Chapter Four Hundred and Sixty Eighth Chapter Negotiations
“Mayor Zhang, Mayor Yang, I also very much hope that Mr. Zhao’s design blueprint can be perfectly realized!
However, Mr. Zhao’s blueprint is too grand, and we cannot afford to add billions of dollars to the budget all at once!
This is not the most important thing. The old canal lighting project is beautiful, but ten kilometers of lights consume a large amount of electricity every day, and the operating expenses will increase a lot!" Yu Qingyang said with a wry smile.
"Mr. Yu, although the operating expenses will increase a lot, the newly added four-kilometer-long pedestrian street will also increase a lot of profits, right?" Yang Yabin said.
"Increase profits? Mayor Yang should have a rough idea of how many households there are in these four kilometers, right? I estimate there are two thousand households, about right?
How much is the demolition and resettlement fee? Has Mayor Yang calculated it?
There are about 1,500 acres of land, and the demolition cost will be more than one billion! This is equivalent to 660,000 acres!
When did our land in Jeju become so valuable?" Yu Qingyang asked a series of questions, leaving Yang Yabin speechless.
As early as when he decided to invest in Jeju, Yu Qingyang made a detailed investigation of Jeju. After deciding to develop the old canal cultural corridor, he made a more detailed investigation of both sides of the old canal.
The east bank of the old canal is not like a new fishermen's village. A large part of it is illegally built. The east bank of the old canal is full of work unit dormitories, and most of the residents are laid-off workers.
There is a jingle about Jeju: from Tianjin to Nanjing, there is no Jeju essence.
From the jingle, we can see how difficult the old Jeju people are to be trifled with.
The area on the east bank of the old canal was not developed until later generations because the cost of demolition was too high.
It was so high that in later generations, there were tens of thousands of rooms in Jeju, and developers did not dare to touch this land.
“This still does not take into account the area occupied by the expansion of New Canal Road and the pedestrian street. After deducting these areas, the usable area is less than 1,000 acres.
In addition, the land to the east cannot be built as super high-rise as Zhao Shengli mentioned. At most, it can only be a small high-rise!
Calculated based on floor area ratio 2.0!
I can’t tell you how much the profits have increased!”
Yu Qingyang's words were very sharp, which made Yang Yabin look a little ugly and unable to get off the stage.
"Mr. Yu, don't be anxious yet!
We in Jeju all like Mr. Zhao’s design plan!
And it can be seen that Mr. Yu also likes it very much, so we have something in common and a basis for further discussion!
As for the increased funds and low profits! These are not problems!
I think these can all be resolved through negotiation!" Zhang Hua came out to smooth things over.
"Yes! We only got together because there was a basis for continued discussion!
But since we are talking, let’s talk openly and honestly, and let the matter be discussed openly!
Don’t always think about how much money we investors can make!
660,000 acres of land. Nowadays, the second-tier cities along the coast and the top twenty second-tier cities only have this price, right?
We are Jeju City, I may sound harsh, but I am not targeting anyone! Can Jeju become a third-tier city?"
"Haha! Mr. Yu, Jeju City is a third-tier city, there is no doubt about this!" Zhang Hua said with a smile.
"Mr. Yu, the profit I just mentioned does not mean how high your profit is!
I mean, Mr. Zhao’s design plan took your investors’ profits into consideration!
If Mr. Yu feels that the profit is low, or there is no profit, it doesn’t matter!
We can talk! Negotiation and negotiation are always necessary!" Yang Yabin also said at this time.
"Mayor Yang is right, the key to negotiation is the word "talk"!
If Mr. Yu has any ideas or requests, you can put them forward!
We feel it is appropriate. If I can make a decision, I will make a decision now. If I cannot make a decision, I can report it to Secretary Lin and convene a standing committee to discuss and make a decision!"
Yu Qingyang didn't say anything. He got up and went out to ask for a piece of paper and a pen from his secretary, then turned back to the conference room.
Neither Zhang Hua nor Yang Yabin knew what Yu Qingyang was doing, and both looked at him curiously.
Yu Qingyang took a pen and drew on the paper, "This is the old canal, this is the small river, this is the newly built canal road according to Zhao Shengli's design! The new canal road is fifty meters wide, the pedestrian street is thirty meters wide, the pedestrian street and the new canal
The road between the facade and the house is 50 meters, so this removes 130 meters.
Then, what is left is the land used for real estate development on the east side of New Canal Road! An irregular trapezoid, with a wide area of more than 50 meters and a narrow area of about 70 meters! About 4,000 meters in length
, let’s calculate it as four thousand meters!
This plot of land has a total area of 440,000 square meters. The small high-rise building is calculated according to the floor area ratio of 2.0, which is 880,000 square meters. Our current house price in Jeju is more than 1,500. If we calculate it based on 2,000, it is 17.
Point 600 million.”
"That's pretty good! There's still about 700 million in profit!" Yang Yabin said casually.
"Haha! Mayor Yang, one billion is just the demolition cost, not the construction cost! Don't forget, we still have to pay taxes!" Yu Qingyang couldn't help laughing.
Yang Yabin blushed and secretly regretted that he had committed a taboo just now and said something mindless.
People in official circles and leaders speak slowly. This is not because they are born slow, but because they have to turn every word in their heads several times before speaking it out.
You will be like Yang Yabin, who is a big taboo in the officialdom. Trouble comes from your mouth, and your political opponents may catch you and attack you no matter what you say.
The attacks by political opponents are not like those of Yu Qingyang, who mocked him as a life-and-death attack.
"The project cost per square meter is around 800, which is 700 million. If you do the math, the two leaders will know that the money will be gone before taxes are paid!
Of course, there is also this land!" Yu Qingyang clicked on the paper, "Pedestrian street facade house, three-story antique building, based on the price of Jeju facade house at 4,000, it is 2.4 billion. After deducting
The construction cost is about 2,500 yuan per square meter, and the construction cost is 1.5 billion. A four-kilometer pedestrian street also costs tens of millions, so let's not count it for now.
Calculated in this way, our investment and income are relatively clear. For these four kilometers alone, we have increased a total of 3.2 billion, and the receivables are 4.1 billion, not counting taxes.
Urban land use tax, land deed tax, business tax, urban construction tax, education surtax, stamp duty, real estate tax, land value-added tax, and corporate income tax.
Mayor Zhang, Mayor Yang, I really can’t see where our profits are. If we invest 3.2 billion and it’s not enough to pay taxes in the end, we have to pay taxes and bank interest.
Two leaders, we did not come to Jeju for charity or poverty alleviation!"
Zhang Hua and Yang Yabin looked at each other, a little embarrassed. If they calculated that there was a profit, even if the profit was lower, they would have something to say and they could do their work and persuade the other party to invest.
Now that we have calculated it, we have to pay money, and the compensation is not a small amount. How can we ask them to say anything?
Some people say that it can be tax-free and levy first and then reimburse. This policy was stopped by the State Council as early as 2000.
Real estate is neither a high-tech enterprise nor a public welfare investment, so it cannot enjoy the tax exemption policy at all.
Maybe some local governments, for the sake of local development, went against the trend and selectively ignored the documents of the State Council, but Zhang Hua was definitely not included here.
If you want to make a difference in your official career, you will never leave a stain on it.
As for using land to compensate for the loss, based on the land price in Jeju, how much land is needed to compensate for the loss of nearly one billion?
Zhang Hua and Yang Yabin felt helpless and frustrated when faced with the account calculated by Yu Qingyang.
After a moment of silence, Zhang Huacai pointed to the sketch drawn by Yu Qingyang and asked: "Mr. Yu, the floor area ratio you just set is 2, if the floor area ratio of small high-rise buildings can be increased to 2.5!"
If calculated according to 2.5, can it be compensated to some extent?
In addition, the residential area of this area can be appropriately reduced, and then commercial front-end houses can be developed near New Canal Road, which can also increase some profits, right?"
Zhang Hua's purpose is very clear. As long as the investment output calculated on paper does not suffer a loss, then there will be a profit, and the profit can be found to compensate for it.
"Mayor Zhang, first of all, let's talk about reducing the area of residential areas and rebuilding facade houses. In fact, we only need to calculate it, and it is actually similar to what I calculated just now.
As for increasing the floor area ratio, I'm sorry, Mayor Zhang!
Every house we build in Chinese is our signature!
We absolutely do not allow illegal increases in floor area ratio for the sake of profit. The state clearly stipulates that the floor area ratio of small high-rise buildings is 1.5 to 2.0. We chose 2.0 as the upper limit. If we increase the floor area ratio, one is illegal, and the other will also reduce the living space of the owners.
Comfort, such as lighting, and the green area of the community will be affected." Yu Qingyang refused righteously.
Zhang Hua scratched his head, feeling a little headache, and really didn't know how to continue talking.
"Mr. Yu, I wonder if you have any good suggestions?"