"!!!"
Song Sining froze, and it took her a while to recover:
"Wang Yi, you hit me there again…"
"You little brat, you pervert, you're going to die!"
"Tomorrow morning, you get no food!"
"Hahaha."
Wang Yi laughed heartily and went to sleep feeling at ease.
Today's harvest was bountiful.
Not only did the Meiyou No. 1 flagship store open smoothly, with first-day sales exceeding 800,000!
He also received a free commercial financial land worth 1.5 billion, and a 500 million interest-free loan!
(Commercial financial land is about ten times the price of industrial land, and even more expensive than residential land! After checking data, in 2011, 300 mu of land for 1.5 billion was a normal price.)
As for the 3 billion gambling agreement?
Wang Yi didn't care about it at all; it could be easily achieved.
They all thought that Meiyou could only thrive in summer with its pure desire style dresses, and would cool down and stop making money in autumn and winter.
But Wang Yi knew that the pure desire style also had autumn and winter clothing, as well as a series of new popular products like horse-face skirts and Hanfu, which could totally continue to make a huge profit!
3 billion gambling agreement?
It could be completed next year!
Moreover, the management committee's gambling agreement was not meant to trap Meiyou, but rather to keep Meiyou in Jizhou.
Even if Wang Yi lost, there would be no consequences; it would just mean spending money to buy 300 mu of land to build a science park, with no real loss.
If Meiyou grew big and won the bet, they would be even happier!
As for the skyscraper Wang Yi proposed, it was merely an excuse for now, an excuse to increase the plot ratio!
Wang Yi brought it up now simply to have the management committee raise the plot ratio of the 300 mu of land from the current 1.5 to 3.0!
This way, the same land could have double the construction area!
Wang Yi could build several more hundred-meter high-rise buildings, and the park would still not be crowded, remaining spacious and becoming even more upscale!
For example, a high-rise residential complex with a plot ratio of 3.0 would have much larger spacing between buildings than a multi-story apartment complex with a plot ratio of 2.0!
More importantly, commercial buildings are different from residential ones; they are not more comfortable when lower, but rather more prestigious when taller.
Like the current Meiyou Building, five or six floors, it's simply not presentable enough, lacking prestige.
If it were changed to fifty or sixty floors, it would instantly become impressive!
No choice, that's just how the public thinks.
Of course, for residential properties, it would definitely be multi-story apartments > low-rise high-rises > high-rises!
As for building a skyscraper, that would require sufficient preferential policies to actually build!
For example, to get Hengchuang to invest in building the 518 Financial Center, the local government would sell nearby residential and apartment lands to Hengchuang at ultra-low prices!
Hengchuang would acquire land at low prices, build and sell the residential properties and apartments first, make a profit, and then proceed to build the 518 skyscraper.
Of course, the plan is beautiful, but reality is lean.
After Hengchuang acquired land at low prices and sold the residential properties and apartments, it made a huge profit, but then it didn't build the skyscraper…
The local government was helpless about this, as the money had all been earned by the developer.
The only constraint was that if construction didn't start within a certain number of years, the land would be reclaimed without compensation.
But unfortunately, Hengchuang would arrange an excavator to dig a bit each year, which counted as starting construction, so the land couldn't be reclaimed at all.
And even if it were reclaimed, it wouldn't matter; it was just a small piece of land, not worth a few hundred million.
How could it compare to the profits from selling nearby residential properties and apartments!
Similarly, if Wang Yi wanted to build a skyscraper, he would also demand substantial concessions, and construction would only begin years later!
Residential land near the skyscraper would also have to be sold to Wang Yi at a low price.
For example, if there were 600 mu of land, market value 3 billion, it would be directly given to Wang Yi for 2 billion.
This 1 billion land price discount would subsidize Wang Yi's cost of building the skyscraper!
Without this 1 billion discount, who would spend over a billion to build a 500-meter skyscraper?
Got too much money to burn?
Wang Yi didn't say these words, but the other party understood.
That's just how local investment attraction rules work.
As for Wang Yi not being able to come up with 2 billion?
That's not a problem either.
The area around the skyscraper hasn't been demolished yet; by the time they finish demolition, it will be next year or the year after.
By then, Wang Yi will naturally have the money; if he's really short on cash, he can also get financing!
Moreover, Wang Yi could use the brand of the 518-meter skyscraper to sell nearby residential properties, which could bring in a lot more money!
Originally, selling houses at 6,000 per square meter, he could earn 2,000 per square meter.
With the 518 skyscraper brand, Wang Yi could sell at 9,000 per square meter, earning 5,000 per square meter, and still sell very well!
Other developers could only earn 2 billion, while Wang Yi could earn 5 billion!
Plus the 1 billion land price discount, he could earn 6 billion!
Only by earning an extra 4 billion would Wang Yi spend over a billion to build the 518 skyscraper!
A businessman doesn't rise early without profit.
Even so, if he could truly build the skyscraper, Wang Yi would be considered conscientious.
There are many developers who acquired land at ultra-low prices, sold houses, made tens of billions more, and ultimately never built the skyscrapers!
Of course, if Wang Yi acquired the land, he wouldn't build immediately, but rather hold onto it!
He would hold it until 2015-2016 before starting construction, and then open sales at the highest prices in 2017-2018, selling everything for 20,000-30,000 per square meter!
Averaging 20,000 profit per square meter!
The profit here is incalculable! Simply incalculable!
Anyway, it would be well over 20 billion!
In comparison, the over one billion cost of building the skyscraper would be small money!
This was the fundamental reason Wang Yi proposed building the skyscraper!
It was both for the present, to increase the plot ratio of the 300-mu science park from 1.5 to 3.0, doubling the construction area.
And for long-term planning, to acquire nearby residential land at a low price, a five to six-year long-term investment, making over 20 billion!
This plan is totally feasible!
The next morning, Wang Yi got up to find Song Sining wearing an apron and cooking.
Seeing Wang Yi come out, Song Sining said:
"The food will be ready soon, go wash up first."
"Okay."
Wang Yi smiled, thinking, didn't she say there'd be no breakfast?
Sure enough, a sharp tongue and a kind heart.
Song Sining also remembered this and snorted:
"I didn't make it for you; I just made too much, and didn't want to waste it, so you get it cheap."
"Hahaha, okay, whatever you say."
Wang Yi said with a smile, walked over, and hugged Song Sining.
Suddenly, he had the feeling of a young couple living together.
"Thanks, Student Song, for making me breakfast, here's a hug as a reward!"
"Hmph! If you dare hit me again, don't even think about eating my cooking!"
With that, Song Sining placed a soft-boiled egg in a bowl and handed it to Wang Yi.
After breakfast, the two arrived at the company.
Song Sining and a group of executives were preparing to leave for the high-speed rail station, heading straight for the Imperial Capital.
Chen Chuanqing remained to oversee Meiyou headquarters.
Tomorrow, the third, Meiyou No. 2 flagship store opens in the Imperial Capital, and they all need to prepare.
"Boss, aren't you coming with us?"
Song Sining couldn't help but ask.
Wang Yi continued working on the design drawings, shaking his head:
"I'll go back in the evening; I still need to go to the management committee this afternoon to discuss something."
"Okay."
Everyone left directly, and Wang Yi continued working on the science park design drawings.
Similarly, he would draw a simple sketch, leaving the rest for professional designers to complete!
At 2 PM, Wang Yi arrived at the High-tech Zone Management Committee, bringing two lawyers with him.
Director Hong walked over with a smile and handed him a contract:
"Here are the detailed information for the 300 mu of commercial financial land for Meiyou Science Park, and the gambling agreement. Once signed, this commercial financial land, valued at 1.5 billion, will be yours."
"Oh, and the plot ratio has also been raised from 1.5 to 3.0 for you!"
Wang Yi was overjoyed; sure enough, mentioning the skyscraper had worked, and the plot ratio was truly doubled!
It's great to be able to build double the construction area!
"Thank you, Director Hong!"
Wang Yi and his two lawyers reviewed it, confirmed there were no issues, and signed the contract directly.
At this point, the 300 mu of commercial financial land became Meiyou's!
It had already been demolished, so construction could start at any time.
Director Hong added:
"The 500 million interest-free loan can be transferred to your company account by the bank tomorrow, but it is for specific purposes! This 500 million can only be used to construct the Meiyou Science Park! It cannot be misappropriated, and the management committee, as guarantor, will continuously supervise!"
"No problem,"
Wang Yi readily agreed; he had no intention of misappropriating it anyway.
Director Hong got up and poured Wang Yi a cup of tea.
"Thank you,"
Wang Yi said with a smile, then winked at the two lawyers, who immediately withdrew.
Wang Yi knew the main event was coming!
Director Hong took a deep breath and pulled out a map:
"The management committee has agreed to the skyscraper project and formulated a plan."
"The skyscraper will be right here!"
Director Hong pointed to a village and town north of Meiyou Science Park:
"Next year, the district will demolish this entire area to build your skyscraper! This land for the skyscraper is free; you only need to invest in building it!"
"To the west and north of the skyscraper, the management committee will invest in building other commercial facilities; you don't need to pay!"
"To the south of the skyscraper is your Meiyou Science Park, just across the road."
"The area around the east side of the skyscraper, which has 1,000 mu of residential land, will all be given to you at a low price to develop into residential communities, also serving as a subsidy for you to build the skyscraper!"
"With so much land, building three large communities is not a problem. At current land prices, it's worth at least 4 billion, and we'll give it to you for 2.4 billion! But you must guarantee that after the residential buildings are sold and you've made a profit, you must build the skyscraper for us!"
1,000 mu of land, at 60% of the price!
It was much more preferential than Wang Yi had anticipated!
"Don't worry, Director Hong, I will definitely build it!"
Wang Yi promised, patting his chest.
Director Hong smiled:
"Just talking is useless; there are restrictions. If the skyscraper is not built within eight years, all the land given for free for the skyscraper will be reclaimed. You will have to repay the 1.6 billion discount on the 1,000 mu of residential land! And pay an additional 800 million in liquidated damages!"
The management committee thought clearly: a 1.6 billion discount on 4 billion worth of residential land given to Wang Yi, so he could make money and build the skyscraper.
If it could be built, great, everyone would be happy!
If it couldn't be built, the 1.6 billion discount from today, plus 50% liquidated damages, would be repaid as a total of 2.4 billion!
This means Wang Yi would have spent 4.8 billion to buy 4 billion worth of residential land and developed three communities!
The management committee would incur no loss and would even earn an additional 800 million in land value!
It was a win-win situation for them!
It can be said that regardless of whether Wang Yi builds the skyscraper or not, the high-tech zone profits.
"It's this kind of trick again!"
"Familiar tactic!"
Wang Yi couldn't help but chuckle to himself; it was the exact same agreement as before.
Good, very good.
And eight years, going straight until 2019, is ample time.
By then, there would be no financial pressure, housing prices would have risen, absolutely no problem!
Wang Yi took a deep breath:
"Director Hong, this is fine, but I don't have 2.4 billion right now."
Director Hong waved his hand:
"No rush on this; that area hasn't been demolished yet. Even if you want to buy the land, we can't give it to you yet. Let's sign the contract first!"
"After the demolition is complete next year, we guarantee to transfer the land to you before the end of next year! You just need to pay the 2.4 billion before June 30, 2013! The eight-year time limit also starts from 2013, and the skyscraper must be built before December 31, 2020!"
"Okay, no problem!"
Wang Yi readily agreed.
Having to pay this 2.4 billion for the land only in 2013 was no problem at all.
Completed before December 2020, plus a two-year construction period, Wang Yi starting construction in 2018-2019 would still be on time!
Of course, to be safe, starting construction in 2016-2017 would be more appropriate.
By then, it could be built alongside the surrounding residential properties!
With the progress of the skyscraper visible, homebuyers would confidently buy Wang Yi's residential buildings at high prices!
This was absolutely no problem.
And the profits within were terrifying.
1,000 mu of residential land, which is 1,000 * 666.6667 ≈ 666,700 square meters!
According to a plot ratio of 3.0, about 666,700 * 3.0 ≈ 2 million square meters of residential property can be built!
Converted to floor area price: 2.4 billion / 2 million = 1200 yuan per square meter!
Land deed tax per square meter: 1200 * 4% = 48 yuan.
Approval and construction permit fees are approximately 150 yuan per square meter.
Plus construction and installation costs (including civil engineering, installation, facilities, landscaping, water, electricity, gas, etc.), 2000 yuan per square meter!
Management fees, marketing fees, etc., 600 yuan per square meter.
The total above adds up to approximately 4000 yuan per square meter.
In addition, there are developer taxes, approximately 10% of the selling price!
If sold now at 6000, the cost is 4000 + 600 per square meter, profit is 1400 per square meter.
Wang Yi could earn 2 million * 1400 = 2.8 billion!
With the skyscraper brand, if sold at 9000, the cost is 4000 + 900 per square meter, profit is 4100 per square meter.
Wang Yi could earn 2 million * 4100 = 8.2 billion.
If the land is held until 2017-2018 before selling, the price would be 23,000-28,000 per square meter.
With the skyscraper brand, selling at 30,000 per square meter would be no problem!
Cost per square meter 4000 + 3000, profit per square meter 23,000 yuan.
Wang Yi could earn 2 million sq meters * 23,000 = 46 billion!
Even if the skyscraper cost more then, costing 3 billion, Wang Yi could still earn 43 billion!
Even if Wang Yi doesn't build the skyscraper and pays 2.4 billion (liquidated damages + discount repayment), he could still earn 43.6 billion!
This deal, no matter how you calculate it, is worthwhile.
Of course, compared to earning 43.6 billion, Wang Yi would rather earn six hundred million less and have a 518-meter skyscraper; that's more worthwhile!
Most importantly, Wang Yi is a man of his word; he promised the management committee, so he will definitely build it!
Wang Yi wouldn't run away after getting a bargain.
After all, it's his hometown; how could he trick his fellow townspeople?
Calculating this way, Wang Yi became excited.
A profit of 43 billion!
Of course, if Wang Yi invested in Wenxuan and became a shareholder of Wenxuan!
Then, by introducing the 12-year continuous Wenxuan Education Group to the three communities he developed, selling houses at 33,000 per square meter would be no problem.
Or, Meiyou, along with Langchao and Kechuangyuan's highly educated employees, prioritizing their children's education, would make the nearby ordinary schools into top-tier famous schools, just like in his previous life!
Those communities would also become school district homes for famous schools, and public famous schools at that, selling for 35,000 per square meter would be no problem!
By then, Wang Yi could earn 55 billion!
More crucially, this series of operations is all reasonable and legal, with no problems whatsoever!
As long as Wang Yi builds the skyscraper and pays taxes on time, the management committee will not only have no objections but will strongly support Wang Yi!
After all, there are plenty of entrepreneurs who make money riding the real estate boom, but reliable and practical entrepreneurs are few, and those who pay taxes on time are even fewer!
But real estate is just a one-time thing.
Wang Yi will make a fortune, and after these 18 glorious years, he will immediately withdraw and never get involved again!
To retreat completely and secure the gains is true wisdom!
Investing 2.4 billion in 2013, to reap 43 billion, or even 55 billion, in 2017-2018 is very worthwhile, extremely worthwhile!
"I really am like a profiteer!"
For a moment, Wang Yi was speechless.
"???"
Director Hong was bewildered:
"What are you talking about?"
Wang Yi smiled:
"Nothing, Director. Let's sign the contract; this agreement is fine. As a Jizhou native, I have a duty to contribute to Jizhou, to contribute a 518-meter skyscraper, the tallest in the province!"
Yes, he simply wants to contribute!
Absolutely not for the forty to fifty billion in profit six or seven years later!
Director Hong was very satisfied:
"Good, very good. We need entrepreneurs like you who understand the bigger picture and have vision!"
After confirming everything was correct, both parties successfully signed the contract.
At the same time, several areas, villages, and towns near Meiyou Kechuangyuan were all frozen, and demolition work immediately began.
Everything happened so suddenly!
So much so that those people were stunned!
Even areas near the Financial Center were frozen as well.
As soon as demolition begins, a large surrounding area is completely frozen; even if only a part is demolished, they freeze it first to prevent additional construction!
Of course, Wang Yi's five houses and two office buildings have all been frozen.
Song Sining's house was also frozen.
Although the demolition here won't happen until next year, it doesn't matter; they freeze it first and wait for demolition.
The Financial Center is a massive national project and will not change because Wang Yi built a skyscraper.
This is beyond doubt.
"Oh, by the way, Director Hong, Meiyou doesn't have real estate development qualifications yet, that's also a problem,"
Wang Yi changed the subject.
Director Hong waved his hand:
"So much land has been approved for you; how could you not have the qualifications?"
He then opened a drawer, took out a stack of documents, and handed them to Wang Yi:
"Just fill these out and wait for the process to complete!"
"Thank you, Director Hong!"
Wang Yi smiled; this was also one of his goals in getting involved with the skyscraper.
Did he really think such qualifications could be approved just like that?
If Wang Yi hadn't said he wanted to build a skyscraper, Wang Yi would never have gotten the qualifications for a real estate company!
It was precisely because Wang Yi had the intention to build a skyscraper, making the management committee believe he was a talent worth cultivating, that they would provide support and give him green lights everywhere.
This gave Wang Yi the opportunity to acquire real estate development qualifications, enter the real estate sector, and have the chance to earn 55 billion six or seven years later!
Without the skyscraper project, these 1,000 mu of land would not have been Wang Yi's, let alone at such a low price!
Not to mention paying for it only the year after next!
This effectively locked in the land at this year's price for two years from now!
If it waited until 2013, these 1,000 mu of land would not be 4 billion, but probably 5 billion, or even 6 billion!
Not to mention Wang Yi would only need to pay 2.4 billion at that time!
Of course, once 2.4 billion is paid and the land is bought, Wang Yi not having money for other things is also not a problem.
Firstly, two years later, Wang Yi will most likely not be short of this money.
Secondly, even if he is really short of money, land worth 5-6 billion can be used for mortgage loans!
It's easy to loan out over 4 billion, and with some maneuvering, even 5-6 billion is no problem!
Pay 2.4 billion, loan 5-6 billion; Wang Yi's cash flow would not only not decrease but would increase by two to three billion!
Most developers first raise capital to acquire land, then mortgage the land for loans, and then use the loan money to develop houses!
Everyone plays this game these days.
Building a skyscraper isn't for show; it's mainly for preferential treatment, for real estate qualifications, and for land! Please give monthly votes!
(End of chapter)
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