Spring Breeze Twenty Years

Chapter 1273 Questions

The next day, a group of people flew to Sanya.

The temperature in Sanya is indeed higher than in Haikou; to be precise, it's more pleasant.

The scenery was indeed beautiful; the view from the plane was very pleasant and made one feel happy.

After getting off the plane and putting their things away, the group got into the car and eagerly started strolling along the coastline.

For northerners, the sea is awe-inspiring and captivating.

Coconut trees by the sea, seabirds soaring, salty sea breeze, the constant crashing of the waves, the golden beach stretching endlessly along the shore, strangely shaped rocks standing still in the sea, and the warm sunshine overhead all year round.

Hainan has been focusing on developing its tourism industry for a long time. In 82, the song "Please Come to the Ends of the Earth" was released and became a huge success, attracting people from all over the country to visit Hainan, see the Ends of the Earth, and experience the spring-like climate all year round.

Since Hainan became a province, tourism, real estate, and import and export trade have become the development and governance concepts of the new leadership team.

Around 95, the real estate market collapsed, and import/export trade and tourism became the only two means of development. Subsequently, the import car trade also collapsed.

At that time, tugboat towing at the seaside docks was still a high-income profession; a single vehicle towed ashore earned two hundred yuan, making them a truly high-income group. The entire automobile import industry was booming, accounting for over 60% of the national imported car market.

With the rise of an industry, various borderline and illegal operations inevitably follow. In addition, Hainan, as the largest special economic zone at the time, enjoyed various national-level policies, which had a huge impact on the mainland's imported car industry.

Then, the entire imported car industry in Hainan was suddenly declared to be involved in smuggling, and the rejection from the mainland caused the industry to collapse rapidly.

Although car sales were still ongoing in 95, tourism had become an extremely important business due to the collapse of the real estate market.

Fengda Tourism Real Estate Company's investment plan has received high attention from both the Sanya and Hainan provincial governments.

Meetings, discussions, and sightseeing took place over several days, allowing the group to fully experience the government's meticulous care and enthusiasm.

As a coastal city with no industry and a population and area equivalent to a small inland county, and an underdeveloped one at that, although it gained the political status of a prefecture-level city after Hainan became a province and became the second largest city in the province, its fundamental situation remained unchanged.

Their meager savings, which were barely enough to survive, were completely wiped out by the real estate crash. At this point, Xiaowei and his friends' investment couldn't be described as a lifeline; it was like a windfall, a real treat.

From its early days as a city, Sanya has consistently faced a shortage of development funds. In 1992, its total fiscal revenue was 30 million yuan, but its municipal construction expenditures were nearly 100 million yuan. As a last resort, the local government promised to exchange land for development funds.

The land here is much cheaper than in Haikou. Even when land prices in Hainan skyrocketed in 1992 and 1993, the price didn't exceed 500,000 yuan per mu. It was basically sold for around 350,000 yuan per mu. The government used this to obtain a lot of funds, and projects such as Friendship Road and Jinjiling Road were completed in this way.

While engaging in negotiations with the government, Liang Gaoyou and several others were also busy, traveling around the city every day to collect information, compare policies, calculate funding cycles, and gather information on other investors' investments.

"From 91 to now, the government has pledged nearly a thousand acres of land in exchange for funds, but according to our investigation, less than half of that has been paid out."

Although most of these lands are currently being developed and constructed by the investors, some of them still haven't received their land certificates, and others haven't had their demolition work completed.

We learned from the side that the residents on the demolition site have basically signed agreements and received demolition compensation, but the relevant departments are just dragging their feet, which is not normal.

Furthermore, it is understood that the demolition costs, including compensation, were basically advanced by the investing company. The relevant departments claimed it would be deducted from the land transfer fee, but in reality, there was no land transfer fee; this was a land swap.

Liang Gaoyou sat opposite Xiaowei with documents in his hand and gave a report on the investigation over the past period.

"We recruited some temporary staff locally to expand the scope of our investigation and found that this phenomenon is not an isolated case on the entire island, but rather quite common. There are similar cases on the mainland, but in those cases, compensation or land replacement was always provided in accordance with the investor's requirements."

The situation is slightly better in Haikou, but it gets worse the further south you go. This isn't a good sign; it indicates a lack of trust here, and if things aren't handled properly, disputes could arise later, which would be very troublesome.

Xiao Wei asked, "What kind of dispute resolution?"

Liang Gaoyou said, "If the demolition and land certificate are delayed, the land will not reach the investors. Even if they get the land, it is not actually theirs because they do not have a land certificate. If the government transfers the land again, it is legal."

Xiao Wei thought for a moment and asked, "What about the others who directly acquired land and started construction?"

Liang Gaoyou shook his head and handed over another document: "It's not good either. It's the same problem: the demolition funds and compensation are being advanced, but the land certificate is being delayed. There are basically no problems with site selection, project approval, planning land use permit, and construction planning permit, but it's the land certificate that's causing the problem."

Chen Hui asked, "Didn't we already have a bunch of certificates? Is getting the land certificate crucial?"

Liang Gaoyou said: "A planning land use permit is a certificate issued by the planning bureau based on urban planning, proving that your construction complies with the overall urban plan and that you can use the land as applied for."

The construction project planning permit is issued by the land bureau. It proves that your construction project meets the application requirements and can start construction. The land certificate is like a household registration certificate. It is usually issued when the project is completed or during construction. It proves that the project is yours after completion. Do you understand?

You've acquired the land, obtained a bunch of permits, and completed the demolition and construction, but legally, the buildings aren't yours yet. You don't have ownership rights. At this point, even if the government sells the land again and demolishes your buildings, there's nothing you can do.

Xiao Wei frowned: "We need to sign an investment contract first, right? If there's a contract, why would there be a problem?"

Liang Gaoyou shook his head: "The contract does not represent the final outcome, so I said that if things don't go well, disputes may arise. These kinds of lawsuits can easily last for years, and even if you win, it won't mean much."

Xiao Wei picked up the document and looked through it: "Is there any clear evidence?"

Liang Gao nodded: "Yes. Of the projects that have been completed and put into use or partially completed and put into use, about half of them have not obtained land certificates. To verify the authenticity, I went to check myself, and it is indeed the case."

(End of this chapter)