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Mr. Chen, Vanke and Zhejiang Lian Real Estate decided to cooperate to develop the later part of Yunshang City (Forum), both parties The emphasis is on collaboration rather than acquisitions or mergers.
In fact, since this year, cases of real estate projects developed under a cooperative model have appeared frequently in the Kunming real estate industry, and it seems that it is no longer news. However,
Looking at the essence of cooperation, the real purpose of cooperation in some projects is not actually the project itself, but cooperation is more like a transaction. An in-depth study of which
cooperation model Vanke will adopt should be the focus of excitement in the industry. For Vanke, such cooperation is actually no longer news. Looking back two years ago, Vanke entered Kunming
through cooperation with a local company to develop a project in the northern urban area. Across the country, Vanke’s cooperation model is also common. In fact,
Whether it is Vanke or other real estate companies, such cooperation is normal. Even if it is an acquisition or merger, it is a normal business behavior in the commercial society.
The reasons leading to these behaviors There is only one, and that is of course interest. Vanke has always been an advocate and forerunner of China's real estate industrialization.
The scientific and rigorous project development process is a model in the industry. Even before entering the Kunming market, they had observed Kunming for a long time before entering Kunming.
The final model for entering Kunming was to very carefully choose the business model with the least risk by cooperating with local companies, rather than directly Develop projects independently by acquiring land through bidding, auction, and auction.
This is the business philosophy that Vanke has always adhered to: it would rather make less profit than take risks easily. Acquiring land directly from the market is the most expensive and risky link in the real estate development process. Vanke has always been very cautious in this link. Therefore, we often see Vanke in Development projects at the junction of urban and suburban areas because the land value-price ratio in these areas is acceptable to Vanke.
In addition to choosing cost-effective land to develop projects, using other people's land to develop your own projects may be the best way to avoid land market risks,
because various complex issues in the process of acquiring land have been Land holders settled. From project establishment to demolition to meeting development conditions for the land renovated in Kunming's urban villages, developers have to go through all kinds of hardships that ordinary people can't imagine. Such hardships are impossible for Vanke to bear. Vanke's specialty is industrialized product R&D and marketing.
By cooperating with the legal land holders, both parties can complement each other's strengths and jointly make the pie bigger before sharing the profits, so that everyone gets what he deserves. Looking back at the projects jointly developed by Vanke,
we can roughly summarize the following rules: one party has land that meets the project development conditions, but lacks development experience or has weak marketing skills, while the other party has development experience and marketing power for similar projects.
This kind of cooperation is more about complementary advantages, and the financial factor is not so critical. The acquisition of non-performing assets was not originally Vanke's interest.
In fact, there are many good projects like Yunshang City in Kunming. However, due to various reasons, project development faces many difficulties. In addition to the problems faced by land consolidation
In addition to choosing land with high cost-effectiveness to develop projects , using other people's land to develop your own projects may be the best way to avoid land market risks,
because various complex problems in the process of acquiring land have been solved by land holders. From project establishment to demolition to meeting development conditions for the land renovated in Kunming's urban villages, developers have to go through all kinds of hardships that ordinary people can't imagine. Such hardships are impossible for Vanke to bear. Vanke's specialty is industrialized product R&D and marketing.
By cooperating with the legal land holders, both parties can complement each other's strengths and jointly make the pie bigger before sharing the profits, so that everyone gets what he deserves. Looking back at the projects jointly developed by Vanke,
we can roughly summarize the following rules: one party has land that meets the project development conditions, but lacks development experience or has weak marketing skills, while the other party has development experience and marketing power for similar projects.
This kind of cooperation is more about complementary advantages, and the financial factor is not so critical. The acquisition of non-performing assets was not originally Vanke's interest.
In fact, there are many good projects like Yunshang City in Kunming, but due to various reasons, project development faces many difficulties, in addition to the problems faced by land consolidation
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