Chapter five hundred and ninety-first development strategy adjustment
It is difficult to keep such a meeting confidential. The government's ten-year 1.5 million affordable public rental housing plan has excited countless squatter villagers.
There are also many people crying about it. On the morning of the 30th, the stock prices of many listed real estate companies jumped short and opened low. Led by the leading real estate stocks of the three major exchanges, Hutchison Real Estate, Jardine Matheson Land, and Wharf, almost the entire real estate sector was in a state of confusion.
In red, only Wheelock Land bucked the trend and rose.
In conference room 203 of Wheelock Building, in response to this government policy, Li Jianhui specially held a high-level meeting of several major real estate companies in the Xinjian Department.
When Li Jianhui and Chen Yulian walked into the conference room, the senior executives of the three major real estate groups participating in today's meeting greeted them one after another.
“I specially invite you to attend this meeting today, mainly to respond to the government’s affordable public rental housing plan, and also to make some adjustments to our strategic development.
In particular, our two major groups, Hutchison Real Estate and Xinjian Real Estate, are somewhat affected by this plan in the Hong Kong market."
The most anxious people here are the senior executives of Xinjian Real Estate. After all, Hutchison Real Estate mainly focuses on mid- to high-end residential communities and commercial buildings, while their Xinjian Real Estate mainly focuses on low-end residences.
Even if the Tiu Keng Ling project belongs to Xinjian Real Estate, it is because Xinjian Real Estate has not been listed on the market, and the actual design and construction was still done by Hutchison Real Estate.
Now that the government suddenly comes up with this plan, it can be said that it has directly reduced the Xinjian real estate market by more than half. Neither Xiangjiang citizens nor real estate speculators will be keen on buying low-end housing with poor living quality in the future.
After all, the citizens who buy this type of housing are mainly financially constrained. Now that there are such a large number of affordable public rental houses to live in, and the conditions are similar to this type of housing, why should they empty their wallets and shoulder a lot of debt to buy a house?
A house like this.
The affordable public rental housing here is not the residence of related households like some areas in Li Jianhui's memory in his previous life.
It is supposed to be for families with limited financial resources to move in, but it is often revealed that they live in public rental housing and drive luxury cars.
This is almost impossible to happen in Hong Kong, where the media is developed and speech is relatively free.
The main reason why this time has such a big impact on the real estate industry is that the population of Xiangjiang is only over 6.2 million.
In the past thirty years, the government has successively built affordable public rental housing that can accommodate more than 300,000 people, also known as public housing estates.
Now we are once again building affordable public rental housing that can accommodate 1.5 million people, so that residents who can live in affordable public rental housing account for two-sevenths of the total population of Hong Kong. This is a quite terrifying statistic.
If Xinjian Real Estate were to build another project like Tianshui City, it would immediately become the public enemy of the entire Xiangjiang real estate enterprise.
Of course, there is a big variable in this, and that is the Bryan government's settlement policy. If the annual two hundred thousand plan is implemented, then Xiangjiang's real estate industry will not fall into a cold winter.
After all, the 1.5 million public rental housing is planned to be built in ten years, and if the number here is increased by 200,000 per year, there will be an increase of two million new citizens immigrating to Hong Kong in ten years.
Wheelock Land's development positioning has not changed much, and its focus is still on developing Wheelock Plaza.
Hutchison Real Estate has made adjustments. From now on, it will mainly focus on high-end villa areas and business buildings, and will no longer be involved in the construction of high-rise residential community projects.
Xinjian Real Estate is also making adjustments. From now on, it will mainly focus on mid-to-high-end residential properties, while also taking into account the development of tourism real estate.
In the future, projects like Tianshui City and Huihong City will no longer exist, and the label of being a price butcher will gradually disappear.
In the Xiangjiang market, Xinjian Real Estate’s main customer groups in the future will be white-collar workers, new immigrants, and international students.
Hutchison Real Estate's customers are wealthy people from all over the world, especially those in the north, who will become Hutchison Real Estate's main customers in the future.
Hutchison Real Estate does not need to develop many projects in Xiangjiang, but it must be of high quality. For example, in the Tiu Keng Ling project, it can be said that Li Jianhui has created quite good conditions.
In order to better develop this area, we are currently communicating with the government and will rename it. In the future, it will probably be called Jinghua Village.
In the future, Hutchison Real Estate's main markets will also be in major central cities, and only these places are more suitable for Hutchison Real Estate's market development positioning.
Neither Gan Qinglin, the president of Xinjian Real Estate, nor Li Huidong, the president of Hutchison Real Estate, have any opinions on this strategic adjustment.
Especially Gan Qinglin, as the former president of Hutchison Real Estate, he has always been reluctant to take the low-end route. After this adjustment, Xinjian Real Estate can also flex its muscles in the Xiangjiang market instead of just developing the Tianshui City project.
However, Wheelock Land President Li Qihai is not willing to accept this. Both Hutchison Land and Xinjian Real Estate are walking on two legs. How can Wheelock Land only develop Wheelock Plaza.
After Li Jianhui finished speaking, he immediately said: "Sheng Li, even though our Wheelock Plaza project has a large investment, it will take a relatively long time to recover the cost.
But we at Wheelock Land cannot just walk on one leg. I think Wheelock Land will not only focus on the Wheelock Plaza project, but also get involved in commercial real estate.
We at Wheelock Land have rich experience in this regard. You must know that the Federal Building and International Building used by groups such as Phoenix and Huaxin belong to our Wheelock Land."
It's just obvious that Li Qihai's opinion was not agreed with by Li Jianhui. The main reason is that whether it is Wheelock Plaza or a commercial building, the cost recovery time is relatively long. Wheelock Land's own strength is still limited and it simply does not have enough financial resources.
Support the group's dual-line development.
Moreover, it is enough for Hutchison Land to enter this area. There is no need for several companies to enter this area. Wheelock Land will focus on Wheelock Plaza for a long time to come.
Especially after the northern market is opened in the future, Li Jianhui will build at least two hundred Wheelock Plazas there.
As for some of the buildings and shops owned by Wheelock Land, after most of the headquarters are relocated to the Tung Wah Road headquarters building on New Year's Day next year, these will be sold to Hutchison Land and Xinjian Real Estate, making its future properties more pure.
, to prevent the senior management from thinking all day long.
Seeing that Li Qihai's proposal was rejected, some senior executives who were still cautious in their hearts immediately gave up their plans to speak out. For them, it is better to develop the main business set by Li Jianhui and expand other industries after their own group is strong.
carry.
As for reserve land, Li Jianhui still requires Hutchison Real Estate and Xinjian Real Estate to continue to acquire as many plots as possible. If there is insufficient funds, he will ask several major banks to provide support.
Compared with the outside world, Li Jianhui is not too worried about this affordable public rental housing plan. Because of interests, the North will definitely restrict the endless land sales of the Bryan government.
Now is also the last window period for the Xinjian Clan and even the Donghua Association to acquire land on a large scale. Once the negotiations are over and the joint statement is released, there will be no chance.
Moreover, the construction of affordable public rental housing has only taken ten years. Who knows whether there will be changes in follow-up policies, especially after the negotiations are concluded. I am afraid that the Bryan administration will no longer want to maintain social stability.