The conference room on the thirty-ninth floor of Qinghe Building.
After completing the great undertaking of poaching talent, Ding Yun immediately gathered the individuals she had poached for a meeting to clearly state her requirements.
The core directive was to maintain the current status quo and stability.
She harbored no ambitions of expansion or becoming the wealthiest individual.
With this core principle established, the next item on the agenda was to discuss the disposition of the newly acquired properties worth over thirty billion yuan. The options considered were slow sales or basic renovation followed by rental.
Alternative disposal methods were also explored.
The employees present offered numerous suggestions on this matter.
However, Ding Yun consistently found them too conservative. Crucially, selling such a vast number of properties was problematic; renting them out at high prices would make them difficult to lease, while low prices would not be satisfactory.
Therefore, Ding Yun ultimately proposed a different idea:
"Wait a moment, please quiet down a little.
All commercial spaces and office buildings will continue to be sold or rented out directly, this aspect remains unchanged.
However, for the remaining residential properties, we will try something different.
If a tenant can continuously rent our properties for ten, twenty, or thirty years without interruption, then we can directly grant them ownership of the property.
From what I understand, many people who rent houses are not necessarily unwilling to buy; it's either because they cannot afford the down payment, or they are worried about the pressure of loan repayments.
The model I'm proposing, where we grant ownership after thirty years of continuous renting, is essentially an alternative to a zero down payment. If we also slightly lower the rent and extend the continuous rental period slightly, most people should be able to afford it."
"For example, if a property is worth a million yuan, and the normal rent is two thousand yuan per month, totaling twenty-four thousand yuan per year.
Then, they would only need to rent it for forty years.
After which, we can directly grant them ownership of the property."
As soon as Ding Yun finished speaking, someone immediately interjected:
"President Shi, your proposal is quite good, but you may have overlooked certain aspects. Firstly, will our rent remain at that level without increasing, or will it gradually rise with time?
If it doesn't increase, we will incur significant losses.
Conversely, the tenants would essentially be obtaining an interest-free loan.
A forty-year interest-free loan at that."
"Another point is that many young people do not buy houses not just because they cannot afford the down payment or the monthly mortgage payments. A more significant reason is that their jobs are not particularly stable, and they tend to move their rental locations along with their work locations."
"Therefore, your proposal of selling through renting may not achieve the desired outcome. It might be better to opt for direct rental, thus avoiding the hassle."
Ding Yun's idea sounded appealing, but when combined with practical considerations, several issues began to surface. These included problems like currency devaluation and inflation, as well as whether young people were truly willing to live in the same place for forty consecutive years. If there were jobs nearby, that would be one thing.
But if not, it would be a wasted effort.
For instance, in cities like "Mouhe" and "Mougang," regardless of how low the housing prices were, young people ultimately chose to leave.
After all, what use is having a place to live without a job?
As for older individuals who are willing to settle down,
it's questionable whether they will live for another forty years.
Beyond that, to put it bluntly, there's also the question of whether this company will even exist for another forty years.
"I'm aware of these issues, and I have considered them.
However, I'm not expecting to make a significant profit from this. If the currency devaluation is moderate, I can bear the cost. If the devaluation is severe, say a thousand or a hundred times, then the national order itself would likely be in question, and profit or loss would be irrelevant.
Excluding these exceptional circumstances.
By simply adding a supplementary agreement, we can perfectly resolve the issues you've raised.
That is, the rental period can be transferable.
For example, if a tenant rents our property for three years, but after three years, they have to change jobs and are unable to continue renting, and they feel that it's too much of a pity for their accumulated three years of rent to go to waste.
Then, they can choose to transfer their three-year rental period for that property to the next tenant. The next tenant would only need to rent for an additional thirty-seven years to obtain ownership of the property. Whether the transfer is free or for a fee would be entirely up to their negotiation.
We will not interfere.
Furthermore, to reduce our losses, the rent price should fluctuate with the market. At most, we will sign a guarantee, for instance, stating that the rent increase will absolutely not exceed the market price, thereby minimizing our losses.
If it still feels like a loss, then during the transfer of the rental period, we can collect a certain commission or a penalty, without setting the amount too high. If we ask for a small amount, there will be no complaints.
After all, they are the ones who are in breach of contract first!"
"Tell me, aren't you tempted?"
After Ding Yun added these details, the employees present pondered for a while before nodding in unison.
"We are definitely tempted.
After all, for those renting, the benefits are immense. In the past, after paying rent, the money had no further connection to them. But if it's done as you suggest, renting is effectively equivalent to spending money to acquire partial ownership of the property. Even if they encounter an urgent situation and are forced to move, they can still recoup seventy to eighty percent of their original rent."
"And it's also a form of alternative financial management."
"It's also a form of alternative savings, just that cashing out is slightly slower and less than normal savings."
"President Shi, from a customer's perspective,
your proposal is indeed excellent and very attractive. However, I cannot see the profit margin.
Our returns from doing this are similar to simply renting out the properties, but we are directly giving away the property ownership. This looks like a losing proposition from any angle. Your approach seems almost like charity."
From the user's standpoint, they found Ding Yun's proposal excellent. However, from the company's operational perspective, wasn't this a pure act of folly?
There were simpler and more direct ways to make money; why complicate matters with something that appears to be a loss-making venture?
"Then consider me as doing charity.
I'll ask you one question: would people be willing to rent these renovated properties, and would it attract them?"
Ding Yun pressed further.
Whether it was profitable or not was of little concern to Ding Yun. After all, she had over fifty billion yuan in cash flow that needed to be spent within the next six to eight months. What was this small loss in comparison?
Moreover, this was not a substantial short-term loss.
It was a long-term, minor loss.
Some could even be considered as simply earning less.
"Yes!"
"It will definitely attract people, they might even fight over it!"
Seeing Ding Yun's resolute question, they immediately knew that further persuasion would be futile. Since it wasn't their money being lost, they all truthfully replied.
"Since it can attract people, then proceed with it!"
"Start renting out the directly renovated properties, and for those not yet renovated, immediately opt for low-impact, simple renovations before renting them out!"