Qingliu | mysterious merchants gamble on the old reform of Guangzhou?

category:Finance
 Qingliu | mysterious merchants gamble on the old reform of Guangzhou?


In 2019, 60% of the old renovation projects in Guangzhou will be won by Shenglong group. By the first half of 2020, Shenglong has won eight old renovation projects in Guangzhou, with a total area of over 17 million square meters and an estimated total investment of 73.5 billion yuan. In contrast, according to kerrui data, at the end of June this year, there were 7 old renovation projects in Guangzhou by China and R & F real estate in Guangzhou, with the total old area less than 5 million square meters.

Obviously, Shenglong group has become a new force that can not be ignored in the old reform market of Guangzhou.

In China, this real estate enterprise is extremely mysterious, because it is not listed and does not issue bonds, its source of funds and background support is a mystery. The only high-profile event is that in 2020, Lin Yi ranked 163 in the Hurun global real estate rich list with a wealth of 12 billion yuan.

Who is behind the low-key and mysterious Shenglong group?

In terms of funds, Shenglong group mainly cooperates with Fujian villagers in Zhengzhou and enters Nanjing. Its main source of funds is various fund products. After Shenglong entered Guangzhou in 2017, Shenglong not only sought local partners, but also began to raise funds. Since 2018, a total of three Ping An Trust Shenglong collective fund trust plans have been established, but there is no more information to show the specific investment direction of funds.

It remains to be seen whether Lin Yi can avoid the mistakes of that year and win the gamble.

Won eight projects in Guangzhou in two years

After withdrawing from Zhengzhou and Nanjing successively in 2016, Shenglong group established Guangzhou Shenglong Investment Co., Ltd. in early 2017 and formally entered Guangzhou.

Since then, Shenglong group has swept through eight old renovation projects in Guangzhou. Four projects, including Chongwei village in Jinzhou, caibian village in Panyu, Qunxing village in Zengcheng and Nanwan community in Huangpu, were independently completed by Shenglong group, and the other four projects were won by the consortium.

Among the three joint projects, Shenglong group found cooperation with local real estate enterprises in Guangzhou. Shenglong formed a consortium with science city group, Fangyuan group and Pearl River Investment respectively, and won the reconstruction project of the east area of Maogang road in Huangpu, the old reconstruction project of Shaxi village in Panyu and the old reconstruction project of Changgang village in Zengcheng.

Qingliu studio found that renxiaoming and Liu Zhimin were the shareholders of Ruijing company after penetration, and they worked in many Shenglong companies. As early as 2017, Ruijing company and Shenglong group established a joint venture, Guangzhou Huilong Real Estate Co., Ltd., with Shenglong accounting for 80%. According to the official website, by the end of 2019, the first phase of reconstruction and resettlement area of Tangcun old reconstruction has started.

Through different ways, Shenglong group has won eight projects in Guangzhou, each of which needs to pay 500 million yuan of deposit. At present, the deposit investment should be 4 billion yuan, and the total investment of eight projects in the future will exceed 75 billion yuan.

However, according to institutional data, the sales volume of Shenglong group in 2019 is only more than 10 billion yuan, falling out of the top 100 list. Under the declining performance, where does the capital of Shenglong group come from?

Zheng Jingshan, with financial background, helped Shenglong to open up financing channels of many financial institutions. In 2018, Shenglong Group signed strategic cooperation agreements with CCB Guangdong Branch, China Minsheng Bank Guangzhou Branch, Bank of Guangzhou and Guangzhou agricultural commercial bank, which agreed to open in-depth cooperation in the field of urban renewal, but there is no information to show the specific financing amount. Yan Yuejin, a real estate analyst, said that such bank agreements usually determine the amount of money according to the cycle of demolition and old reform, and will also be affected by the policy level.

Shenglong also raises funds through trust companies. According to the official website of Ping An Trust, from January 2018 to November 2019, three Shenglong collective fund trust plans were established, but the specific amount and investment direction were not disclosed.

Deep binding with capital players in early years

Shenglong group is unknown, but it has to spend a lot of money on the old. Is there anyone else behind Lin Yi?

Qingliu studio found that in the early years, Lin Yi had close contact with the listed company Lijia shares and Sanmu group. It was not groundless that Lin Yi relied on Fujian rich businessman Chen Longji to make his fortune.

Chen Longji is a famous capital player. He once held shares of Lijia, Zhenghe and Sanmu group, and made a lot of profits by buying and selling shares of listed companies. Chen Longji also participated in real estate projects and operated a number of large-scale commercial real estate projects. In 1998, Chen Longji returned to his hometown and invested 2.5 billion yuan to rebuild Zhongting street in Fujian Province, completing the largest old city reconstruction project in Fujian Province, which was a great sensation.

From 1993 to 2010, Chen Longji served as the chairman of the board of directors of Sanmu group, a listed company, which specializes in building materials.

Qingliu studio found that during Chen Longjis tenure, Sanmu group had close business contacts with Fujian Zhongtian Real Estate Co., Ltd. (hereinafter referred to as Fujian Zhongtian). In 2000, Fujian Zhongtian owed Sanmu group 2 million yuan of real estate transfer balance. In 2003 and 2004, Sanmu group provided 3.5 million yuan guarantee for Fujian Zhongtian.

Fujian Zhongtian was founded in 1997, mainly engaged in engineering construction. There is no Lin Yi in the ownership structure of Fujian Zhongtian. However, a civil ruling of the first instance on the case of infringement of copyright property by Fujian Zhongtian in 2009 shows that the legal representative and chairman of the board of directors of Fujian Zhongtian were Lin Yi.

Lin Yis figure also appeared in the announcement of Lijia shares controlled by Chen Longji.

Li Jia shares mainly engaged in comprehensive development of real estate, and Chen Longji was the actual controller of the company. During the period of controlling Lijia, Chen Longji provided guarantee of 3 million to 15 million yuan for Fuzhou Shenglong Elevator Co., Ltd. (hereinafter referred to as Shenglong elevator) from 2003 to 2005. Lijia said in the announcement that it has a long-term business relationship with Shenglong elevator, and there is no relationship between the two parties.

According to industrial and commercial data, Linyi founded Shenglong elevator in 1999. At present, Linyi holds about 95% of the shares. The company is mainly engaged in elevator sales and building materials wholesale, and is still in business.

With the help of Chen Longji, Lin Yis elevator business is booming. As of November 30, 2004, the total assets of Shenglong elevator are 167 million yuan, the total liabilities are 103 million yuan, and the net assets are 63.76 million yuan.

In 2003 and 2004, the annual net profit was 27.8842 million yuan and 6.0561 million yuan. Shenglong elevator company realized a net profit of 5.2735 million yuan in 2003 and 14.82 million yuan in November 2004, which is not inferior to Lijia.

Various phenomena show that Lin Yis early capital accumulation can not be separated from the help of Chen Longji. Until 2006, there was no intersection at the level of listed companies. One possible reason is that since the beginning of 2006, the shift of business focus of Lin long has led Lin Yu to imitate Chen Longjis entry into the old market and open up a new world in Zhengzhou and Nanjing.

Sources of funds -- loans, cooperation and development of products

Money is not enough. Circle of friends.

Lin Yi found another Fujian rich businessman Xu Lianjie to cooperate, and eventually transformed Yanzhuang into Manhattan square, becoming the first complex of residential commercial type in Zhengzhou. Xu Lianjie is the founder of HengAn international, a listed company in Hong Kong. He mainly deals in sanitary products and creates a famous brand Anle. In addition, he led his three sons Xu Qingshui, Xu Qingliu and Xu Qingchi to establish a huge real estate empire.

After the completion of Yanzhuang project, Lin Yi continued to cooperate with Xu Lianjie. At the end of 2007, Shenglong group established Henan Jiehong Real Estate Co., Ltd. for the reconstruction of fenghuangtai city village. At the beginning of its establishment, the company was held by Lianjie Investment Group Co., Ltd., Lianjie Investment Group Co., Ltd. and Henan Shenglong, with Lin Yi, Xu Qingshui and Xu Qingliu as senior management. After that, Shenglong won the project of Zhengzhou Shenglong square and established a joint venture company, Henan Lianjie Real Estate Co., Ltd., with Xu Lianjie as the legal representative.

From November 2012 to September 2013, Shenglong Group invested RMB 7.5 billion to win three golden plots in Nanjing, and built three projects, namely, business complex Shenglong Huijin center, Villa Park Road and high-end residential project Shenglong Tianhui.

Qingliu studio found that the so-called own asset management platform is actually the way of raising funds commonly used by unlisted real estate enterprises - Product financing.

In addition, five Jinyuan Huili Yuansheng Shenglong special asset management plan and one Minsheng plus bank asset management Shanghai Shenglong special asset management plan were filed with the fund industry association, but there was no more information on the investment direction of the above funds.

Wife and children manage overseas assets

It is worth noting that Shenglong group is only a part of the assets of the Lin family floating on the water, and there are many assets hidden on the other side of the ocean.

According to the official website of Shenglong group, the companys overseas real estate has gradually entered Australia, Los Angeles and other places. The company has developed projects of Los Angeles? Oliver street, 11th Street intersection and Los Angeles? Glen street. According to a release from sina Leju, Shenglong group has invested more than $1 billion in North America by the end of 2016, and plans to invest another $3 billion in three years.

Shenglongs largest overseas business base is Australia. According to Australia daily, in 2014, Shenglong group set up a subsidiary company in Australia, which was entrusted to Lin Yis wife Lin Yunhui and his son Lin Shangjin. According to media statistics, aqualand currently has 18 development sites in Sydney, worth about a $5 billion.

Similar to Shenglongs march into Guangzhou, the Lin familys overseas activities in recent years have become high-profile.

In 2018, aqualand paid for a 15% stake in McGrath, an Australian listed real estate service provider. Waynemo, a senior executive of aqualand, entered the listed company. In the second half of 2019, aqualand continued to increase its holdings, holding 18.5% of McGraths equity so far, second only to founder John McGrath (22%). Aqualand said it wanted to use McGraths project marketing team to help drive sales of its new properties.