But we cannot regard [Chaoqun Group] and Wu Siyuan as being taken advantage of.
I won’t talk about what the real estate industry is like.
The problem is that your company is in such a big hole that only by filling in the annual profit of [Chaoqun Group] can it maintain normal operations.
Ling Yaodong sees that the performance of the real estate industry will continue to be under pressure in 2022, with sales plummeting. This is a pit that cannot be climbed out!
So even if Boss Xu brings senior leaders over, Wu Siyuan can only express his gratitude!
Boss Xu returned disappointed.
After word spread about his behavior, many leaders were impressed.
Yes, everyone is eyeing the "holographic projection technology" of [Chaoqun Group].
But most people have overlooked that [Chaoqun Group] is rich, but it is extremely rich!
The financial problems in many places are serious.
Since the end of last year, many places have experienced financial difficulties. As the black swan broke out again and severely hit the economy, local financial problems have intensified.
In 2021, the local fiscal self-sufficiency rate can reach 52.6%.
According to a latest survey, the local fiscal self-sufficiency rate this year is estimated to be 49.9%, lower than last year.
Starting from the end of 2021, many local governments have successively experienced financial difficulties. Issues such as local financial pressure and debt exceeding risk warning levels have once again become the focus of public opinion.
"Local fiscal self-sufficiency rate", which is the proportion of local general public budget revenue to total general public budget expenditures, is one of the indicators to measure local fiscal sustainability.
In recent years, local fiscal self-sufficiency rate indicators have generally shown a downward trend. Although fiscal revenue has experienced double-digit recovery growth in 2021 on the basis of being lower than the base period, the average growth rate of fiscal revenue in 2020 and 2021 is still
It's a single digit.
After the reform of the tax-sharing system, the central government took away a considerable part of the tax revenue, but the burden of economic development and people's livelihood expenditures on local governments has not been reduced. If the tax revenue is not enough, they have to sell land to make up for it. Land transfer fees have gradually become the main input of local governments, and the so-called "
"House prices are linked to land prices." Local governments naturally have the motivation to restrict the supply of residential land and maintain high housing prices and land prices.
But after the black swan incident broke out, the economy went down and the real estate industry became worse and worse.
To put it simply, ordinary people cannot afford to buy a house even after emptying their wallets. Without the house payment, companies have no funds and there is no way to acquire land through land auctions.
Local land transfer revenue has decreased, and financial problems have become increasingly severe.
According to reports released by multiple real estate research institutions, the performance of real estate companies in 2021 is under pressure. Nearly 40% of the top 100 real estate companies have experienced a year-on-year decline in performance, and most real estate companies have not completed their sales targets.
In addition, real estate companies are more cautious in acquiring land, and the amount of land acquired by more than 60% of the top 100 real estate companies has decreased year-on-year.
According to a report from the China Index Research Institute, among the centralized land supply in 22 cities in 2021, state-owned enterprises are the main land acquirers, accounting for 61%.
Because private companies have higher financing costs and banks and other financial institutions have stricter control over private companies, it is expected that the land market will become more polarized in the future.
It is even possible that private companies have no money to acquire land and state-owned enterprises lack the willingness to acquire land, so local development requires acquiring land through urban investment.
Urban investment companies essentially use local money or state-owned enterprise money to apply for loans from banks after acquiring land.
For local governments, it is essentially a transfer from left hand to right hand, and no market-oriented transactions occur. In other words, local governments need to increase land fiscal revenue, but they need to use their own money to acquire the land, but this money has temporarily become a bank.
Without the participation of private housing companies, competition is greatly reduced, and land acquisition at high prices means that housing prices are not low.
Many urban investment companies acquire land, and the prices of the houses they develop are generally much higher than those of nearby properties.
In other words, urban investment companies are not good at operating the real estate market, reducing costs and increasing profits, and it is difficult to obtain large profits. The key is that the current market environment is no longer what it was in the past.
Relying on urban investment companies to acquire land and switching from left to right is not a long-term solution.
But there is no way. Under the current circumstances, local governments rely heavily on land finance.
The degree of financial dependence on land can generally be measured by the ratio of land sales revenue to general public budget revenue.
According to the latest data, among major large and medium-sized cities in 2021, 13 cities have a dependence on land finance exceeding 100%, among which Hangzhou and Foshan exceed 140%.
Previously, I had no choice but to ask the urban investment company to give up my left hand to my right hand.
But Boss Xu’s actions made many people’s eyes light up. How could they forget that such a rich man like [Chaoqun Group] is here!
Private real estate companies and state-owned real estate companies have no money.
But [Super Group] does!
Earn more than 800 billion yuan a year.
This is despite losing the overseas market.
Otherwise, the profit will be higher.
More than 800 billion is nothing to the national land finance.
In 2021, the planned construction area sold through land auctions across the country was 1.765 billion square meters, the land transfer amount was 6.07 trillion yuan, and the average transaction price was 3,437 yuan. Among them, the planned construction area sold through land auctions in first-tier cities was 49 million square meters, and the land transfer amount was 7,900 yuan.
billion, with an average transaction floor price of 16,222 yuan; land auctions in second-tier cities sold a planned construction area of 409 million square meters, a land transfer amount of 2.35 trillion yuan, and an average transaction floor price of 5,748 yuan.
[Chaoqun Group]’s annual profit of 860 billion yuan only accounts for 14% of the 6.07 trillion yuan in land transfer fees!
But [Chaoqun Group] has a good reputation!
We have so many cutting-edge technologies and so many high-quality assets in our hands.
For [Chaoqun Group], banks have always been a vulnerable group and have always been chasing people for loans.
However, [Chaoqun Group] only encountered a shortage of funds when it launched a large-scale [pig farm] project across the country and sought bank loans.
That loan has been paid off long ago.
Now the entire group has very little [short-term debt], not to mention [long-term debt], which is basically none.
People make money but don't know how to spend it. They even spend hundreds of billions on scientific research in universities.
This is originally what the country should do.
As a result, [Chaoqun Group] became one company.
The outside world generally believes that [Chaoqun Group] has too much money and is burning its hands because it doesn’t know how to spend it.
This signal to the bank is that this is a super AAA quality customer, so there is no need to worry about him running away or having no money to pay back.
In this case, the loan amount provided by various banks to [Chaoqun Group] will be very high.
Coupled with the local endorsement, [Chaoqun Group] can loan two to three trillion yuan at will, and it is estimated that there will be no problem at all.
Of course, so many loans are not from one bank.
Most [vulnerable groups] definitely have the courage, but do not have the strength.
If several state-owned and commercial banks lend together, there will be no problem.