Baiyue Cave Master

After Wang Yuanchao and Mi Xilu had communicated well, he stood there again, looking at the piece of land in front of him.

Wang Yuanchao knew that in Hong Kong at that time, real estate was making huge profits.

How huge is the profit?

In his previous life, Wang Yuanchao worked in a real estate company in China.

In Wang Yuanchao's previous life, the real estate industry was already very developed, and the control was very strict. In addition, the price of land had been calculated very carefully and was able to keep up with the housing prices.

At that time, the land cost of real estate development accounted for 50%, and various taxes such as land value-added tax, deed tax, transaction tax, business tax, etc. accounted for more than 20%.

This removes more than 70%, and the actual development costs only account for less than 20%.

After deducting the construction costs, operating costs, marketing costs, and management of various departments, the real estate boss can still earn about 8-15%.

However, because real estate development is a capital-intensive industry, it can leverage huge capital investments through various sources such as banks and listings.

So the combined profit of 8-15% is also a huge profit, which is beyond the reach of ordinary people.

As for why it is 8-15%? Because it depends on the cost control of each real estate developer.

It all depends on how severe and sophisticated the methods these bosses use to cut corners in building materials, pass off inferior materials as good ones, and refuse to pay for construction projects.

Because of the huge capital investment, many bosses make money from this and make a lot of money.

In 1975, Hong Kong was still in the midst of a financial crisis, with a sluggish economy and a sluggish property market. Land prices were cheap, and Hong Kong did not have the kind of land value-added tax that was used in China in the past.

There are only stamp duty and profit tax. The stamp duty is about 1.5% and the profit tax is about 16.5%.

If you do the math this way, you will know how lucrative real estate is in Hong Kong today.

Moreover, as the return of Hong Kong approaches, foreign capital will withdraw and Chinese capital will rise.

There will be more and more wealthy people in Hong Kong, but there is a lot of people and limited land here. The future economic development will not be able to keep up with the rising property prices in Hong Kong.

The future of Hong Kong will be a development history in which ordinary people are exploited by the real estate and property market.

If Wang Yuanchao holds a large number of real estate projects in Hong Kong in the future, he can continuously absorb the dividends of Hong Kong's economic development through the appreciation of real estate and the increase in rent.

They can allow their families to easily become billionaires just by collecting rent every year in the future.

Therefore, Wang Yuanchao’s business philosophy is different from that of the current real estate tycoons in Hong Kong.

Wang Yuanchao's inner development model is to use the space materials to exchange for a large amount of funds, and then develop various rental projects such as real estate office buildings, commercial streets, rental apartments, etc. in Hong Kong.

In the future, after the project is developed, all the land purchased by Wang Yuanchao will be used for self-sustaining, to reap the dividends of social development, and to collect rent, rather than just a one-time deal.

Because the future of Hong Kong is a large-scale leek farm where the class with property assets exploits the class without property assets.

"Misiro, you said I should build a five-star hotel here to increase the popularity of the project.

Then how about building five more rental apartments and holding them for long-term rental income?"

Mi Xilu just discussed the land transaction with Wang Yuanchao.

Hearing Wang Yuanchao's thoughts at this time, he naturally did not pour cold water on them, but said with a smile:

"My dear, this piece of land has an excellent location, with a developed economy and a concentrated population.

Building a hotel and some rental apartments here is definitely a very good project.

But dear, you also need to consider the living convenience of your project tenants in the future.

Therefore, it is best to consider the living convenience of the entire project when designing this project and add some commercial buildings."

Wang Yuanchao agreed with Mi Xilu's opinion, nodded, and said:

"Yes, Michelle, I will build a large shopping mall with four or three floors downstairs of five rental apartments.

Bring in department stores, people's livelihood, clothing, hardware, supermarkets, restaurants, movies, and other life facilities.

This will solve the problem of supporting living facilities.”

"Well, dear, I think this design is OK.

However, you also need to consider the security and privacy of your tenants.

If your rental apartment is messy and tenants feel unsafe,

That’s a big problem, too.”

Wang Yuanchao nodded thoughtfully. Nowadays, in Hong Kong, because dwarf mules are everywhere, the safety of the community is a very big problem.

If Wang Yuanchao sets up his own community security property for the sake of the safety of the community, he will no longer be able to stay away from the dwarf mule and develop independently like he does now.

But when doing business in Hong Kong, Wang Yuanchao had already prepared himself mentally for contact and conflict with the dwarf mule.

He has money and people. As long as he can prevent the dwarf mules from carrying out decapitation operations and prevent tough guys like Zhang Ziqiang from targeting him, Wang Yuanchao is not too afraid of these dwarf mules.

Standing on the land in Hung Hom, after Wang Yuanchao had thought clearly about the future development of the land, he and Michelle got in the car and drove towards Tsuen Wan.

Around 1950, a large number of mainland capitalists, bureaucratic families, and large landowners flocked to Hong Kong to settle and develop.

It brought capital, technology and cheap labor to Tsuen Wan. From then on, the manufacturing industry in Tsuen Wan, located in the New Territories, began to flourish.

By the 60s, Tsuen Wan in the New Territories of Hong Kong had developed into a new town of considerable size.

It is Hong Kong's main industrial area, with various electronics, garment, textile, dyeing, printing, toy and other industries concentrated here.

Therefore, Tsuen Wan is the transportation hub in the western New Territories, an important passage to and from the airport, and a major economic development center in the New Territories.

Among them, Nan Fung Spinning Mill is one of the largest textile mills in Hong Kong and plays an important role in the history of the development of Hong Kong's textile industry.

It has witnessed the rise and fall of Hong Kong's textile industry and carries Hong Kong's industrial memory.

The factory building of the Zhen Shan Mei Garment Factory that Wang Yuanchao and Mi Xilu came to see this time is right next to the Nanfeng Spinning Mill.

Wang Yuanchao and Michelle stopped the car at the gate of the garment factory. Accompanied by Michelle, Wang Yuanchao began to walk into the garment factory.

Looking at the 150-acre large factory building in front of us, from the outside, the architecture of the Zhenshanmei Garment Factory has a strong industrial style and is a typical representative of Hong Kong architecture of this period.

The building has a solid structure and spacious space. After renovation, it retains its original industrial features.

Because it is a garment factory, many modern design elements are incorporated into the architectural appearance of the garment factory, such as open staircases, distinctive murals, etc., which gives it a unique artistic atmosphere.

There is a large mural display in the office building of the garment factory, which records the development history of the Zhenshanmei Garment Factory and becomes an important window for customers to understand Zhenshanmei.