The Industrial Giant Reborn

Later, Chen Zhiwen also looked at the financial report of the past six months at Land's headquarters. Although Land's scale is large enough, much larger than Swire Land and the former Hutchison Whampoa, its business is much simpler, mainly collecting rent. , Originally, Milk International Company still had a lot of land under development for residential projects, but due to the real estate crisis in the past two years, it has stopped, which makes the financial report relatively simple, even Chen Zhiwen can easily and quickly understand it.

The current problem of real estate is that it has too much debt, and bank interest rates are still at a medium to high level. In 1984, inflation in Europe and the United States has fallen, and interest rates have also declined. However, this also requires a process, and it will take several years to reach a low level. The low level before the oil crisis and the glory of Hong Kong's real estate market in the late 1980s and early 1990s were actually partly related to low interest rates.

There is no need to do anything for Land now. Just wait until 1985. After that, the real estate market will recover and become popular very quickly. In addition, interest rates will decrease. It will be difficult to think about Land's financial problems by then.

As for Disney’s investment in Hong Kong arranged by Chen Zhiwen, he has not informed anyone in Hong Kong. Disney is still collecting data on this matter. If it is exposed first, it may affect Disney. It is estimated that by the beginning of next year, it will be almost the same. You can tell Land and Land, and then the two parties can discuss how to cooperate.

Although both are their own wholly-owned subsidiaries, they can be registered in different places and have different tax payment models. Therefore, both parties also need to audit this investment from their own perspectives, because Disney will inevitably need to be listed in the future, and Land will Most likely not.

However, we can’t make it too obvious. The U.S. tax authorities are not fools. There is no need to offend them for a small profit. The biggest benefit of this cooperation is not the tickets and licensing fees, but the fact that through this project, we can win blockbusters. Land, the construction of hotels, shops and other properties can even drive up surrounding land prices, and most of this profit comes from the land purchase.

Time passed very quickly, and soon it was December. At about the same time in history, the mainland and the United Kingdom finally reached an agreement on many issues after 22 rounds of negotiations, and officially signed an agreement on Joint Statement on Hong Kong’s Future.

On July 1, 1997, Hong Kong will return to the motherland. During the transition period from now to July 1, 1997, the British Hong Kong government will continue to manage Hong Kong and will abide by many of the agreements in the "Joint Declaration." After the return, , is to maintain the policy of Hong Kong people governing Hong Kong. The governor (chief executive) of Hong Kong will continue to be Hong Kong people and remain unchanged for 50 years.

At this point, the problem of Hong Kong's future that has troubled countless Hong Kong citizens and capital has been solved. In addition, the mainland's reform and opening up has achieved good results in the past few years, and most people's confidence in Hong Kong's future economy has been restored.

All unstable factors such as finance, real estate, investment, and employment in Hong Kong have been settled. Once the international agreement is signed, although there may be some wrangling later, basically there will be no major problems. Although there are occasional exceptions to Europe's non-infringement agreements, after all, that was decades ago, and the interests involved were too great. Today, one Hong Kong is not worth a complete falling out between the two P5 countries.

For financial capital, the most worrying thing is not a financial crisis, but chaos. As long as the former is not leveraged, it will not lose too much, but once the latter occurs, it will basically lose everything. This is why During World War I and World War II, a large number of European capital, scientists, engineers and other talents went to the United States. Now, this problem has been solved, and everyone is optimistic about Hong Kong's real estate market.

The day after Yanjing signed the agreement, Hong Kong's Hang Seng Index immediately rose by 52 points. On that day, many visitors came to the house-buying spot that was originally crowded, and the immigration agency, which was doing a lot of business, seemed to have lost a lot of business. .

Hong Kong society has suddenly undergone considerable changes.

However, for Hong Kong's business tycoons, they will not change their strategies immediately. Many people will still focus on stability, which means they need to wait for the market to recover. After all, they have made it to this point. If If they make another wrong step, it will be a big loss, even if the probability is low, so they all began to study the "Joint Declaration" and carefully consider every word in it. This kind of agreement signed by two major countries, Every word may be worth thousands of dollars.

Peak of Victoria Peak, inside the Chen family villa:

Chen Tianfu was sitting in the sunroom on the third floor, basking in the gentle sunshine while looking at a series of paper documents in his hand.

"Dad." Chen Zhiwen also walked over and asked, "What are you looking at?"

"The official document of the "Joint Declaration", which I asked someone to send from Yanjing, is much more detailed than what is in the newspaper." Chen Tianfu said.

"Why don't you just let your subordinates do this kind of thing? Reading too many legal documents will make your head hurt." Chen Zhiwen said with a smile.

Although he knows the future, Chen Zhiwen still attaches great importance to any content in the "Joint Statement". This is different from ordinary people. Ordinary people only read some important content, but they should analyze it carefully, because it contains A single line of words may affect Hong Kong's financial policy, trade policy, tourism policy, real estate or stock market, taxation, etc. The fate of the entire Hong Kong is in this document.

Therefore, he also asked Hutchison's colleagues in Yanjing to get the document in the shortest possible time. However, he only read it briefly and analyzed it word for word. That was his task.

"I just need to use my brain more. If I use it more, I won't get confused when I get older." Chen Tianfu said with a smile.

"That's right. Have you found anything that has a significant impact?" Chen Zhiwen said with a smile. It is true that the brain is better if it is used more. Many elderly people's brain decline is caused by having nothing to do. Those who often play mahjong are fine.

"I only focused on some of the agreements on the Hong Kong real estate market in the Joint Statement." Chen Tianfu said: "The core point is that the central government has promised that whether it is the previous property land or the land after 1985, , are all valid, and provide a sufficient validity period, which stabilizes the most worrying issues in the Hong Kong real estate market. After 1997, they are all legal, and there are also issues such as the rights and interests of some locals, inheritance, and so on. It also allows many people to feel relieved.

But there is one more thing. The agreement stipulates that from 1985 onwards, the Hong Kong government will not grant more than 50 hectares of land every year. This clause will definitely have a huge impact. "

"I also know about the 50 hectares. It should be the mainland. They are worried that the Hong Kong government will sell large-scale land to cash out before the return." Chen Zhiwen said with a smile: "Although the "Joint Statement" also stipulates that all income of the Hong Kong government They are not allowed to be transferred back to the UK, but there are always many other legal methods. The mainland's request should be to prevent Hong Kong's wealth from being taken away by the British."

Not to mention a local government, even a multinational company can use many methods to legally take away funds. The money I earned from gold futures in the United States, as well as the annual profits of Midea, are also used through many legal means. Of course, there are limits to everything when moving out of the United States. You still have to pay part of the tax. If you don't pay, you will definitely be punished.

It is even easier for a local government to do such a thing. Historically, the Hong Kong government, which had various restrictions, promoted an international airport project with a total investment of more than 100 billion. Although this is also a necessity for Hong Kong society, However, there are too many tricks in such a large project. Because of this matter, the mainland and the UK continued to argue for a long time. In the end, both sides sent a team to supervise the project, and it was over.

"I also know this truth, but only 50 hectares of land are transferred every year. Coupled with the influx of population and a large number of newborn babies in Hong Kong over the years, Hong Kong's housing prices will probably rise much more than the previous bull markets. Now." Chen Tianfu nodded and said. Although it was his son who became Hong Kong's top real estate company in the past ten years, his scale had previously reached the second level of Hong Kong's real estate industry. It may not be as good as Li Jiacheng and others, but We also know that there are several core factors in the real estate market, one is the working-age population, and the other is land supply. These two are core factors. As for capital speculation, secondly, the first two are better, so that capital can be attracted to frequent real estate speculation.

"We don't need to care about this kind of thing. We just need to take advantage of this opportunity to develop our own family." Chen Zhiwen said with a smile. If we have descendants, we will be a family.

"In terms of land area in Hong Kong alone, our Chen family is already the largest landowner in Hong Kong. Do you still want to compete with other real estate companies for land bidding?" Chen Tianfu asked with a smile. When the moon is full, it will lose money. This truth has been passed down since ancient times. Everyone knows that if you make too much cake and eat too much cake, many people will be dissatisfied. Although you are not afraid of them, there are many ways to make money. Yes, there is no need to fight with others.

"I will not compete with other real estate peers in Hong Kong for residential land. This is what I mentioned to several real estate companies when I bought shares in them before. Making too much money will cause notoriety. It is better to let them go, and then I will Just owning the shares of these companies is enough, each of them costs more than 10 points, and the sum of several companies is quite high, but if it is a high-quality commercial land, if I like it, I will not let it go." Chen Zhiwen said.

The housing industry can be said to represent the most direct interests of the people. The entry of a large amount of capital from Hong Kong into this market will inevitably cause housing prices to skyrocket. And if a larger company enters the market, it will only make housing prices rise even more. , he is the one being scolded on the Internet, so why not introduce someone to take on this title? Lao Li is very good, and he is also very capable. If he helps secretly, he will be pushed to the top. The original status in history is not impossible. Anyway, I also own almost 18% of the shares of Cheung Kong Holdings. This ratio is second only to the Li Jiacheng family. It is good that the reputation is not on me. In any case, the future housing prices in Hong Kong It's so expensive, and with so many real estate developers, one of them will be pushed out.

However, it is wrong to say that Li Jiacheng is the only one. Among the four major families in Hong Kong in history, Li Jiacheng actually invested the least in Hong Kong real estate, and the others were higher, especially the Lee Shau Kee family, whose main wealth is almost all in Hong Kong. However, Li Jiacheng is partly overseas, but in terms of net worth, Li Shauji is only slightly less than Li Jiacheng, and the other two companies are the same, but there is no way, who makes Li Jiacheng the most famous, while the other three companies have always kept a low profile.

With Chen Zhiwen's current fame, it is impossible to keep a low profile, but he controls the media. As long as he promotes Li Jiacheng, he will push his image in the direction of industry. When the Internet appears in the future, he will invest and control part of it. , is enough to reverse one's own image.

But residential buildings are not touched, but other things are still needed. Commercial real estate has little to do with the people, at least not directly, and the income is very considerable. The future of Harbor City, with annual rents of tens of billions, is similar to that of the Hong Kong International Financial Center. , Exchange Plaza, it is estimated that there are several billions a year. This kind of income is almost guaranteed. Which Fortune 500 company would not envy it? The world's top automobile industry, such as Toyota Volkswagen in later generations, has a net profit of only one to two billion US dollars a year, which may be the rental income of 20 or 30 buildings in Central or other prime locations in Hong Kong!

If stable income can be obtained from this, other real industries will have the confidence to carry out various expansions and even start a global price war.

"A land purchase still can't satisfy you." Chen Tianfu smiled and shook his head.

"Of course, today's Central is still far behind international metropolitan areas, and there is much room for development in the future." Chen Zhiwen said that Hong Kong will have a large number of high-quality land for sale in the future, or some high-quality locations. The old properties have to be sold or demolished. These are all opportunities. After 1985, the original historical land wanted to slowly move out of Hong Kong. Instead of expanding, it sold several buildings. In this life, Chen Zhiwen is still We will arrange for Land to expand in Hong Kong, but even if we have commercial land, we don’t want everything. We just focus on the best locations.

"Well, then I have to keep an eye on the commercial land." Chen Tianfu nodded and said. Hengyi Real Estate is also the Chen family's wealth. Sooner or later it will be given to the grandchildren in the future. Now naturally, he needs to cooperate with Chen Zhiwen.

"Actually, if you want to get involved in the residential business, there is a special way." Chen Zhiwen added.

"Oh, what method?" Chen Tianfu asked.

"Do you remember that many years ago we purchased a batch of B-type official letters in exchange for land certificates? This thing is valid for Hong Kong now and in the future." Chen Zhiwen said with a smile.

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