Tuesday, May 26.

Today is the day of delivery of the May futures index (three trading days are reserved for delivery), and it is also the day of Lin Zuhui's harvest;

At the beginning of the year, Hengjin Investment bought 10,000 five-month futures contracts, buying the Hang Seng Index at an average of 4,400 points, and today's opening is 6,100 points.

In other words, he invested about 440 million, and after today's closing, he may make a net profit of about 850 million and return 1.3 billion.

The money came at a good time, because he had no money!

It's incredible, he feels like he's always short of money.

At the beginning of the year, there were more than 6 billion yuan in cash, but as a result, it cost 2.5 billion yuan to buy overseas trust banks, 1.5 billion yuan of margin (20 times leverage, average point of 132.8 points) to short the US dollar and yen, 2.5 billion yuan to raise funds from rights issues/subscribe to bonds, and 700 million yuan to pay fairies for the purchase of overseas assets.

If it weren't for the dividend of more than 1 billion yuan during the period (many listed companies) and the rental income of Hengjin Real Estate of hundreds of millions, I am afraid he would have been 'bankrupt'!

Lin Zuhui is used to this kind of day of earning more and spending more.

If he has tens of billions of cash in hand and no investment projects, he will be uncomfortable.

The USD/JPY, which has been short-sold this year, has now fallen to more than 129 points, which is considered to be starting to fall, and I don't know if it will rebound;

The point is, if it falls to around 120 points this year, he may not close his position, after all, he is looking forward to falling to around 100 points next year.

Therefore, if you buy gold futures at the end of the year, you have to take out a loan in advance.

Now he doesn't need to consider the risk of lending for finance, after all, his US stock market value, Hong Kong real estate, and shares of listed companies are very rich.

It is impossible to lose money and bankrupt your family.

There was a knock on the door.

Secretary Li Ke walked in with Chen Bin.

"Boss, the project with HSBC has signed a formal contract. By the end of this year, we will complete the demolition work and start the superstructure work early next year. Liang Zhenxun sat on the sofa and reported.

Lin Zuhui is satisfied, this is the first cooperation between New Era Group and HSBC in real estate.

HSBC is located at the site of the old staff quarters at 23 Pokfield Road, Hong Kong, and plans to redevelop two 40-storey residential towers. The site has a buildable gross floor area of approximately 350,000 square feet. The "New Era Group" is responsible for the entire development, and the New Era Group plans to invest HK$500 million to pay the land premium and construction costs. The two parties each have about 50% interest in the whole development, and the occupation is scheduled to be completed in 1995.

It won't make too much, at most 30% of the annual income, but after all, it is a project snatched from Cheung Kong Industrial, which is still happy.

It turned out that in April this year, Li Chaoren officially stepped down as a director of HSBC, and also announced the end of the honeymoon period between HSBC and Li Chaoren. Although it cannot be said that there is a conflict, at least it will not be as close as before.

Of course, Lin Zuhui naturally does not mean to go up, he and HSBC only cooperate in loans and real estate, far less than Li Chaoren's relationship with HSBC, even now it is far behind.

He doesn't need to have a good relationship with HSBC either! There is an interest in this cooperation between the two parties - HSBC is eager to continue the cooperation (loans) with New Era Group, and it is also eager that Lam's relationship will help them return to the mainland.

Lin Zuhui said: "Well, strive to sell out all of them at the end of next year and the beginning of the next year." ”

Chen Bin nodded and said, "Okay, I'll make a note later!" ”

Lin Zuhui also said: "Next year, we will strive to sell 3 million square feet of residential area, and we must make full preparations and scheduling. ”

Actually, he's making a lot of money.

He knows that this wave of Hong Kong government's suppression of housing speculation, the middle and low-end residential market can only be said to have risen slightly, not sharply; This indicates that there will be a big market next year, so more homes should be sold.

In 1994, the Hong Kong government was afraid that it would have to crack down on property speculation more severely, and when the time came, Xiangjiang Real Estate entered a 'period of adjustment', and it was possible to fall by two or three percent.

In the previous life, the Ma On Shan duel between Li Chaoren and Lee Shau Kee was that the property price was above 5,600 Hong Kong dollars, and finally 3,950 Hong Kong dollars were sold (Li Chaoren was in a bad market, not a normal price).

Therefore, in order to have a better benefit ratio, Lin Zuhui will generally make careful calculations, that is, the supply fluctuates.

For example, if 3 million square feet were supplied in 1993, then 2.8 million square feet in 1994 would be sufficient.

Chen Bin naturally knows that the boss is good at careful planning and grasping the timing, so he is also convinced.

"Well, there is no problem with planning supplies!"

Lin Zuhui thought for a moment and said: "Recently, due to the opening up of the mainland, the prices of industrial buildings in Hong Kong have fallen instead of rising, so you can have people search for some redevelopmental industrial property sites and old buildings in Kwun Tong and buy them. These rebuilt old buildings can be used as a land reserve, and can be converted into a comprehensive building in the future, which is quite cost-effective! ”

Because the factories in Heung Kong have been relocated to the mainland, the Hong Kong government has already allowed industrial land to be used to build mixed-use buildings, i.e. office buildings and factory buildings.

At present, there is less and less land in the Hong Kong and Kowloon areas, so if you want to reserve more land, you must be more flexible.

Chen Bin asked, "It's easy to find the right one, but how much do we plan to invest?" ”

Lin Zuhui said: "Within 800 million! ”

"Okay, I got it!"

It is nothing to the net profit of New Era Group for a month.

And it's a semi-commercial building, so it's a very good thing to be able to pick up a bargain.

In Lin Zuhui's view, the New Era Group makes money quickly, and it must spend money quickly, and it can't leave too much money in its hands.

After a while, Liang Zhenxun also walked into his office to report on his work.

First of all, the acquisition of Miramar Hotel is officially launched, which is expected to cost 2.95 billion Hong Kong dollars and obtain a 34.5% stake in Miramar Hotel;

Second, the United States has reported that it has bought about $250 million worth of shares in Microsoft.

For these two investments, Lin Zuhui is very satisfied.

Miramar Hotel has no debt, but has a cash flow of 520 million yuan on its books, which can be used to start the Miramar Plaza project (which has already been approved), in addition to taking out loans to invest in the mainland.

According to Lin Zuhui's prediction, the company will maintain an annual rate of return of more than 35 percent until the beginning of 2000, and will earn more than $8 billion in eight years.

These money can be used as a 'guarantee' for the New Era Group to invest in commercial real estate in 1993~1994, just like the egg philosophy, if a project produces losses and low profits, another high-return industry can increase the overall return on investment.

Of course, Lin Zuhui is also full of confidence in investing in commercial real estate in the United States, and he will definitely succeed in buying the bottom.

At the end of May, Lin Zuhui came to the capital.

He signed three contracts with the Beijing official in a row, and won the three major projects negotiated at the beginning of the year in one fell swoop, namely:

The renovation project of Dong'an Market on Wangfujing Street, after the renovation of the whole project, the business area will reach 1.5 million square feet; The building has a maximum of 10 floors and two underground floors, which is composed of multiple buildings; One of them is a department store with a central cashier model as 'Dongan Market', and the rest is a modern rent-collecting shopping mall. The cooperation model between the two parties is: Dong'an Market is a shareholder of 35% of the shares; New Era Group bears all construction costs, taxes and fees, accounting for 65% of the shares. The entire 'New Dongan Market' project is expected to be completed in the first half of 1997 and put into operation.

Adjacent to Dong'an Market, the 'Wangfujing Hilton' (Xiaowei Hutong) project, which covers an area of 200,000 square feet, is purchased and wholly owned by New Era Group.

The 700,000-square-foot Central Plaza in Sanlitun is a modern shopping mall with 19 low-density buildings (10 floors) and a fashionable, trendy and artistic style street.

All three projects went very smoothly, and the negotiation time was less than three months, which is closely related to Lin Zuhui's connections and influence. Lin Zuhui himself is not only a real estate businessman, his garment factory in the mainland, employing thousands of people, is a representative of the manufacturing industry among foreign investment.

After winning the three projects, Lin Zuhui did not leave the capital, but continued to negotiate with the officials of the capital.

In a conference room, Lin Zuhui expressed his thoughts: "Beijing is the capital of China, and foreign tourists who come to China will basically come to Beijing. In recent years, there have been a lot of new buildings in the capital, but if the low-rise dilapidated houses in the center of the city are really in the way, it really hinders the city's appearance. Therefore, I would like to discuss with the leaders to carry out a comprehensive renovation of the old city of Chong~wen and build new modern urban buildings. ”

An official in the capital said: "The old city of Chong~Wen is about 2 million square meters (22 million square feet), and for such a huge project, relocation alone is a big problem. The people must live and work in peace or else there will be chaos. ”

Lin Zuhui immediately expressed his thoughts and said: "Naturally, we will be thoughtful, and our New Era Group is willing to cooperate with the government to develop and adopt the method of demolition and construction." Such a huge project can be carried out in multiple phases, and we can cooperate to set up a company to carry it out. On the whole project, the construction of residential, hotel, commercial buildings, etc., is planned as a whole. ”

The renovation project of 2 million square meters, and it is the center of the capital, it is unrealistic to buy a sole proprietorship of land for construction.

Not to mention other factors, just a relocation project, without the government to handle it, I don't know how many things will happen.

And this project is so huge, the phased construction and investment of New Era Group is equivalent to a reserve of land in disguise.

New Era Group's investment in the mainland must also adopt the method of 'attaching importance to land reserves', so as to increase the rate of return slightly. He knows that the rate of return of mainland projects is only in the range of 8~15%, and he can't make quick money. But if it's a large amount, it's still well worth it.

In addition to signing six contracts, he also had to invest in 'development properties' (residential projects).

Because the return period of rent-collected properties (shopping malls, office buildings) is too long; Therefore, in the mainland, it is necessary to collect rental properties, develop properties, and do it together.

The development of the property can start to sell off-plan properties within two years and return the funds;

The money earned is just enough to make up for the investment in the rental property.

Officials in Beijing immediately attached great importance to this project, and the two sides conducted preliminary negotiations.

Considering the situation in the capital, Lin Zuhui also showed sincerity as much as possible and achieved real win-win cooperation.

In the end, the two sides reached a preliminary intention and were satisfied with the cooperation.

Of course, this project cannot be approved immediately, and it has to pass the approval above, but Lin Zuhui believes that there is no big problem.

This is very beneficial to the development of the city!

To start such a project, New Era Group (Huaxia) actually does not need to invest too much, after all, it is carried out in phases.

Lin Zuhui's actions in the mainland were very fast, and he soon signed three contracts in the magic capital, and by the way, he successfully negotiated a large residential land (3 million square feet).

When he returned to Guangdong Province, he won another 8 million square feet in Yangcheng, and planned to develop a residential project in ten years.

In the Go board, black first is the established rule, and it is also a subtle winning rate. A savvy player is strategic, but a shrewd player understands the rules of ascending points before the start of the game. It's not a win-or-lose, it's a race to the top.

New Era Group's project investment in the mainland is such a layout, grabbing the best project in the area.

Moreover, land bank is very important for real estate development in the mainland, because housing prices are rising fast, and the cheaper the cost of land, the higher the rate of return on the project.

Therefore, when Lin Zuhui left the mainland, he said to Lu Dong: "Your team will continue to inspect residential land in Beijing, Modu, Yangcheng, Pengcheng, Foshan and other places. If you have a good project, report it to me, and I will come to investigate! ”

Although all projects in the mainland need Lin Zuhui's affirmation, Lu Donglai's team must do a good job in the preliminary work.

"Well, we will keep an eye on the land market in these cities at any time, and strive to have better and more projects in the second half of this year."

Lin Zuhui nodded with satisfaction, the mainland project seems to have a large investment, but in fact, the investment is very small. For example, a project worth 60 billion yuan actually only needs to pay about 12 billion Hong Kong dollars, and there is no need to take it out at one time.

At this time, the total investment of New Era Group in the mainland has reached more than 20 billion yuan.

For example, the agreement between the two sides is to invest 6 billion yuan in the future for transformation and upgrading, and the two sides will share 55%, and the new era group will inject 1 billion Hong Kong dollars in cash, and the magic port will be injected with assets. As for the follow-up investment, New Era Group does not need to pay money, because the port itself is operating normally, with revenue, and can also take out loans.

Some residential projects have lower start-up capital, and now land in the mainland is very cheap, and after acquiring the land, it only needs to be developed in phases. With a small amount of money, the first phase of the project will be started, and then you can take out a loan and sell off-plan housing for development.

In short, this year's New Era Group intends to allocate 3 billion Hong Kong dollars to the mainland, and there is no problem in talking about 30 billion projects. After all, a few Central Plazas only need to buy land first, and the shares are only 60%.

In the second half of the year, Lin Zuhui will come to the mainland to talk more about projects, and the earlier he invests, the higher the rate of return in the future.

(End of chapter)