The Birth of Shanghai's First Conglomerate

Chapter 39 Real Estate Speculation and Planning

When Song Yanxi thought about real estate speculation, she acted on it immediately.

With housing prices in Beijing soaring daily, she felt that delaying any longer would be a huge loss.

When it comes to real estate speculation, location is the most important factor.

As long as the location is good, even if housing prices fluctuate in the future, a good location can still have a certain degree of resilience against risks.

Conversely, it wouldn't work in smaller places.

Therefore, she set her sights on the most bustling area within the Second Ring Road of Beijing.

The presence of numerous large corporations in that area is enough to guarantee further room for price increases in the future.

It's worth mentioning that the average price within the Second Ring Road has reached around 40,000 yuan.

She contacted Liu Fen to go together. Liu Fen, a local Beijing auntie, was very familiar with the Beijing market.

I know exactly where new housing developments have been built and where prices have gone up.

Upon learning that her daughter was going to buy a house within the Second Ring Road again, she dropped what she was doing and waited for her eldest daughter at the entrance of the community without saying a word.

Song Yanxi drove up in a convertible Bentley in a flash, and Liu Fen felt a sense of pride the moment she got in the car.

This feeling is clearly brought about by Bentley.

The most valuable properties within the Second Ring Road are courtyard houses, which are now very difficult to buy.

Liu Fen made phone calls everywhere, and she actually found a solution very quickly.

They specifically asked for the full payment by name.

Located in the Dongcheng District, which is the economic, commercial and financial center of Beijing, the area boasts a relatively strong economy.

Shopping and other daily activities are also very convenient.

Dongcheng District, located within the Second Ring Road of the capital, is an old imperial city with a rich history and diverse cultural characteristics.

This location is absolutely insulated from housing prices.

The apartment is fully furnished, with an area of ​​about 190 square meters, featuring four bedrooms, two living rooms, and two large balconies.

Song Yanxi came in and was very satisfied. The community has only been developed for five or six years, and its future appreciation potential is still very high.

It's entirely possible that it will rise to 70,000 or 80,000 in a few years.

She underestimated the soaring real estate market in Beijing.

In less than three years, the average price here will exceed 100,000.

Three years later, it will have soared to 150,000.

As for now, the average price is 40,000, and the total price for a full payment is 7.6 million.

Song Yanxi believes that owning a house within the Second Ring Road is also very necessary.

From now on, when you come here to visit, you won't need to stay in a hotel anymore.

If they open a fruit shop within the Second Ring Road in the future, this will be their second home.

Without much hesitation, there was no haggling.

After all, house prices are still rising rapidly.

She decorated this place a little; it will become their home within the Second Ring Road in the future.

As for selling it, that depends on the future real estate market.

I definitely won't consider it within the next three to five years.

"Yanxi, this house of yours is just sitting empty since you bought it, why don't you consider renting it out?"

"That's not necessary."

Song Yanxi would rather live there herself for only three days a year than consider renting it out.

She cherishes the house very much after buying it.

Besides, there are quite a few schools nearby.

If Xiao An'an comes to study here in the future, she'll have a place to live.

After buying this house, her savings were almost gone.

There are tens of millions of yuan in Tengsheng Fruit's public funds account.

That's all the wholesalers' and customers' money; it absolutely cannot be touched.

It'll be quick to clean up here; it'll just be a matter of changing the sheets and duvet covers in a few rooms.

The rest doesn't need much modification.

After all, they don't stay there for long.

I bought the house, and as usual, I posted it on my WeChat Moments.

It wasn't an exaggeration; it was just a title: "My Second Home in Beijing."

I'll go and complete the transfer procedures this afternoon.

As for how to avoid purchase restrictions, I can't say it too explicitly; those who know, know.

There shouldn't be too many solutions.

After emptying her secret stash, Song Yanxi went back to work diligently.

Even if I wanted to show off, I couldn't anymore.

She felt that if she could manage to buy another property in Beijing before the end of the year, then this year would truly be considered extremely successful.

Unlike her, Chen Pingsheng drove his big truck as a navigator, searching for community stores everywhere.

So-called community stores are mainly located at the entrance of residential communities.

This type of store is generally not suitable for being too large; its main consumer group is the residents of this community.

A good reputation can influence two or three surrounding neighborhoods. That's about the limit.

Competition among community stores is fierce, with small, expensive fruit shops dominating the market.

Their coming in like this is undoubtedly bullying.

That's just how business works; big fish eat small fish, and small fish eat shrimp.

The goal for August is to invest in ten community stores.

By the 15th, there were no recharge events in July.

The entire Tengsheng Fruit Company's profit in July was only 360,000 yuan.

Song Yanxi only received 190,000.

It's worth mentioning that the locations for all ten community stores have been secured, and with the investment, they are expected to open in early September.

Five stores on the main street are still engaged in a price war with the orchards.

Being able to barely break even is already the limit.

Besides them and the orchard, the small fruit shops nearby are already bankrupt.

The two sides were still deadlocked, and he didn't pay any attention to it.

By late August, Chen Pingsheng had focused his energy on restructuring the headquarters.

Currently, Tengsheng Fruit mainly operates two types of stores.

One type is the fruit supermarket in the commercial street.

Such investments are generally no less than 150 million to 200 million.

Another type is the community store.

Such investments typically range from 30 to 60.

The two types of stores are different, and their management standards also differ.

For example, a fruit supermarket, because the store is so big, often needs to add some specialty products in addition to fruit.

For example, snacks, local specialties, etc.

Community stores are different; they're small and just need to specialize in selling fruit.

Chen Pingsheng felt that fruit supermarkets were trending towards becoming supermarkets.

Currently, the main focus is on segmented management.

This means breaking down the store's processes and management into specific steps, standardizing them, and then promoting them further.

We also need to increase our promotional efforts for food delivery.

They are able to keep fruit spoilage rates at the lowest level in the industry, partly because their prices are affordable and their stores have high customer traffic.

This results in a high turnover rate.

Secondly, it's because of food delivery.

Delivery services helped them minimize fruit spoilage.

After standardizing these specific business operations, Chen Pingsheng began to plan the finances of Tengsheng Fruits.

Overall, the current shareholding system is still somewhat chaotic.

It was okay to make do with it when I was little.

It won't be suitable once you get older.

The main issue is that Tengsheng's current shares are still distributed in the form of store shares.

This is very detrimental to headquarters management.

Chen Pingsheng sought out the finance department for overall accounting, with the aim of bringing the store shares to headquarters for unified allocation.

After this calculation.

The finance department's proposed solution is that Chen Pingsheng's personal shares will remain unchanged at 51%.

Zhang Tao, Liu Jing, and Chen Hao all have an 8% chance of success.

That adds up to 40%.

Guo took the remaining 9%.

Everyone moved their shares in their stores to headquarters.

He also set two rules for Tengsheng.

The money is distributed on the 15th of every month, without fail.

The second rule is to never use public funds from the company account to open a shop.

This is actually very important. You should know that tens of millions of yuan have been sitting in Tengsheng's public funds account for a long time, most of which are outstanding payments for goods.

If he used that money to open a shop, he could cover the entire Shijingshan district in less than a month.

The temptation involved is undoubtedly great.

However, the risks are also high. If a company faces a crisis and public funds are misappropriated, it can easily lead to a break in the cash flow.

Countless bosses have ruined themselves by running away with their money; it's impossible to count them all.

Therefore, he had to resist the temptation.

The shareholders had to pay for the store out of their own pockets.

If you have money, you can drive; if you don't, you can stop.

We will never engage in those so-called capitalist games.

In August, after reorganizing the Tengsheng headquarters, Chen Pingsheng officially established Tengsheng Group Co., Ltd.

(End of this chapter)