Interview with Kong Jianmin, a new Cantonese businessman.

Viewpoint Real Estate New Media: Is this development thinking related to your study of science?

Kong Jianmin: I think risk awareness should be stronger, and risk control must be well grasped. Since the reform and opening up, many rich people in China used to be famous, but now there are none. What is the reason? It is that the management system can't keep up after it grows bigger.

In the past, one or two groups of the richest people disappeared. What's the problem? It is not a personal problem, but the management of the enterprise must be aware of the management system.

When the volume of enterprises is the most dangerous, it is dangerous to change the sales from10 billion to 20 billion, and it is even more dangerous to change 20 billion to 40 billion. But it would be nice if we could lay a solid foundation and improve the system. I don't think it is difficult to increase the volume. The difficulty is that management can't keep up after heavy volume.

Therefore, Hopewell constantly asks the management to review regularly, because not everyone is born with strong management ability. In addition, we should exchange management contents with some colleagues regularly.

Insist on cooperation

Viewpoint real estate new media: Hejing is an enterprise that is very willing to cooperate with others. What is the harvest of cooperation?

Kong Jianmin: Every enterprise must have its own advantages in order to survive and develop. First, we can learn from the good aspects of cooperative enterprises; Second, if a business does not earn enough, it needs to form a win-win situation. We have a good relationship with our partners, understand each other and achieve a win-win situation, so we are more active in market cooperation.

Honesty is the most important thing to cooperate with others; Second, both sides must be open and transparent.

If the cooperative project is operated by the other party, I must give considerable trust, but the premise of trust is that I must see all the contents, such as some key nodes, when to start construction, when to sell the building, when to build it, when to hand over the house, labor costs, construction costs and budgets must be open and transparent. As long as this is done, there will be no quarrel between shareholders. Why are many shareholders unhappy? Opaque, no budget, no plan.

Second, before the development of the project, the planning has been completely finalized, and the entire administration, labor and budget are approved and confirmed, and the confirmation team must follow this.

So we can know how much money we will make on the day when the project starts. What's so noisy about? The following is all done. We establish an authorization system, and both parties sign how much money is involved. If it is not exceeded, it will be signed by the shareholder representative.

Viewpoint Real Estate New Media: Do you attach great importance to planning and budgeting?

Kong Jianmin: Yes, very particular. Because both sides should make it clear, open and transparent, if this is done, there will be no contradiction between the bosses and both sides will be very happy. This is to create benefits for shareholders. At first, both sides should have a plan, a budget, and be clear and transparent.

Viewpoint Real Estate New Media: Is this using westernized management to escape China's humanity or rule by man?

Kong Jianmin: When cooperating, I don't want my team to be selfish, because first of all, we must know that business is not a single business. The other party thinks your team is good and will give you more business. Word of mouth is very important. I'd rather suffer than let shareholders suffer.

Selfishness is definitely not good, it is impossible to cooperate well at all, and the reputation of enterprises will also be problematic. Therefore, in cooperation, it is first required to be open and transparent and responsible to shareholders, especially cooperative projects, which are more important than sole proprietorship projects.

Second, I would rather lose money on some minor issues than let shareholders lose money. Knowing that others will suffer, other shareholders will be happy to cooperate with you in the future, which has been implemented by our company. Both partners should be tolerant, because there is absolutely no need to dawdle on a small matter.

Both partners should be fair and just, whether they are major shareholders or minor shareholders. For example, in some projects we cooperate with, I have a large shareholding and the other party has a small shareholding. I am fair to minority shareholders.

Viewpoint Real Estate New Media: Do you think the current business environment is more conducive to cooperation? Or is the business environment deteriorating?

Kong Jianmin: There are many ways to cooperate. In the first way, some companies suddenly took a piece of land. Because of the large amount of investment, it may be difficult for a company to hold and develop, so it wants to cooperate with us and share the rights and interests equally. Two can't do it, just three. For example, the Jinnan New Town project is a cooperation between four companies. The land price of that project is 8 billion, with an average of 2 billion, which can dilute the risk.

In the second way, some developers feel that we are strong in product control and cost control and are willing to trade with us.

The third way, if a developer without a brand is short of funds, this developer would rather find some good developers to cooperate, or he can just sit there and share the money. He may lose money if he doesn't do well himself, and he will lose money if he doesn't control all aspects of management well. If he asks me to cooperate, he can sit there and share.

These are three situations, and I don't like them all, because some cooperation can't merge sentences. Therefore, in terms of consolidated statements, we hope it is the third category. Some developers without brands come to us, and we ask for a large share to trade. If they are peers, everyone is similar, 50% to 50%, and the cooperation methods are different.

I'm open to cooperation, but I want my business to be more or less controlled by myself. For example, all the recently acquired plots are controlled by 100%, except Beijing and Shanghai.

Some developers came to us for construction, and I immediately refused. I am very resistant to construction, because I want to make good use of talents, and construction will affect the whole resource system. I hope the product quality can be controlled, and I will never consider the agency construction.

Viewpoint Real Estate New Media: Do you spend more time reading statements in the office or do you like to go to the construction site?

Kong Jianmin: I usually take my Guan Peisheng to the construction site on Friday and weekend. I bring several management students every year, and every management should bring them. My training principle is not to let them go. Sometimes it is not good for many college students to let go, because the platforms and horizons that college students can contact will be different.

Second, teachers should have complaint channels if they don't do well. Guan Peisheng and I, brought by the management, can communicate with each other even if they are let go. Usually about three years, we have become vice presidents.

Viewpoint real estate new media: where will it be put in three years?

Kong Jianmin: Put it in regions and cities. The one I brought last year is now the regional assistant general manager. Because of his different platforms, he can attend all business meetings except confidential financial meetings and human resources meetings. You don't have to ask me if I agree, just come in yourself.

He is listening, but he stands aside, because it involves management and project positioning, including his views on this matter, including mergers and acquisitions.

Viewpoint Real Estate New Media: Do you need to trust them, and don't worry about them leaking the contents of the meeting?

Kong Jianmin: If you don't trust him, you won't talk to him. People are heart-to-heart Give him a heart and he will give it to you. If you don't trust him, how can he give you his heart?

Viewpoint Real Estate New Media: Is Guan Peisheng's turnover rate so high?

Kong Jianmin: I didn't bring much, basically not.

urbanization

Viewpoint Real Estate New Media: Urbanization is closely related to real estate. What do you think of urbanization?

Kong Jianmin: Of course, the process of urbanization is inevitable, because after all aspects of the economy come up, land resources are getting less and less, so urbanization is necessary. It is inevitable that the urbanization process in developed areas is getting faster and faster.

The current view is that some cities have a faster urbanization process, while others are slower. Personally, I think this is not a matter of ten years, but a matter of twenty years. It is impossible to urbanize to a great extent in ten years, and some cities do not have to be pushed to the city center, because municipal administration and transportation cannot solve these problems. Now the government is increasingly finding a problem, that is, with the increase of population density and development, the municipal government and all supporting facilities can't keep up.

So I think some cities have done a good job, transforming on the spot and forming some sub-centers to solve the pressure in the city center. The previous view that urbanization is a megacity, I think this is unreasonable.

Now many sub-centers of future cities, science and technology cities and satellite cities are actually doing this, but it requires a lot of municipal investment, because the local economy will radiate land prices and the industrial structure can also support the invested money, otherwise there will be so much money invested, so it is not a problem that can be solved in ten years.

Viewpoint Real Estate New Media: If it is twenty years, will there be more and more opportunities for real estate enterprises in the future?

Kong Jianmin: In the long run, I am still optimistic about real estate. However, there are some policy adjustments in the medium term, hoping to be more stable in this regard.

Viewpoint Real Estate New Media: Is the scenery affected?

Kong Jianmin: I hope that the real estate price will not fluctuate excessively, and it will not be too violent in good times. If the fluctuation is large, the corresponding government policies will also come out, and steady growth is better. Now the developers are very mature and rational, and the risk control is becoming more and more perfect. After two financial crises, the developers who have not fallen are very mature.

Viewpoint real estate new media: If the policy becomes more and more stable, will the opportunities for small and medium-sized developers become smaller and smaller in the future?

Kong Jianmin: I think this is normal, but the real estate in China is very strange. For example, the entry threshold for small developers in Guangzhou is very high. There are still uncertainties in land acquisition in second-and third-tier cities, so small developers still have room for survival.

Viewpoint real estate new media: will Hejing go to third-tier cities in the short term?

Kong Jianmin: Third-tier cities don't go. Our focus is on first-tier cities, at least provincial capitals. Our present development is like this. First-tier cities are combined with provincial capital cities.

Viewpoint real estate new media: Chengdu Hejing has promoted many projects, and there was an earthquake before Chengdu. Aren't you worried?

Kong Jianmin: Chengdu is the window to the southwest. Urban planning and humanities are still very suitable for doing business, but I think the only fly in the ointment is that the land supply is too large.

I like the cleanliness and delicious food in Chengdu. I can also go shopping at night. The atmosphere is good and the government will pack it. I think the smartest one is the Chengdu government. After a CBD came out, a new CBD was launched after a period of time, which was constantly packaged and packaged very well. The government has made great efforts to attract investment, and the top leader (secretary of the municipal party Committee) came out directly to attract investment, which is also very frank.

This is a question whether you want to go in and do it. After going in and doing it, you will find that everything in Chengdu is welcome. The government will warmly greet you, apply for construction and help coordinate. Everything is fine, but the fly in the ointment is that there is too much land supply.

Industrial model

Viewpoint Real Estate New Media: Hejing Hotel is doing a lot now, but Chen Qizong, chairman of Henglong Real Estate, said at Boao Real Estate Forum 20 12 that the hotel is a terrible business. What do you think of this business?

Kong Jianmin: There will be no big surprise for the hotel business from the statement, but the corresponding property of the hotel will appreciate. Why do you want to be a hotel? Because the hotel is a very stable business, so don't underestimate the hotel. The appreciation of hotel property is very strong, and now the evaluation value of our hotel is close to 6 billion. When financing is needed, two or three billion yuan can be recovered through evaluation, and the financing cost is not high, because long-term loans can be obtained, while operating loans are ten years.

Second, if you don't build this hotel and sell it as a house, you will only make money that year, but the number of properties has not increased, and the ability of enterprises to resist risks will be weak. Why do hotels and shopping malls sell them? If you don't sell it, you will be able to resist risks. At the same time, you will have a very stable income in the future, which can be mortgaged to some financial institutions for loans, which is the greatest benefit.

Third, when people from other places come to visit, they always show others something, something representative. Don't say I got the community, say these houses are all mine, but they are all sold out. Like many developers in Hong Kong, they said "Where is Central?", which brought extra brand influence.

Therefore, a company's report looks good, sales are definitely guaranteed, but the holding of property should continue to grow.

Viewpoint Real Estate New Media: What is the future real estate holding ratio?

Kong Jianmin: 20% is enough Only one more property is held every two years, whether it is a shopping mall or a hotel. There is no need to increase it a lot every year, because it will have an impact on cash flow, and it will always focus on sales, holding part of the property while selling.

Some of our businesses are for sale. For example, some businesses in Suzhou are for sale. They are only held in shopping malls built on the subway, only in high-quality projects with good lots, and those that can lay eggs. For example, if you buy a house, you originally bought five houses. If you earn money, you must sell the second-hand house you bought ten years ago, and then hold some properties with good location, appreciation and good quality.

Viewpoint Real Estate New Media: Now hotels, businesses and houses share risks with each other. If the economy goes down, can the house increase sales?

Kong Jianmin: Mainly selling residential buildings. Recently, we are also building some industrial parks, such as Chaohu Lake, Suzhou and Hangzhou.

There are two modes of industrial park, one is sales, the other is leasing, to support some small and medium-sized enterprises. In fact, these industrial parks are helpful to the real estate business structure. We have done it very successfully and will do it in Guangzhou recently.

Viewpoint Real Estate New Media: Will there be great support for being an industrial park district government?

Kong Jianmin: There must be one thing. Helping the government to build an industrial park will definitely give policy support, because it has attracted many enterprises.

Viewpoint Real Estate New Media: Is it difficult to be an industrial park?

Kong Jianmin: Not difficult. There is a team to do it. Of course, there is no good seat. If it is remote, who will go? This must be related to all aspects of transportation.

Viewpoint real estate new media: is it related to investment team and brand?

Kong Jianmin: Yes, the government believes that we can do it, and there are still many supporting services to be done. For example, we are talking with the four major banks about a financial service platform to provide some small and medium-sized loans to enterprises.

This is actually after-sales service, or after-rent service. After SMEs come in, we will outline a financial platform. To a certain extent in the future, we can also provide some listing services for enterprises.

In addition, we will also make some supporting places, such as large-scale training centers, conference centers, canteens, clubs, restaurants, commercial streets and so on. People can live there, research and development there, and industry there, so that the whole park is very mature and basically a city, because it provides many platforms.

Viewpoint Real Estate New Media: You just said that the net profit of residence 15%-20%. What about the industrial park?

Kong Jianmin: Industrial parks in every place are different. On average, they must be greater than 65,438+05%. For example, after achieving the goal, several buildings will not be sold and used for rent, because the industrial park will be more mature in the future and can add some value.

Viewpoint real estate new media: after Hejing, it is also a big landlord, with industrial parks, hotels, houses and shopping malls.

Kong Jianmin: Now I think the enterprise is still very young, but sometimes it is old. Will it sell tens of billions of buildings every year? Just kidding! I personally hope that the rental property will account for 30% of the income in the next ten years.

Land and strategy

Viewpoint real estate new media: Guangzhou land price rises rapidly, is it too high for you?

Kong Jianmin: It is very high for the bottom line of our company. For example, the land on Zhou Nan Road, the price I can accept is 65438+600,000 yuan/square meter. It's simple. After the land price of 30,000 yuan/square meter is covered, the tax is close to 38,000 yuan/square meter. If you don't sell 50 thousand/square meter in the future, where can you make money? Do you think 50,000 yuan/square meter is acceptable? Short-term unacceptable, so how long is it expected to take?

I went to see the land specially, surrounded by rural houses, not a luxury residential area at all. Can you accept this price? Personally, I think it will take three years if the price is reached. Will things be shelved in three years? Of all the places in the country, why should I wait three years? Because this will reduce the utilization rate of funds, I don't think it is cost-effective.

Viewpoint Real Estate New Media: Will it be a little stressful to get land in first-tier cities?

Kong Jianmin: There will be some pressure, but our company has strong bargaining power. For example, in the same lot, if others sell 20 thousand, we can sell 23 thousand, which is product innovation. Like the previous Chengdu project, who dares to sell 20 thousand to 30 thousand? No one dared to sell it, and the developer next door only sold 1.2 million yuan/square meter. People said we were stupid, but I sold it anyway. This is because our products have strong bargaining power, and our advantage in land acquisition is reflected here.

The second is the cost advantage, but it is not obvious. Other people's cost is 4000 yuan/square meter, and our highest cost is 3600-3700 yuan/square meter. The cost is not absolute relative to the land price, but the bargaining power of the product is very important.

So we focus on the first-tier and provincial capital cities, not that we can take a lot of land, but whether I want to take it. Because some plots really don't want to shoot, but the promising plots are basically taken.

You can make a digital model. Others expect to sell 20,000 yuan/square meter, and I expect to sell 23,000 yuan/square meter. How can you not win? So sometimes it's whether to take this land, not whether to take it.

Viewpoint Real Estate New Media: What are the requirements of Hejing for financing cost now?

Kong Jianmin: In the past two years, we have been relatively cautious in buying land, with good profit margins and high-quality assets. This year's sales volume is very large, and the funds are relatively abundant, so it was mentioned at the beginning of the year that our debt ratio will go down.

Viewpoint real estate new media: below 50%?

Kong Jianmin: 50% is impossible. Last year, we were over 70%, and now it may be over 60%. Second, my pursuit of capital cost has reached the middle level in the industry, neither the lowest nor the highest. Of course, it also depends on the enterprise. Our debt ratio is not high and the cost of capital is still low compared with the industry. Because of low debt ratio and good assets, banks will look at this aspect. The higher the asset-liability ratio, the higher the cost of capital.

Viewpoint real estate new media: the development in the next few years will be relatively rapid. When the demand for funds is relatively large, will the requirements for financing costs be relatively relaxed?

Kong Jianmin: Actually, there are many financing channels. Of course, you can get more money when you want to increase the volume. But it depends on the timing. For example, the loan was a little more than 7% a month ago, and the loan has been high these two days. Taking money is the same as taking land, so we should seize the opportunity.

Business and life

Viewpoint Real Estate New Media: China developers are scolded the most, won't you invest in other industries? Besides, you don't want your daughter to do real estate. Why?

Kong Jianmin: In China, we don't approve of the family business being passed down from generation to generation, because everyone knows that her father works so hard. Why does she work so hard? I think she should become a professional, whether it's art or other majors, just be a professional.

Doing business and real estate in the mainland is very hard, and this kind of hard work can only be known by personal experience, so let her be a professional and live a happy life.

Doing business is not to say that it is not clean. What I'm saying is that you have to go through a lot of things, and you will mature quickly after going through a lot of things. No matter who succeeds, there are gains and losses, and there are gains and losses. But as a professional, I may be happy to have a lot of time of my own. Of course, you may lose all aspects of material things, but I think it depends on how you think. As long as you are happy and healthy, you will never make money.

Viewpoint Real Estate New Media: Are You Happy?

Kong Jianmin: I am happy. I'm in good spirits. My greatest advantage is that I am open-minded and optimistic. My idea is simple. Sitting in this office, I will devote myself wholeheartedly, and I don't want to work when I leave the office.

Viewpoint Real Estate New Media: How much time do you spend with your family?

Kong Jianmin: I am very attentive. My daughter has gone to London to study. I flew there to meet her. My daughter will attend every parent-teacher meeting. Growing up, she never failed, and all her work would be put off.

What is my main mentality? As long as you sit in this office for a meeting, you will forget everything else and concentrate. But if you leave this office, you will forget all your work, and you will be happy. I eat, chat and exercise with my friends. I exercise every day. After dinner, I take a walk, swim and exercise.

I can't run. Sometimes you can do the fitness equipment once a month at most. Very regular. When I get home, I listen to music and drink tea.

Viewpoint Real Estate New Media: Do you like listening to classical music or modern music?

Kong Jianmin: I listen to new things. I find classical music very annoying. I need to hear the latest thing. The magazines I read are all new, and the songs I listen to are all the latest.

Viewpoint Real Estate New Media: Are you worried about cheating with the outside world?

Kong Jianmin: I want to keep up with the latest things, because I want to be sensitive to everything, whether it's music, design or fashion.

Viewpoint Real Estate New Media: Are you interested in design?

Kong Jianmin: I am interested, but not very addicted. In fact, when you devote a lot of interest, you will be very entangled, so don't indulge. An aesthete is stupid. There better be some imperfections. Everything is 100% perfect, which is not good.

Viewpoint real estate new media: you don't want to be an aesthete?

Kong Jianmin: No, I hope to be persistent, serious and honest about things and work. I am also very honest with my colleagues, and I won't say anything in my heart. However, I work very hard. I don't interfere with my colleagues' private time, and my colleagues don't affect me. Don't bother me if you have something urgent on Saturday and Sunday. You can send me a message, and I will pay attention to the importance. I will reply to the important ones, and I will not reply to the unimportant ones.

Viewpoint Real Estate New Media: This is not easy, many bosses are workaholics.

Kong Jianmin: Therefore, all aspects of the system and authorization are very important. I have the right to make decisions within the scope of authorization, and after that, I will report it.

Viewpoint Real Estate New Media: If there are more authorization systems, will it slow down the implementation efficiency?

Kong Jianmin: No, the efficiency of implementation is to continuously optimize the authorization system, which should be optimized regularly. Some authorizations can be judged by whether the date is too slow.

Be a man and do things

Viewpoint Real Estate New Media: Do you have any respectable enterprises and entrepreneurs? If you want to label yourself, which words do you think would be better?

Kong Jianmin: I don't judge myself. My enterprises and individuals will be more frank, transparent and open when others say it. As long as things that are beneficial and helpful to the enterprise must be done, I absolutely agree with things that can improve the enterprise, and things that are not good for the enterprise will be changed.

We must be honest with our partners and people and have trust between them. As for how to evaluate myself, I think I am very low-key, but I can do things with high profile.

Viewpoint Real Estate New Media: You are also doing poverty alleviation charity now. Will you invest heavily in this area in the future?

Kong Jianmin: Yes, every enterprise will do it according to its performance. When an enterprise grows bigger, it should not only solve local employment and tax problems, but also do charity. The economic and social benefits of an enterprise should be balanced, and it is impossible not to do social welfare.

Entrepreneurial stage can be a survival stage, and it must be done when it reaches a certain scale, because it will supplement and help the social influence and brand, so that others will pay attention to you after graduating from college and want to enter your enterprise, which is invisible to ordinary people.

The scale of the enterprise is large and the benefits are good, so it is necessary to do some charity work properly.

Viewpoint Real Estate New Media: There are many brothers working together in Hong Kong, but many of them operate in the form of funds. Is the joint view well divided and is there any contradiction?

Kong Jianmin: No, we three brothers grew up together and have a good relationship. They listen to me more about everything, and we have discussed it, but in the end someone has to make a decision. We have never had any conflicts. I dragged them into this industry.

Viewpoint Real Estate New Media: Why did you want to do real estate?

Kong Jianmin: A very accidental opportunity came in. This industry is very good, but there are also cases of big waves scouring the sand, which is easier said than said.

Viewpoint Real Estate New Media: Is there a clear goal in performance?

Kong Jianmin: I hope that 20 15 will exceed 30 billion. I am honest. I spent two years preparing for the product coverage and standardization center. I always tell my team not to worry, to lay a good foundation first, and then to do it much faster. If the quantity can't keep up with the management, it will be very dangerous and prone to accidents.

Some enterprises have developed rapidly in the past two years, but doing business is long-term, so don't dwell on it for a year or two. Because when everything is ready, the stamina will be sufficient.

Viewpoint real estate new media: Hejing Development 18 years, planning to be a century-old enterprise in the future?

Kong Jianmin: We have no such long-term goal. I am an optimistic person. I don't think the enterprise must be a century-old shop. Of course, I hope to stay in the company as long as possible, but I have retirement plans.

Although retirement does not mean quitting the enterprise and participating in major decisions of the board of directors, the whole operation is handed over to the management. All three of us will resign and stay on the board. We can give suggestions on the direction, but leave the management details to the management.

It's strange that people still have this kind of energy nowadays. Will they still have this energy in ten or twenty years?

Viewpoint real estate new media: Hejing is developing rapidly now.

Kong Jianmin: It's very fast now, because the foundation has been laid, and the requirement from land acquisition to opening is about half a year.

Viewpoint Real Estate New Media: Will there be quality problems?

Kong Jianmin: No, all aspects of the preliminary design should be done quickly, and the quality is no problem, because the opening has nothing to do with the delivery of the building. The key is to plan to land when taking the land, which requires strong team execution. Now we can do this. It used to be eight to nine months, but now it takes five to six months. Of course, some big projects can't, such as large-scale urban complexes. If it is a residential project, it will definitely work for five to six months.

Viewpoint real estate new media: A better location will encounter many demolition problems, will it take this kind of raw land?

Kong Jianmin: Demolition is basically not done. Demolition is troublesome and unpredictable, and there is no demolition law in China's property law If you want to do demolition projects, you must take them after demolition, and the achievements of 1989 can be involved in the first-level development.

Viewpoint Real Estate New Media: You don't talk much about political issues, especially southern entrepreneurs don't like to talk about political issues.

Kong Jianmin: The government has its own difficulties. It is wrong to blame the government for everything. Besides, the beneficiaries of reform and opening up are our entrepreneurs. What are the complaints?

Of course, the government will also understand enterprises. When there are difficulties, the government will still support it. The government should also understand when there are difficulties. There is no point in complaining too much.

The government considers the overall situation. When enterprises are in trouble, the government will lend a helping hand, but the government should also balance the society and appease the people. After the reform and opening up, entrepreneurs in China are all beneficiaries. As a beneficiary, what do you have to complain about? Of course, this requires mutual understanding.

Personally, I am very open-minded. I won't do anything to make money, never. I think this is a natural thing. You must be serious when you enter this industry and this office. You must be worthy of shareholders and enterprises.

When you leave, you should face life and life positively, and you must maintain a good health and an optimistic attitude. Must have a strong heart, psychological quality is an entrepreneur must have.

I always say to my friends, "having no money today doesn't mean having no money tomorrow." Having money today doesn't mean having money tomorrow. "

Without this mentality, I can't live at all, so all my friends have made long-term friends. Now I often come to my house for tea and chat with friends I met more than ten years ago, but my business is not very good.