Chapter 753 The farm worth 500 million Canadian dollars
Chapter 753: A farm worth CAD 500 million
…
"Liu, are you serious? Do you really plan to buy this land?" Old Hart looked serious when he asked the question again.
"Of course, isn't it possible?"
"It's not impossible, but for such a large-scale land transaction, you and I definitely can't do it alone. I suggest you find a law firm and an investment management team and let them be responsible for buying the land for you. After all, you are not familiar with Canada.
Especially the various regulations in Vancouver, especially the tax laws. Moreover, there is an investment management team that can also help you get these lands at the lowest price. Although it will cost some money, it can protect your interests to the greatest extent.
!”
What Old Hart said was very pertinent, Liu Dong naturally heard it, and he also understood these truths. Originally, he planned to complete the transaction with Old Hart first, and then go to a lawyer and a professional organization responsible for investment and acquisition, but now
It seems that if Old Hart's farm can be included in this collective acquisition, the price should be more favorable!
In fact, Liu Dong’s guess was correct. After Liu Dong showed his bank deposit certificate and indicated his intention to invest in Vancouver, the Immigration Bureau immediately applied for a permanent green card for him as quickly as possible.
With the green card, there are no obstacles to buying land. However, because the land area Liu Dong acquired at one time is so large, it will take a day or two to measure it.
When the land department in Vancouver calculated the Maude Valley that Liu Dong planned to buy and the slopes outside the Maude Valley, Liu Dong also got the detailed data he wanted. Including the water area, the total was 521,800 acres.
, considering that these are basically undeveloped wastelands with inconvenient transportation, there are even more than a dozen peaks with a height of about 200 to 300 meters and a large area that are almost impossible to develop. So Liu Dong finally
At a price of 1,000 Canadian dollars per acre, it cost 521.8 million Canadian dollars to buy this piece of land, which is comparable to Hong Kong.
If you include Liu Dong’s purchase of the 6,500-acre farm owned by Old Hart, as well as the houses and some cattle and sheep on the farm, the total amount spent is 78.9 million Canadian dollars!
So in this land purchase, Liu Dong spent a total of about 600 million Canadian dollars to buy 528,300 acres of mountain forest land.
More than 25% of these 528,300 acres of land belong to mountainous areas. Unless it is used for tourism development in the future, it will have no value at all, because the Vancouver government was already strict when the contract was signed, although these lands belong to Liu Dong privately.
But you must also abide by the laws of Canada and Columbia. If you cause environmental problems due to deforestation, you will have to pay a fine, and according to Canadian law, the fine can be quite large.
In addition to these 25% of mountainous land, there are also about 7% of water. Subtracting the land area for future construction of houses and roads, only 65% of the land that can be used by Liu Dong for agricultural and animal husbandry production is 344,000 acres.
!
Although it sounds like a lot, it is not a big deal in Canada. Whether it is Canada, Australia, or even the United States, farms with millions of acres are not uncommon. Hundreds of thousands of acres can only be regarded as large farms!
However, Liu Dong, who took over a huge piece of land comparable to Qingzhou County for the first time and bought it out of excitement, had no idea how to run it.
Of course, he won't, but there are experienced people around him!
"Liu, why are you here?" Looking at Liu Dong getting off the big black horse, Old Hart asked in surprise, then smiled and said, "You're not here to drive us out now, are you?"
"Haha, Mr. Hart misunderstood. Even if you stay here for a long time, I can only welcome you! Then I won't have to worry about the management of my farm!"
Liu Dong's words clearly stated his purpose.
After nodding, Old Hart waved to Liu Dong, "Liu, come with me for a walk. I'm leaving here soon. I'm really reluctant to leave!"
Seeing the melancholy in Old Hart's eyes, it was not difficult for Liu Dong to understand this emotion. No matter who wants to leave the place where he has lived all his life, he will be reluctant to leave!
"Liu, in Chinese terms, you are really impressive. You bought such a large piece of land at a young age. As long as you manage it well in the future, you will live a very wealthy life!"
Although agriculture also has risks, as the foundation of all industries in society, although agriculture cannot make you rich, it can definitely ensure a good harvest despite droughts and floods. As long as there are no natural or man-made disasters, there is basically no possibility of losing money. It is just a matter of making more or less.
After listening to Old Hart's words, Liu Dong nodded. He didn't care about how much money he could make by running this farm. He just wanted to be able to repay the 260 million Canadian dollars he currently owed to the Vancouver government, plus an annual interest of 5%.
Just go up.
After paying off the loan, this huge farm is completely in your own hands!
"Liu, it's not that simple to run a large farm well. The knowledge involved is even more complicated than running a company! First of all, what you have to consider is how to make your farm profitable? This is the core issue.
Where!"
Old Hart's words really confused Liu Dong. Although he was from a rural area, his parents were both teachers and they were not locals, so he had no food fields at all.
In addition, Liu Dong bought this farm out of pure excitement. Originally, he thought that it would be just like other farms, raising some free-range cattle and sheep, and then slaughtering them when they grow up. Now it seems that this is not the case at all.
.
Seeing Liu Dong's humbly asking for advice, Old Hart became more interested in talking about sex.
"Look at my farm. Although it is only 6,500 acres, which is not too big, my shrub farm is indeed one of the best-run farms in the entire Greater Vancouver area. Do you know why?"
"I don't know!" Liu Dong simply shook his head.
"It's actually very simple, diversify operations and develop ecological agriculture! ... Take my farm as an example. Among the 6,500 acres, there are 2,000 acres of high-quality Canadian wheat, 1,000 acres of soybeans, and the remaining 3,500 acres of pasture and a small amount of
forests, and in these pastures and forests, I raise about 400 Angus cattle, 300 dairy cows, and 500 Boer goats, as well as 2,000 chickens, 20,000 pigs, and 4 horses!”
"I feed pigs with soybeans and then use pig manure to fertilize the fields. In this way, my farm does not use chemical fertilizers and pesticides. It is a 100% pure ecological and pollution-free product. Such products are very popular throughout Canada and even the world.
Its price is 20% higher than the price of ordinary agricultural products!”
After listening, Liu Dong nodded. With the affluence of life, people naturally tend to pursue healthier and safer food. The popularity of green food is inevitable.
But what really surprised him was that Old Hart actually raised so many pigs on his farm. Don’t Westerners all like to eat beef?
Seeing the confusion on Liu Dong's face, Old Hart seemed to have guessed what he wanted to say, and immediately said with a smile: "Haha, in fact, most of the income on my farm is earned from raising pigs, accounting for 70%.
!”
"so much?"
"Of course, and the risks of raising cattle are too high!"
On the contrary, although Liu Dong is in China, he has often heard of an outbreak of mad cow disease in a large animal husbandry country in the West when watching the news!
"Then how much money can you make from the farm in a year?" This is Liu Dong's most curious question.
"Haha, dry farming does not have the same opportunity to make huge profits as running a commercial company. But under normal circumstances, it will not make you lose money! Take me, for example, I can earn 30 million Canadian dollars from a bush farm every year!"
"30 million? That much?"
According to the exchange rate between Canadian dollars and Chinese dollars, 30 million is nearly 200 million Chinese dollars. This is not an ordinary profit. In the past, none of the companies under his control, except Rose Jewelry, could achieve this level of annual profit.
"I'm talking about an income of 30 million Canadian dollars, and there are still costs in it! After the costs, the annual net profit is only about 4 million Canadian dollars!"
Hearing this, Liu Dong nodded suddenly. This was more or less the same. If operating a 6,500-acre farm could really make an annual profit of 30 million Canadian dollars, he would even have the idea of continuing to invest in agriculture in Canada.
"But don't underestimate the 4 million Canadian dollars. The farm area you bought now is 81 times the size of mine. If you can manage it as seriously as I do, the annual profits you can earn will reach 300 million Canadian dollars!"
"Mr. Hart, I don't dare to think about 300 million Canadian dollars. I can exchange the money within the bank's limited time and maintain the normal operation of the farm every year! Moreover, I still have 520,000 acres of land.
There are more than 180,000 acres that cannot be used. So even if I manage it as well as you do, I will only make 200 million Canadian dollars a year!"
“C$200 million is incredible!”
"C$200 million is a lot, but I'm just a novice in running a farm, and I don't have much time to stay here to take care of the farm, so C$200 million a year is definitely out of reach!" Liu Dong shook his head.
"Haha, actually you don't need to worry about this. There are only a lot of experienced farmers in Canada, and there are more experienced farm workers. If you don't have time yourself, you can pay to hire someone to manage the farm for you. Anyway,
Nowadays, it is easy to communicate with the Internet. You only need to know the situation of the farm through the phone and the Internet every two or three days or a week. You don't have to do it yourself at all!" Old Hart said with a smile.
"Is this okay?" Liu Dong asked.
"Of course, isn't this the information age? If I hadn't worked on a farm all my life and liked taking care of it myself, I would have found someone to take care of the farm for me!"
"Great, Mr. Hart, you have rich experience and know many people here. Can you help me introduce some experienced farm workers?" Liu Dong said immediately.
"Of course, no problem!" (To be continued.)
ps: Thanks to book friends ‘Mo Nao’, ‘Jian Yuan’, ‘Mo By Shan’ (two pieces), ‘Tanghailin’ (two pieces) and ‘Dream: Apocalypse’ (two pieces) for their monthly support, thank you very much!
Sorry, I don't have enough time, so I can only update once today! I owe you 3 more chapters, and Dongren will make up for it as soon as possible!