After chatting until about eleven o'clock, we changed places and went to the private room to eat.
Today we focus on seafood, and the chef is a master of Fujian cuisine. Home-cooked dishes such as boiled snails, fried sea oysters, spicy stir-fried scallops, and steamed grouper are all exquisite and delicious.
Su Yehao prefers to eat fried squid with soy sauce and abalone with roasted sauce. After tasting it, the Buddha jumps over the wall to moisten his mouth. It is a treat.
After two and a half glasses of white wine, Su Yehao felt a little drunk.
After drinking and eating, he was planning to find a place to take a nap. Boss Xu, who had been holding back for a while, finally found the opportunity to ask:
"Mr. Su, before you asked us to develop long-term rental housing in Hengda, what is the significance of this? Forgive me that my vision is not broad enough. After much thought, I have not guessed what the profound meaning is."
Su Yehao put his hands in his pockets and walked forward on the grass of the golf course. He could hardly open his eyes under the dazzling sunlight, and said with a smile:
"The real estate market is doing well now, and it is expected to be very good in the next ten years, but businessmen cannot just look at the present."
"This financial cycle has been booming for six or seven years. There may be problems one day. Hengda should be a little more stable. I think the rental housing market has some potential. Now it costs more than ten or twenty to go to first- and second-tier core cities.
For a small, well-decorated house built by Wan, the rent in the next year may be 30,000 to 40,000 yuan. After the principal is recovered, all that is left will be pure profit, and the house itself may also have a chance to increase in price."
"There are so many real estate companies in the mainland, and most of them are doing one-off deals. The market is starting to go crazy, which makes me a little worried. I suggest you transform in this area and build a chain rental brand. You don't have to worry about funding. If Hengda
With one or two million small apartments, you will definitely be firmly entrenched in your position as the number one real estate company in the country. You will ride through bulls and bears, and your future will be bright..."
Very simple arithmetic problem.
Apartment rent in first- and second-tier cities will average 2,000 yuan a month in the future, which is 24,000 yuan a year.
If there is an occupancy rate of 80%, and 800,000 of one million apartments are rented out, the annual rent collection will be close to 20 billion yuan, in addition to additional income from property management, parking fees, advertising, retail, etc.
Although the initial investment is also huge, fortunately, after the one-time investment is completed, the return period may last for hundreds of years, and the average rate of return exceeds that of the hydropower station invested by Su Yehao.
What's even better is that no one is competing with him yet. If you use the banner of solving the rental problem, you have the opportunity to bypass the land auction again and enjoy preferential loan interest rates.
In the future, if we develop and mortgage loans at the same time, the snowball will grow in a few years. By then, we will cooperate with the real estate agency of Sihai International, and there will be an Internet platform to help promote it, so finding tenants will not be a problem.
Others cannot play with such a big deal, and if the houses cannot be sold after development, they will be forced to a dead end by financing costs.
But Su Yehao is not worried about this.
He doesn't even need to say hello to the bank. If he spreads a little bit of news, the people from the bank will line up and come to him, crying and shouting to give him the money.
As for giving out umbrellas on sunny days and collecting umbrellas on rainy days, no one would be so bold.
Now that Su Yehao coughs, the entire A-share and Hong Kong stocks will shake. If he stomps his feet, the GDP target growth rate may also be lowered by one or two points.
The so-called "financial strategic level" title is no joke.
It is worth mentioning that SSSSS Asset Management Group manages more than US$311 billion in property worldwide.
At least there are no banks in the mainland that are so stubborn that they dare to take the risk of triggering a financial shock by taking out Su Yehao's loans. The so-called words "too big to fail" and "rich enough to rival the country" are now tailor-made for him.
Since Su Yehao said there was no need to worry about funds, Boss Xu was instantly reassured and replied with a smile:
"As a real estate developer, who doesn't want to be like Sihai International, Sun Hung Kai, and Wharf, who develop a project and then just sit back and collect the rent? It is much easier than us tossing and turning. The main reason is that the situation does not allow it. Once we rent and sell
The ratio gap is too big, the rent is higher than the loan interest rate, and secondly, it takes up too much funds. However, since Mr. Su has made a decision and is willing to help, I will follow it and make a report for you after the investigation is completed.
?”
Su Yehao nodded and said:
"Okay, no need to call you, call me old. Regarding the rent-to-sale ratio, the situation in each country is different. Many people in Europe will never buy a house in their lifetime, but we buy it if we can. Even if we don't have money, we have to get a loan.
.”
Boss Xu said:
"Yes, it is said that a low rent-to-sales ratio proves that housing prices are too high. Obviously there is a misunderstanding. People are crowding into big cities. Once they buy a house, they live there for a lifetime. Many of them no longer enter the circulation market. The per capita income may not match the housing price.
, but even if only a small group of people have money, the number of potential home buyers is still astonishing. There are not too many houses in first- and second-tier cities, but too few. Settlement, education, etc. are all tied to houses, and renting is not convenient enough.
"
Su Yehao was a little drunk, but his head was still clear. After listening, he added:
"Then again, if we don't set a threshold, I'm afraid that in a few years, the population of places like Shanghai, Sijiu City, and Pengcheng will expand to 70 or 80 million, and small and medium-sized cities will quickly lose their appeal. In the final analysis
It’s also a matter of overpopulation.”
Boss Xu then said:
"If small apartment-style residences are developed on a large scale, would it be more convenient to use prefabricated buildings? They can be built directly in other places and built on top like building blocks."
Of course Su Yehao knew what prefabricated buildings were. He thought about it and replied:
"Transportation is more troublesome, the cost will be higher than that of ordinary buildings, and the sound insulation and earthquake resistance are also slightly worse. I feel that it is not necessary. I suggest that more units with two staircases and eight households, or four staircases and sixteen households, with corridors be developed.
Make it transparent from north to south. When the time comes, we will learn from the management of foreign long-term rental apartments. Any tenant who does not follow the rules will be kicked out. Since it is a long-term business, it is important to establish a good reputation. In addition, there is also noise between floors.
The comfort level must be improved.”
Boss Xu originally thought he wanted developers to live in the building. After hearing these words, he realized that he really planned to build some small residences, otherwise it would be difficult to achieve north-south transparency.
There is definitely no problem in building it, but the cost will be slightly higher than that of a commercial and residential building that maximizes space utilization.
Based on the average cost of a unit of 150,000 yuan, if one million units were built, the total investment would be 150 billion yuan. This amount simply made his head spin.
Fortunately, with Su Yehao's support, although I thought it was exaggerated, it didn't seem to be a big deal.
Boss Xu can already imagine in advance how envious his colleagues will be once this plan is announced...