Youngor's deep land in Hangzhou’s king’s land has not been paid for two years

The typical representative of textile companies entering the real estate industry, Younger, suffered extreme cold in real estate.
Just last March, Youngor’s chairman Li Rucheng also stated that he intends to separate Youngor’s real estate business from a listed company and go public. But this plan now looks out of reach.
In fact, the two lands that Youngor Real Estate photographed in the Shenhua section of Hangzhou in 2010 have so far not paid for the land.
Unfinished Land
At the end of October, autumn mood enveloped Hangzhou. The fall of Jiangnan is coming later than in previous years.
“First Financial Daily” reporter saw the scene of two lands in the Shenhua section of Hangzhou in Youngor’s home. The land did not show signs of construction. It was surrounded by high walls and covered with weeds.
The Shenhua plate has been developing rapidly in the northwest of Hangzhou City in the past two years. It has gathered several well-known local developers.
In December 2010, Youngor Real Estate sold fierce shots and swept two parcels of land in the Shenhua area of ​​Hangzhou with a total price of 2.421 billion yuan, refreshing the unit price record of land sales in Hangzhou at the time.
On the same day, Youngor Real Estate won the No. 53 Shenhua plot with a total price of 1.165 billion yuan, and won the No. 56 residential plot on the side with a total price of 1.256 billion yuan. The two plots together accounted for a floor price of 18,114 yuan per square meter. The record floor price of the Shenhua plate has just been created.
This is the "high price" of sky-high prices. At that time, it was the developer's most enthusiastic time.
What makes Youngor more embarrassing is that in this stringent regulation of real estate, many properties in the Shenhua section have been diving, and several projects have already exceeded the 1.6 million yuan/square meter price line. Two years later, the price was even lower than Youngor’s original price.
Previously, there were media reports that Younger Real Estate wanted to get rid of these two plots. However, Shao Hongfeng, the general manager of Hangzhou Youngor Real Estate, told reporters that he did not retreat from the idea. As to why it has not started, he said that because the two lands have not yet been obtained from the government.
The relevant person of Hangzhou Land and Resources Bureau told reporters that, in fact, the two plots have completed the demolition and land leveling procedures. The reason for the lack of delivery now is that Youngor has not fully paid for the land. The Land and Resources Bureau said that both of these lands only paid part of the land, so it was only for so long.
A person from Youngor Real Estate stated that there were still some outstanding payments but he was not willing to disclose the exact amount. He said that he is negotiating with the government.
It is not normal for the land to be landed for two years. A developer in Hangzhou told reporters that this time has dragged on too long. In general, mature developers entered the field for development in about a year.
Another developer stated that they had a piece of land that was acquired at the end of 2009 and that they fully paid for the land before the end of 2010.
According to the Notice of the Ministry of Land and Resources of the People's Republic of China on its website published in 2010 on the website of the Notice on Issues Concerning the Supply and Supervision of Real Estate Land Use, the developer has signed a lease contract within 10 working days after land acquisition. The contract must be paid within one month after signing the contract. For the first payment of 50% of the price, the remaining amount shall be paid in a timely manner as stipulated in the contract, and the latest payment time shall not exceed one year. The transfer contract must clearly stipulate the land area, use, volume ratio, building density, area and proportion of the type, deposit, Time and method of delivery, payment time and method of payment, time for completion of construction, specific identification standards, and liability for breach of contract.
Once the developer fails to sign the contract in due time, the land department will terminate the land supply, and will not return the deposit. If the contract has not been paid for the transfer price, the land must be recovered.
If Youngor Real Estate has not paid off the land plots of the above two plots, it means that the two plots are in danger of being confiscated by the government and repossessing land. Prior to this, Rongsheng Real Estate had once forfeited a deposit of RMB106.5 million and recovered the land due to arrears of part of the land transfer fees for a parcel of land in Nanjing.
However, Hangzhou Land and Resources Bureau is not willing to disclose whether it will consider confiscating part of the land.
"The king" map
The two plots in the Shenhua section of Hangzhou are only part of the many “land kings” of Youngor Real Estate. In fact, from Youngor's advancement into real estate, he has always taken the "big price" approach.
April 21, 2004, Youngor Real Estate appeared in Suzhou, Suzhou Industrial Park in one fell swoop photographed 03,04,05 3 plots of land, a total price of 1.413 billion yuan, shocked the Suzhou real estate circle.
This is the first land king outside the home of Ningbo, where the project's land price is more than 6,000 yuan per square meter, while the Suzhou Hudong housing price is still around 5,000 yuan per square meter.
Since 2007, Youngor Real Estate officially entered the Hangzhou market. On July 9th of that year, Youngor Real Estate made a high-profile appearance in Hangzhou. After 90 rounds of bids, it won a bid of 1.476 billion yuan at the high price of the Hangzhou Business School, and the floor price of 15,712 yuan per square meter made the Younger “Hangzhou Land King” crown. .
Afterwards, Youngor Real Estate “has made great strides” in the Hangzhou market. On September 29, 2007, Youngor spent RMB 1.28 billion to win two plots of No. 50 and No. 51 in Zhuantang, Hangzhou.
In February 2008, Youngor Real Estate won a piece of land on the Ningbo Beijiao Road for a total consideration of 979.7 million yuan, and the floor price of 13,100 yuan per square meter, setting the highest unit price for Ningbo land listing and transfer.
Afterwards, Youngor Real Estate entered the stage of “passing and passing,” and the data showed that, in 2009, Youngor purchased 6 parcels in Ningbo and other places at a price of 6.49 billion yuan, and added 625,000 square meters of land area. Meter.
In September 2009, Youngor Real Estate acquired Shanghai Changfeng No. 8 East Land Lot for RMB 1.958 billion, with a floor price of RMB 25,966/sqm. The premium rate was 73%, setting a record for Shanghai Changfeng's new unit price.
Subsequently, it was Younger's two plots in the Shenhua section of the Hangzhou market in 2010.
Most of these land plots have a prominent feature. The price of Youngor's land is almost always higher than the price of the surrounding real estate. "They are the craziest developers." Insiders told reporters.
This reminds people of the back-to-back rumors. In 2007, Li Rucheng once stated that he had to come up with “100 billion yuan for land search.” This may be the reason why Youngor Real Estate boldly shot up the land market around 2007.
This is when many manufacturing companies are madly entering real estate. A “Top 100 List of Private Enterprises of Zhejiang Province in 2009”, which symbolizes the comprehensive strength of private enterprises in Zhejiang, shows that at least 64 private enterprises in the list have at least 64 involved in real estate.
Real estate crisis?
In fact, this star company from Ningbo, Zhejiang, was established in 1979. Since then, clothing, real estate business and equity investment have made Youngor always known as the “leader” of the diversification of manufacturing companies.
For Youngor, the "troika" route remained stable until 2009.
The company's 2009 annual report showed that the net profit for the year was 3.264 billion yuan, of which textile and apparel business realized operating income of approximately 6.9 billion yuan, net profit of approximately 445 million yuan, real estate business operating income of approximately 5.195 billion yuan, net profit of approximately 1.19 billion yuan, equity investment The net profit of the business was approximately RMB 1.625 billion, an increase of 404.71% over the same period of the previous year.
In other words, in 2009, Real Estate and equity investment contributed 80% of the profits to Youngor. This is probably the most glorious year for Youngor's home ownership, and it is commendable that this diversified company has achieved varying degrees of success in three distinct industries.
There is a lot of fate. In the first half of 2010, Youngor's real estate development sales revenue decreased by 29.49% year-on-year.
With the real estate market entering a long period of regulation and control, Youngor's real estate business plummeted in 2011. This year, Youngor Real Estate did not take any land.
Of course, the number does not look good. According to Youngor's 2011 annual report, in 2011, due to the cyclical factors of the project, the company's real estate delivery decreased by 3.234 billion yuan, and revenue and operating profit decreased by 46.94% and 32.12% year-on-year.
The most noteworthy data is that Youngor’s cash recovery rate has slowed down, and the inflow has decreased by RMB 2.526 billion compared with the previous year, while the payment for land, construction and taxes has increased by RMB 2.304 billion over the previous year.
This year may have made Li Rucheng very disappointed, he had publicly stated that in 2011 Youngor's real estate business completed only one-third of the expected value.
In 2011, the Youngor's Board of Directors reported that the expected value of the real estate business this year has not been lowered: achieving pre-sales revenue of 5 billion and revenue growth of more than 35%.
It is hard to imagine that Li Rucheng’s goal was to enter the top 20 domestic real estate companies in 2015. This goal seems to be drifting away.