In the 1980s, the main businesses of Xiangjiang's business community were no longer textiles, clothing and OEM production. Real estate and finance had become the core of business development.
According to information from the Xiangjiang Economic News' Xiangjiang Top 100 Rich List, 76 of the top 100 richest people have assets mainly related to real estate and finance.
Among the top ten families in Hong Kong, only the Kadoorie family is not involved in these two major industries. The other nine are mainly engaged in finance and real estate. Although Li Jianhui has many industries, he sold off the Huihong Group, and real estate and finance are equally important.
occupy a dominant position.
Thanks to real estate and finance, Xiangjiang has developed rapidly in recent years, and its economic growth rate exceeds that of the other three Asian Tigers.
However, this kind of economic ability to withstand risks is really not very good. Although the business community in Xiangjiang is united to safeguard the economic interests of Xiangjiang, the impact of the distant thunder has already existed. Until a conclusion is reached, turbulence is inevitable.
As a result, the cold winter of housing prices in Xiangjiang caught people off guard, and the stock market in Xiangjiang was also in a state of ice and fire. When hot money retreated and the big guys no longer protected the market, real estate stocks became the target of everyone's abandonment.
Because real estate and banks are closely linked, both banks have plummeted. HSBC and Standard Chartered, which are issued in Hong Kong dollars, have been the first to bear the brunt.
Listed companies such as Li Jianhui's Xinjian Bank, Hutchison Real Estate, Wheelock Land, Whampoa Holdings, and Wheelock Holdings also suffered. After the Spring Festival, the market value of major companies fell by more than 10 billion Hong Kong dollars in the entire first month.
The three major indexes of Hang Seng, East Asia and Kowloon also plummeted. Among them, the Hang Seng Index was the worst, falling by nearly 400 points, currently only 961.35 points.
Although the East Asia Index fell by fewer points, the overall decline was not lower than that of the Hang Seng Index. The East Asia Index, which barely broke through 1,000, has now fallen back to 732.65 points.
The Kowloon Index is not much better. As of today's close, it has fallen back to 503.83 points.
The most frightening thing is that there is currently no turning point in sight, and the stock market will probably continue to decline.
After nearly a month of fermentation, the housing prices in Xiangjiang can no longer hold up. The first to sell at reduced prices are those speculators who hold a large number of houses in their hands.
These people originally thought that Xiangjiang Real Estate would develop for ten years, but they never expected that it would only enter a new round in 1977 and enter a period of decline so quickly that many speculators were trapped in it.
Everything here is based on the market. When the crisis is coming, price reduction and large sales in order to withdraw funds as soon as possible have become the first choice of many speculators.
Suddenly, a large number of houses for sale emerged in Hong Kong Island, Kowloon, the New Territories and other places, and the prices were much lower than those in the same segment.
To say whether there is a shortage of housing in Xiangjiang, it is definitely a shortage. After all, in the past few years, the number of people immigrating to Xiangjiang every year has reached hundreds of thousands, especially last year, it exceeded 200,000.
But everyone can see the current situation clearly. Not to mention that there are still many people who can't afford the down payment. Those citizens who had some savings and were ready to buy a house have temporarily stopped thinking about it. As a result, the number of houses for sale is increasing, and
There are very few people buying houses.
In such a form, the Xiangjiang Real Estate Construction Chamber of Commerce, which no longer had much sense of existence, held its first meeting in 1981.
When he came to No. 19 Des Voeux Road Central again, Li Jianhui no longer had the excitement and reverence he had when he first came.
At that time, the Hong Kong Real Estate Construction Chamber of Commerce, the Jockey Club, and the Yacht Club were the three top associations in Hong Kong. Together with various legends from previous lives, Li Jianhui had a longing for them.
However, now, with the establishment of Tung Wah Association, Heung Wah Association, New Asia Association, Hua Xin Association, and the Federation, the three top associations have become a thing of the past. It is these five major associations that represent the future of Hong Kong.
With the development of Xiangjiang real estate in recent years, the membership of the Xiangjiang Real Estate Construction Chamber of Commerce has also increased a lot, and not only individuals, but also some real estate companies.
For example, Hutchison Real Estate, Wheelock Real Estate, and Xinjian Real Estate owned by Li Jianhui are also members of the Construction Chamber of Commerce.
The reason for this is mainly because people such as Li Jianhui, Li Guobao and others do not serve as the chairman of the board of directors of their real estate companies. In order to better communicate, unit members were added to the basis of individual members.
Originally, Li Jianhui came today just to listen with two ears. After all, he had already prepared for this situation. Although he came earlier than he remembered in his previous life, it did not have much impact on him.
Anyway, except for Tianshui City, whether it is Huangpu Garden under development or Huihong City in Tseung Kwan O, they are almost sold out.
Moreover, his Hutchison Real Estate and Xinjian Real Estate have already deployed in Baodao and Japan, and will focus on developing these two markets in the next few years. He is not worried at all that Xiangjiang real estate is in a trough.
But after Huo Yingdong, Charter King, Guo Desheng, Chen Zengxi, Zheng Yutong and others spoke, many people asked him to express their opinions.
Li Jianhui was not able to refute everyone's face, so he spoke up and said: "I believe everyone knows the reason why this situation has arisen, and I won't mention it anymore.
This matter still depends on negotiations between the two parties. As long as there is uncertainty, the real estate industry in Xiangjiang will probably remain at a trough.
The current price reduction is just the beginning. As time goes by, I believe that housing prices will fall further. I personally predict that the lowest housing prices may be half or even one-third of the current price.
If you want to have a good development in real estate, you can try to go out of Xiangjiang and continue development in other places.
Of course, if you have sufficient capital, you can also take a gamble and continue to acquire land for development in Hong Kong. If you survive this disaster, you may be able to soar into the sky."
Many people present felt that Li Jianhui was being alarmist and cutting prices by half or even two-thirds. They thought it was absolutely impossible. If the price reduction was so severe, I am afraid that more than 80% of real estate companies would go bankrupt.
As for the development of real estate in other areas, except for these first-class real estate companies, few have the courage.
Real estate is no different than others. It involves a lot of things, and in many areas it is not possible to sell off-the-plan properties. It requires real investment. The funds required here have blocked countless developers. They are not as wealthy as Li Jianhui's real estate company.
If they continue to develop in Xiangjiang, they are worried that if it turns out to be what Li Jianhui said, they will be trapped and die.
The current situation has left countless real estate company leaders hesitant to decide whether to continue development or whether to follow speculators and sell at reduced prices. This makes it difficult for many people to make a decision.
Compared with most people, Li Guobao, Lei Juekun, and Zhang Guangwen are much calmer. They are not familiar with Japan and there are risks in development. The Baodao market is still good.
Although they have not invested in the Taipei MRT, it does not prevent them from acquiring land around the subway station. The price is a bit expensive, but the financial situation is still very good.