Chapter 711 The temptation of GDP(2/2)
Director Chen has also presided over many land biddings, but this is the first time he has encountered this situation.
Just listen to Li Weidong say: "This time we participated in the bidding for all eight projects. If we finally bid for one project, then the income from this project will be our future investment in Shanghai. If we win two projects, it will be
The proceeds from both projects are invested.
So if all eight projects are bid by us, all the profits from these eight projects will be invested in Shanghai. I don’t know if you have an assessment of the profits from the development of these eight pieces of land, but I
The edge has been evaluated in detail.
According to our evaluation, the total income of these eight projects can reach 10 billion yuan. That is to say, if our Dongshan Real Estate can win all eight projects, Shanghai City will not only get the income from land sales, but also get at least
Ten billion yuan of investment.”
"Ten billion investment!" This figure made Director Chen take a breath of air.
Even more than ten years later, tens of billions of investments in first-tier cities will definitely be among the top ten local projects.
In 2008, tens of billions of investments were basically possible only through policy guidance. But relying on enterprises to invest tens of billions was unthinkable.
The tax revenue, employment, and net growth that tens of billions of investments can bring are immeasurable.
Director Chen quickly figured this out, and he suddenly realized that if he could handle this matter well, his promotion would be just around the corner!
Just by attracting tens of billions of investment from the city, it would definitely be unjustifiable if we didn’t upgrade ourselves to a higher level!
Thinking of this, Director Chen suddenly stood up and said, "Chairman Li, please wait a moment. I have to report to the leader."
…
In the municipal committee meeting room, all leaders were present.
"That's the thing. We have sold a lot of land before and have had a lot of successful development experience. However, Dongshan Real Estate said that the project proceeds will not be taken away, but will be invested in us again. This is the first time I have seen
.So I called everyone here today to discuss this matter." The leader said.
"Leader, is this Dongshan Real Estate reliable? Although their promises are very tempting, don't come here with nothing in mind. They talk nonsense and end up regretting it!" someone questioned.
"That's not the case. Dongshan Mining has two shareholders. One is Zhao Jinshan from Jinshan Investment, who is Mr. Zhao's youngest son; the other is Li Weidong from Puppy Group. This time the conditions were proposed by Li Weidong himself."
The leader paused for a moment, then continued: "With the identities of these two people, they shouldn't come here with nothing to show for it. And when it comes to actual operations, we don't have no restraints.
Firstly, when we definitely sign the contract, we will list this in the contract; secondly, we can require all funds to go through Shanghai Pudong Development Bank, and then the funds will be fully under our supervision."
"It seems that the plan proposed by Dongshan Real Estate is feasible." Another person next to him said; "Since they are willing to use the project proceeds to reinvest, how much are the profits from these projects?"
"I have sent people to evaluate, and the specific figures have not yet been released. However, according to Li Weidong, he estimates that the cumulative income of these eight projects will exceed 10 billion yuan!" the leader said.
"Ten billion!" Most people in the conference room gasped.
"Our city's GDP last year was 1.2 trillion yuan. If it is 10 billion, it is equivalent to one hundred and twenty-one percent of our city's GDP!"
"This 10 billion should be just an estimate. If the economic outlook is optimistic in the next few years, it is not impossible for the project revenue to exceed 12 billion, which is equivalent to one percent of our city's GDP!"
When GDP was mentioned, everyone became excited, and everyone began to calculate the accounts silently in their hearts.
In 2008, GDP was still the only criterion, and GDP was the core or even the only indicator for assessing political performance.
Ten billion of funds, even if the money is taken directly, is equivalent to an increase of 1% of the city's GDP. If it is converted into investment, it will definitely boost more GDP.
Just like investing one yuan in fixed assets can boost GDP by almost three yuan, investing in the service industry can boost GDP by more than five yuan. If it invests in mid-to-high-end manufacturing, it can boost GDP by more than ten times, and if it invests in high-tech
As for industry, it cannot be predicted using numbers.
Everyone can calculate this account, which means that no matter what industry Li Weidong invests in, as long as he can retain this 10 billion investment, he can achieve at least 3% GDP growth in the future.
Everyone thought for a moment, but no one spoke first. In the end, the leader called on everyone to express their opinions.
The person who spoke first said: "The conditions offered by Dongshan Real Estate are indeed too generous, and I refused without hesitation. However, after all, Dongshan Real Estate has no experience in developing projects in first-tier cities, and its comprehensive strength is not as good as those of large real estate companies.
The company, this is what I am more worried about.”
Another person said: "I don't have such worries. Although this Dongshan Real Estate is little-known, doesn't it have Li Weidong behind you? What I'm worried about is another aspect. If we really take the land
All given to Dongshan Real Estate, will other bidding real estate companies have any opinions?"
"How can we give all the land to Dongshan Real Estate? I think just give them one or two pieces. The other land will be sold to other companies. All eggs cannot be put in the same basket. We have to find a balance!" Someone else said
explain.
"But if you give land to other companies, they will not use their profits to invest. We will lose billions in investment, which will affect the city's GDP growth!" someone next to him reminded.
When GDP was mentioned, everyone's expressions became solemn again. Obviously, the growth of GDP is much more important than balancing. As long as there is GDP, what's the harm in putting eggs in the same basket?
After some discussion, the leader finally made the decision: "Isn't our bidding divided into two rounds? It's only the first round now, and the final decision will be made in the second round.
Therefore, I suggest that this first round of bidding should be approved by Dongshan Real Estate first. This is also a warning to other companies participating in the bidding, which is equivalent to putting a catfish in the pond.
Maybe there will be a catfish effect. After other bidding companies feel the crisis, they will give better conditions to the second round bidders. By then, it will definitely be us who will benefit in the end!"
…
At Hengtai Real Estate Office, the salesperson walked into the manager's office with joy.
"Manager, the results of the first stage of bidding are out. The three projects we are focusing on have all entered the second round!"
"Okay! Among the next three projects, we only need to win one of them to be considered successful." The manager looked dead and said at the same time; "Bring over the list of shortlisted people for the second round, and I will study it carefully.
, which project should the focus of the second round be on.”
The salesman agreed and immediately handed over a document.
"Let me take a look at project No. 5071. In addition to us entering the second round, there are also China Resources Real Estate, Biguiyuan, Yangtze River Real Estate, HNA Development, Dongshan Real Estate..."
"Project No. 5075 includes Henderson Land, Vanke, China Merchants Real Estate, SOHO, Hopson Development, Dongshan Real Estate... This Dongshan Real Estate coincides with our strategic goals!"
"Project No. 5076 includes Sun Hung Kai, Sino Land, Greentown, Shimao, Dongshan Real Estate...how come there is Dongshan Real Estate again!"
The manager frowned, then looked at the shortlisted status of several other projects, and then discovered that all eight projects included Dongshan Real Estate!
Chapter completed!