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Chapter 2888

~8 min read 1,406 words

"Reason?"

Zhou Andong slightly raised his head, looking at the moving scenery outside the car window—it was a stretch of abandoned buildings. Two years ago when he came, it seemed he had taken this very road; back then everywhere was construction sites, machinery roaring, a scene of bustling activity. Now, this road everywhere was abandoned construction sites, weeds grown half a person tall.

"The reason investment promotion has hit obstacles is mainly still the real estate crash." Zhou Andong put the cigarette pinched in his hand to his mouth and took a drag: "On one hand, hotel brands have extremely high evaluation standards for the market stability and policy continuity of investment destinations.

At this time, negative signals of Qiong Province's property market crisis are flashing red; investors have strong doubts about regional asset safety. On the other hand, the upfront investment scale for high-end holiday hotels is huge, with payback periods stretching over ten years; in the stage where regional market confidence has not yet stabilized, almost no capital is willing to bear such long-term investment risks."

Zhou Andong took a drag of his cigarette, glanced around, and then said: "So, the core pain point of Qiong Province's investment environment is not a lack of natural resources, but the uncertainty signals conveyed by abandoned construction projects spread throughout the province.

Those unprocessed abandoned buildings not only occupy large amounts of core-area land resources, but have also become negative visual symbols for outsiders to judge Qiong Province's market signals.

For the vast majority of investors, these abandoned buildings towering on urban coastlines and core road sections are the most intuitive evidence of the property bubble, and also mean that the region's lingering risks have not yet been resolved.

Therefore, to break such an investment promotion deadlock, the primary core prerequisite is not rolling out various preferential investment promotion policies, but to advance the comprehensive proper disposal of abandoned buildings through substantive actions.

When outsiders can clearly see Qiong Province advancing abandoned building disposal work with determination and pragmatism, tourism real estate investors will gradually correct their risk assessment of Qiong Province's market.

Only when the market generally realizes that Qiong Province is clearing the property bubble, gradually untying the ropes binding Qiong Province's tourism development, will those long-cycle, heavy-investment high-end holiday hotel projects be willing to settle in Qiong Province.

Zhou Andong remembered that until 1999, the central authorities had made the decision to dispose of Qiong Province's piled-up real estate as a pilot project. Until 2007, Qiong Province had spent a full eight years to complete the province-wide resumption of construction and sales of abandoned buildings, activation or recovery of idle construction land, relief of bank real estate credit risks, and full recovery of the real estate market.

At that time, the central authorities formally approved Qiong Province's construction of an international tourism island, injecting new vitality into Qiong Province's tourism development and marking that Qiong Province's tourism had entered a completely new stage.

Now Zhou Andong has laid out the problem; it remains to see whether Peng Han and Zhou Guodong and the entire Qiong Province leadership team have this courage, to get ahead of the central authorities and make the decision to dispose of piled-up real estate several years in advance.

However, no matter what decision Qiong Province makes, at this time Qiong Province's real estate is as cheap as rotten cabbage. Both the government and developers are eager to find someone to take over the abandoned projects.

The government is eager to activate the projects; developers are eager to recover funds. If Zhou Andong takes over, it would definitely be like sending charcoal in the snow—not only could he obtain the project at minimal cost, but he could also earn a huge favor from Qiong Province—why not?

More importantly, when he enters at this time, he remembers that the core-area projects of Qiong Province's several golden cities could all be pocketed.

Inside the car, besides wind noise and engine sounds, no one spoke; everyone was pondering Zhou Andong's words. Especially Feng Xin, director of the provincial investment promotion department, who had worried himself gray-haired in order to attract high-end holiday hotels.

He couldn't even recall how many investment parties he had contacted, even going himself to talk to them; their attitude was very enthusiastic, but the final result without exception was either consideration or delay—none even came for inspection.

In fact, he had also contacted Wanwan Group, but got no reply. Until Zhou Guodong returned from Jingcheng, learned of Zhou Andong's relationship with Wanwan Group, and promised to come inspect Qiong Province next year, did Feng Xin's perpetually tense nerves finally loosen a bit.

No matter how you say it, Zhou Andong and Wanwan Group promising to come inspect next year brings hope. Even if the hope is slim, it's still better than despair—at least there's a glimmer of expectation in the heart.

Now hearing Zhou Andong's analysis, he feels it's quite right. Those vast stretches of abandoned buildings and idle land, if not cleared in a day, the progress of tourism investment promotion will not see much improvement.

Of course, if Zhou Andong this living signboard can stay behind and take over a few abandoned projects, then the signal sent outward will definitely be able to break the current deadlock in tourism investment promotion.

Then, the province can again formulate policies and regulations and a pilot plan for disposing of piled-up real estate, strengthen investors' confidence in Qiong Province's tourism market, and keep them completely.

"Guodong!" Peng Han said softly: "Zhou Dong says it makes sense—do you have any opinion?"

Zhou Guodong took a deep breath, then exhaled slowly: "I temporarily have no opinion, but Zhou Dong has already pointed out the crux of Qiong Province's current situation; we must pay attention and find a way to cut out the crux."

"You're right!" Peng Han nodded and said: "After returning, we'll hold a meeting, pool ideas, and first come up with a pilot plan for disposing of abandoned buildings."

Zhou Guodong looked at Zhou Andong with fiery eyes: "Zhou Dong, how to dispose of those abandoned buildings and idle land—do you have any method?"

"No!" Zhou Andong shook his head: Regarding how to dispose of those abandoned buildings and idle land, he still knows a bit, but what he said today is already enough—no need to stick his neck out further.

Zhou Guodong was not disappointed, because Zhou Andong had already pointed out the crux; if this way they still couldn't find a disposal method, then Qiong Province's leadership team could only collectively resign and go home to sell sweet potatoes.

"Zhou Dong!" Zhou Guodong immediately changed the topic: "What's your view on our Qiong Province focusing on developing tourism?"

"My view is just optimism!" Zhou Andong said with a smile: "Qiong Province is China's only tropical island province, possessing a unique tropical ecological resource system nationwide—truly endowed with superior tourism resources.

Reform and opening-up has already been over ten years; although the steps of reform and opening-up in the Central Plains and northern regions have slowed considerably. But since 1992, they have also quickened their pace.

With the passage of time, our country's various industrial structures will continue to optimize, employment channels will continuously broaden, and residents' income will continue to rise steadily.

When the common people's purses keep getting fuller, household wealth accumulation reaches a certain level, consumption structure will certainly evolve. From the family focus of basic warmth and food, clothing, basic housing and other material needs, gradually shifting toward higher-level spiritual and cultural needs.

Although our country's average income has not yet reached the stage of consumption upgrade, I believe this day's arrival will not be too far. When the people's material lives are sufficiently secured, their pursuit of spiritual pleasure and experiential satisfaction will quickly burst forth.

Therefore, from the macro dimension of industrial development, entertainment and tourism industries are precisely one of the core directions for our country's future economy and high-quality development."

Having said this, Zhou Andong looked toward Zhou Guodong and Peng Han: "Therefore, I am very optimistic about Qiong Province's tourism development."

Zhou Guodong and Peng Han exchanged glances; although their faces showed no expression, their hearts were blooming with joy. Since Zhou Andong is so optimistic about Qiong Province's tourism industry, if I give you the best preferential policies to let you stay and invest, there should be no problem, right?

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End of Chapter

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