight floors, and some are just some construction waste piled up there. In fact, since the Spring Festival this year, Qionghai, including Haikou’s real estate, has had problems.

In previous years, many people rushed in to speculate in real estate, but now there are no people.

Of course, some people still stay in Qionghai, hoping to find opportunities, and more people have flocked to the Northeast, because there is gold everywhere in the Northeast at this time.

Yang Ming took a tour in Qionghai.

He got off the car and saw the unfinished building not far away.

For Yang Ming, this may be a microcosm of history.

This microcosm has not changed because he came to this world.

Of course, he has basically never seen such unfinished buildings in Hong Kong.

Of course, according to the historical development of domestic real estate, many cities will also have such unfinished buildings in 20 or 30 years.

"Mr. Yang, do you want to go anywhere else?"

The person in charge asked.

This time, it has been said above that in addition to protecting Mr. Yang's safety, Mr. Yang will be arranged to go wherever he wants.

Now that Yang Ming has come here, except for seeing these unfinished buildings, it seems that there is nothing to see.

. . .

Yang Ming stayed in Haikou for two days.

He originally planned to stay for four or five days, but there was nothing to see.

Then on the third morning, Yang Ming and others took a private plane to leave Haikou and headed to Sanya.

They flew from Haikou to Sanya and arrived in Sanya soon.

It is obvious that Sanya is a tourist city.

Despite the rise, tourism has not really taken off in Sanya.

When Yang Ming and others arrived, they had arranged a hotel near the sea in Sanya in advance. At this time, only Yang Ming and his people were left here, as well as the hotel waiters.

When Yang Ming and others came here, they still felt that the current environment in Sanya was really very good.

Blue sky and white clouds.

There is also a clear blue sea and soft sand.

The current Sanya is more natural than the future Sanya.

Yang Jirong and his wife, Azhu and others thought that Yang Ming was really here for fun.

However, Yang Ming had just arrived here, and he immediately went to see the situation here. Yang Ming did not expect that there were many unfinished buildings in Sanya. It may not be as good as Haikou, but there are also many unfinished buildings here.

There are many buildings, but the exterior walls are not decorated and no one lives there.

Of course, some of them still look very new because they were built last year, but according to the current situation, it is impossible to sell them.

"Sir, why are all these unfinished buildings here?" He Chao asked in disbelief.

"It's inevitable. You said that the housing prices here are higher than those in Yanjing, Shencheng, Yangcheng, and Pengcheng. Do you think it's possible?"

In fact, it's impossible.

In Yang Ming's opinion, Qionghai has no industry except tourism, including agriculture, which is also very ordinary now. So what's the point of investors buying these houses now?

This means that the bubble will definitely burst.

"What about these unfinished buildings?"

"It will take many years, maybe they will be blown up and rebuilt."

This will take a long time to digest.

The seaside here in Sanya is really good now, and the temperature is around 20 degrees Celsius, which is very comfortable.

Yang Ming thinks that it is still very good to travel here now.

If it is in Haikou, it may not be as comfortable as Sanya.

In the next few days, Yang Ming stayed in the hotel in Sanya.

Of course, outsiders really thought that Yang Ming was just here for tourism. Apart from tourism, Yang Ming did not say anything at all, and did not see the Empire Group's inspection team coming here.

He stayed in Sanya for nearly a week.

Yang Ming and others took a private plane directly from Sanya to leave Sanya, and then returned to Hong Kong by themselves.

After returning to Hong Kong.

Yang Ming wrote down what he saw in Qionghai during this period in the letter.

Two copies.

He gave one to the old man.

One to Mr. Jiang.

He immediately asked the bodyguard to send it to Tang Yun, and Tang Yun sent it to the old man and Mr. Jiang.

When the two people received the letter respectively, they were already very clear about Yang Ming's suggestion.

That is, the real estate bubble in Qionghai is doomed.

According to Yang Ming, there are two 70%.

70% of the funds entering Qionghai were invested in real estate; 70% of the funds invested in real estate came from banks and trusts.

Most of those who can get bank loans and land approval documents are well-connected. Not only do they spend a lot of money, but they are also very good at real estate speculation.

At that time, there was a saying of blue line map and red line map. The blue line map was still in the planning stage, and the red line map was approved by the relevant departments, which means it was planned for development.

Speculators focused on the red line map and speculated. One piece of paper could be transferred to five or six companies.

After the bubble burst, the bank went to recover the mortgaged assets and asked the speculators where the land was. The speculators said that the land could only be seen when the tide receded.

The overheated real estate market has become more and more problematic, attracting a lot of funds and delaying the investment in key construction projects; too much long-term funds have been occupied, and short-term debt risks have been exposed; inflation has soared rapidly, and residents' production and living costs have risen; local governments have approved multiple lands and competed to lower prices, resulting in serious losses of state-owned land assets; at that time, there was an urgent need to earn foreign exchange, but the real estate industry was fleecing its own people and at the same time passing the risks to the banks.

In other words, the real estate bubble in this place is doomed and cannot be saved at all. It must be punctured as soon as possible to minimize unnecessary losses.

Also, there is Yang Ming’s suggestion to close the island.