The government vacated the location of the bus terminal and the out-of-use bus repair shop on the east side of the terminal. In addition, it allocated a piece of land next to it to form a new rectangular land with an area of more than 60 acres.
piece.
This land was invested by the government into the Jiayi International (Capital) Hotel Project in exchange for corresponding shares.
There's no way around it. China doesn't pay much attention to the value of land now. Shiweitian Building is far away from the center of the city, so the land is not worth much.
However, if the land area provided by the government is not enough, it will not have much of a stake in the project, which forces the government to allocate an additional piece of land to the project.
This project was actually not very large-scale when it was first designed. Sun Dahai only planned to build a small five-star hotel nearby. The number of guest rooms in the hotel would be controlled at about 100 to 120, and it would also have the functions of an international conference center and a training center.
At that time, Sun Dahai did not attach much importance to this hotel. He only positioned it as a high-end reception place to serve employees and partners within his own system. It also served as a function for internal employee training and external exchange activities.
Since the hotel is built in a capital city where there are many places of interest and historical sites, the hotel naturally has the humanistic function of corporate welfare and rewards.
This includes paid or family travel awards given by each of its companies to outstanding employees, as well as travel awards they provide to important partners.
Because in Sun Dahai's original plan, this hotel mainly serves company internal personnel, the hotel's corresponding catering, fitness and many other supporting service facilities will be relatively simplified, because Baiwangyuan, which is across the street from the hotel, will be
share these facilities.
This not only saves a lot of construction costs, but also reduces the difficulty of hotel design, investment and management, and shortens the hotel's construction period.
According to this initial plan, if the land cost of the entire hotel is not considered, the construction cost will be roughly between 80 million and 100 million US dollars after a simple calculation. This is the result of following Sun Dahai's wishes to improve the quality of the hotel as much as possible.
However, now Sun Dahai's mind has changed somewhat. He suddenly realized that his request was biased.
The development route of Jiahua Investment Company is to combine sightseeing agriculture and tourism to form a leisure project serving high-end customers.
However, Jiayi International's hotel and resort projects do not necessarily have to be integrated with the agricultural industry. Jiayi International is an independent brand, and it will also have its own overall layout.
If according to Sun Dahai's requirements, all projects of Jiayi International must be matched with corresponding agricultural projects, then Jiayi International will lose all markets in international metropolises.
Because, in such a city, the cost of human resources and land is very high, and it is difficult to continue to maintain its own agricultural system through normal production and sales.
In the same way, it would be almost impossible for Jiayi International to build its own hotel and corresponding characteristic agricultural projects in such a city.
Jiayi International (Capital) Hotel is an attempt under Sun Dahai's new ideas. He hopes that through such an atypical business model, he can form a node in Jiahua's business network and promote and communicate with customers and his own projects.
Function. Because most of the customer groups targeted by Jiahua will work and live in such metropolitan areas.
The Jiayi International (Capital) Hotel project was able to obtain so much land resources, which is related to the current policy environment that seriously underestimates the value of land.
Before the construction of the Shiweitian Building and the employee dormitory area (Baiwang Court), this area was a typical urban-rural fringe area. Except for a bus terminal and some state-owned and collective factories, the surrounding area was basically farmland belonging to Northwest Wang Township.
.
In fact, the location here is quite good.
It is located between the Old Summer Palace and the Summer Palace, close to the most prosperous Xiyuan area on the outskirts of the capital city. Capital University, Shuimu University and other universities are located nearby, so the roads, transportation, water, electricity and other municipal facilities here are very complete.
And because this place is only a few kilometers away from Shiweitian's capital base in Qianjiachuan Village, at Sun Dahai's strong request, Shiweitian chose this place as the location for its headquarters.
Since 1983, Shiweitian has been carrying out extensive construction work here. After several years of construction, the Shiweitian Building and the first phase of Baiwang Court were built successively, which effectively boosted the popularity of this place.
With the construction of the second and third phases of Pak Wang Court, especially the completion of Yingcai School and Yingcai Sports Ground, the biggest shortcoming of using this place as a residential area, but the nearby primary and secondary schools are further away than the university is made up for.
This also made several units closely related to Shiweitian have the foresight to apply for residential land here in advance and build their own employee dormitories.
With the climax of the construction of employee housing (welfare housing) for various units in the mid-1980s, although it is quite far from the city center, it has gradually become an emerging hotspot for the construction of employee housing for various units.
The overall conditions of the newly developed residential areas around the city are much better than those in the old city center.
Although it lacks some humanistic color and historical accumulation, the environment is clean, the roads are spacious, the newly built buildings are reasonable in layout, and the living facilities are complete. The residents also come from various major units, and their overall quality is relatively high.
Therefore, when it comes to the comfort of life, the emerging residential areas are definitely much better than the old cities.
However, although the area near Shiweitian Building has been developed, the land price has remained unchanged.
Because each unit obtains land from the government through approval and then builds its own residential buildings, it is almost unaffected by land prices.
Not only now, but even in the mid-to-late 1990s, many places in the country did not pay attention to the true value of land.
When the climax of state-owned enterprise bankruptcy came, a large number of state-owned enterprises with high-quality land resources were merged, acquired or contracted by foreign-funded enterprises, private enterprises or individuals at extremely low prices. While creating a large number of future wealth myths, in fact
It is the loss (transfer) of a large amount of state-owned assets.
However, this kind of advantage is not easy to take advantage of. No matter who it is, unless they no longer deal with the government and live far away abroad, they will have to pay it back sooner or later.
Sun Dahai's roots are in China, so he will not seek quick success and take advantage of the country.
Therefore, in China, Sun Dahai generally adopts the method of exchanging shares for land use rights and cooperates with local governments to achieve a win-win situation for both parties.
Due to changes in business ideas, the Jiayi International (Capital) Hotel project also led to several revisions of the design plan. What finally appeared in front of people was a large project with a total investment of US$250 million.