Chapter 1465

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Protagonist:

Li Xiulan

"For this meeting of ours, I hope that under Town Mayor Zhong's witness, we can achieve fairness, justice, and openness, and adhere to the principle of voluntariness. All cooperation details will be laid out on the table and explained clearly. If anyone has opinions, speak them out promptly, speak freely. Only then can we push forward efficiently!"

Zhang Sheng spoke these words with a smile, glancing at Zhong Hongtao from time to time while doing so.

Zhong Hongtao nodded repeatedly; he naturally also hoped this project could land as soon as possible.

At this moment Zhang Sheng spoke again:

"Previously, President Wang and I verbally agreed that each side would contribute fifty percent to develop the Shangang Town real estate project. Now that President Niu has joined, I feel the contribution ratio can be adjusted. I will put in forty percent, President Wang and President Niu each thirty percent, and then regarding equity shares, the three of us — me, President Wang, and President Niu — will each hold thirty percent."

Wang Erhai was stunned:

"Then what about the remaining ten percent?"

Zhang Sheng replied with a smile:

"I suggest the remaining ten percent of shares be held by the Shangang Town Government as a collective."

Wang Erhai had no objection to this.

After all, he contributes thirty percent and his equity share is also thirty percent.

Niu Chunsheng also had no objection; he already felt very honored to be able to join this project development.

It's just that Zhang Sheng contributes forty percent yet holds only thirty percent equity — isn't that a ten percent loss before the project has even landed?

As a merchant chasing profit, how could he voluntarily make such a sacrifice?

Zhang Sheng now asked Zhong Hongtao:

"Town Mayor Zhong, what do you think of my proposal?"

Zhong Hongtao said:

"If it lets our Town Government hold ten percent equity, that is naturally best of all. That way we become an absolute community of shared interests, able to ensure the project's rapid advancement."

Speaking here, Zhong Hongtao's tone shifted:

"However, President Zhang, you voluntarily conceding this ten percent equity — does it come with some condition?"

Zhang Sheng let out a hehe laugh and said:

"Town Mayor Zhong is indeed a smart person. Actually, I have a presumptuous request."

Zhong Hongtao said:

"President Zhang, you coming to our Shangang Town to spearhead a real estate development project — our Town Government is grateful to you beyond measure. Whatever requirements you have, just bring them up; no need to be so polite about it."

Zhang Sheng said:

"It's actually not an excessive request at all. It's just that when the real estate project is completed later, I hope the property management side can be handled by a company I designate."

Zhang Sheng's request is indeed not excessive.

Every real estate project once built certainly needs property management.

Originally, by convention, property management is undertaken by a company designated by the developer.

It's just that Zhang Sheng now wants to bring property management into his own company, not share it with Wang Erhai and Niu Chunsheng, so he proactively conceded ten percent to the Shangang Town Government in advance.

In this way, as long as he gets the Town Government's support, Wang Erhai and Niu Chunsheng naturally won't be able to say anything further.

Sure enough, Zhong Hongtao readily agreed:

"Fine, this is completely no problem. When the time comes, just let your designated company move in!"

Zhong Hongtao actually doesn't understand property management operations very well.

Never mind property management; he doesn't understand real estate development very well either.

Anyway, since he can get something for nothing and secure ten percent equity, that is naturally best of all.

As for Zhang Sheng's request, it's not excessive either, so he readily agreed.

Wang Erhai also had no objection to this.

As long as the houses get built, then sold, and he makes money, he doesn't care who gets the property management.

A trace of something unusual appeared on Niu Chunsheng's face.

He is also a real estate developer; he knows how much subsequent income property management brings.

But now Zhang Sheng has seized the initiative, instantly winning the Town Government's support, so he can't say anything more either.

The reason he joined this project is more out of contribution to his hometown.

He's been a businessman all his life, earned quite a lot of money, but feels he hasn't done many meaningful things.

Now that he's reached middle age, it's also time to start giving back to society.

So he didn't say anything either.

Since everyone has no objection to Zhang Sheng's plan,

next they only need to finalize the contract details, and this cooperation agreement will be signed.

Because the Town Government side will take ten percent equity, Zhong Hongtao, as the Town Government's representative, also needs to sign the agreement.

In this way, this real estate project ultimately binds Zhang Sheng, Wang Erhai, Niu Chunsheng, and the Shangang Town Government represented by Zhong Hongtao — four parties tied together as a community of shared interests — and the risks will naturally be jointly borne by all four parties.

Zhang Sheng's maneuvering this time can be called extremely shrewd.

On the surface he appears to have put in an extra ten percent investment yet received ten percent less equity, but in reality that large piece of fat meat — property management — will sooner or later let him recoup the returns that ten percent equity would have brought, and even far more than the returns that ten percent equity would bring.

And after this series of operations, directly tying the Shangang Town Government onto the boat, in the subsequent land acquisition, approval procedures, and other issues, green channels of all kinds will certainly be opened.

The reduced wrangling work here can greatly improve project advancement efficiency — that is a benefit that cannot be measured in money!

People who do real estate projects all know: the smaller the place, the more severe the extortion and obstruction problems in the approval process, and the crux of this problem is that real estate developers failed to form a community of shared interests with the local government; once the local government takes the land revenue, they wash their hands of it.

And if an interest community is formed, the problems of extortion and obstruction naturally won't arise; after all, those front-line minions, even if they don't respect the monk's face, still have to respect the Buddha's face.

They dare make things difficult for real estate developers, but they don't dare make things difficult for their own top superiors.

The operation of this matter alone is enough to show that Zhang Sheng indeed has a knack for doing business.

As for Zhang Sheng, to tell the truth, he is indeed bad, but his ability is indeed also strong.

However, for the Town Government to get ten percent equity in this real estate project isn't that easy either.

Direct shareholding would certainly be non-compliant.

So another way has to be found.

And this alternative path, others have actually already taken.

It doesn't count as anything difficult.

That is, led by the local government, establish a Cheng Tou Company, then in the Cheng Tou Company's name cooperate with the developer; this way, the developer can legally transfer benefits to the local government.

So Zhang Sheng had Zhong Hongtao, after returning to the Town Government, take the lead in establishing a Shangang Town Investment and Development Company; once this company was established, they would then begin docking with them, and at that time supplement a cooperation agreement between the developer and the Shangang Town Investment and Development Company.

Zhong Hongtao naturally happily agreed to this, but also said this matter he couldn't decide alone; he had to go back and discuss with the Town Party Secretary, Town Mayor and others before a final decision could be made.

Zhang Sheng was very optimistic about this; he felt Shangang Town's Town Party Secretary and Town Mayor and the others certainly wouldn't refuse such a cooperation.