In the past two years or so, Mr. Chen, the owner of the house, never expected that there would be any trouble today.
At the end of January 2018, the eggshell apartment on the tuyere entered Guangzhou. Before that, eggshell has entered seven first tier and new tier cities, including Tianjin, Wuhan, Beijing and Shenzhen. In just three years, it has distributed 80000 houses nationwide and completed two rounds of financing.
It was in July that year that Mr. Chen handed over to eggshell management the second-hand house that he had just bought for his parents. At that time, the market rent may be 4500 yuan, but the eggshell will be 5000 yuan..
However, this year, the current rent of the same area of the property is between 4300 yuan and 4500 yuan. Even if Mr. Chen agreed to reduce the rent to 4800 yuan, the eggshell still lost money.
This game, which seems to be losing money, is a fun game. In order to compete for market share, eggshell crazy subsidies users, average cost of each new housing, it takes 12-20 months to recover. Between 2017 and 2019 alone, the number of operating rooms in the company soared nearly 30 times.
Recently, the share price of the eggshell apartment, which suffered from the collective rights protection of the tenants and owners due to their arrears of wages and rent, once plummeted, but in the past two days, the share price has risen by more than 70%.
The second share of long-term rental apartment listed in the United States publicly responded that there is no bankruptcy, there is no way to run away, and also responded to the tenant that the payment method will be temporarily changed from advance payment to payment after one months residence.
Eggshell apartment responds to bankruptcy: I dont, I wont
However, the owner who has been disconnected from the network for nearly half a month and has not received the rent of that month is eager to terminate the contract with eggshell. With more than 400000 rooms and more than one million users across the country, massive demands may continue to crush the normal operation of eggshells.
Its like a tornado. After two or three years of popularity, long-term apartments have fallen from the air vent to the ground.
Compared with the crisis of the first unit of long-term rental apartments half a year ago, this eggshell apartment, which is deeply in arrears with project payments, workers wages, and capital turmoil with 100000 owners, more than one million tenants and micro banks, has made the public and the government more aware of the crisis.
Recently, Chongqing, Shenzhen, Xian, Hangzhou, Chengshi and other cities have issued urgent notices to try to plug the regulatory loopholes of long-term rental apartments. The future direction of the long-term apartment, which has been blown up, is thought-provoking.
Eggshell apartment interior
There are landlords and tenants who cant get in
The previous night, the landlord found him, tough voice told him to move away the next day, otherwise, water and electricity will be cut off.. At 9:30 p.m. on the 17th, Xiao Xu communicated with the landlord for more than an hour, and finally waited for the landlord to promise two weeks grace, and then make a decision based on the market situation within two weeks.
At the same time, Mr. Chen, a white-collar worker living in Haizhu District of Guangzhou, once again went to his house on Baogang avenue to look for tenants, but failed again. The day before, he had been home twice knocking on the door, no response, had to stick a note at the door, but no response.
According to the agreement signed with eggshell in July 2018, Mr. Chen should have received the monthly rent of 4800 yuan from eggshell apartment on November 12, but it was delayed to the 19th, and the corresponding rent was still not received.
The customer service asked me to contact the tenant, and the tenant returned the rent, and then terminated the contract with the eggshell at the same time.. After repeatedly urging the eggshell customer service for rent, Mr. Chen stopped looking at the eggshell. After consulting a lawyer, he made an appointment to see the house through the eggshell, and agreed to go to his house to rent and see the house. He tried to find the tenant and deal with the termination of the contract.
But on the 23rd, Mr. Chen still couldnt find a tenant. He planned to stop water and electricity in two days.
Ms. Wu, who works in Hangzhou, is as anxious as Mr. Chen. In September last year, she entrusted her house in Zhujiang New Town of Guangzhou to eggshell, and signed a five-year agreement that the rent can arrive on time before the Spring Festival this year..
During the epidemic period, eggshell found her and asked her to respond to the rent-free request, I can provide more than 10000 yuan a month. How can I provide without the source of rent? Ms. Wu refused to rent free. Later, when the eggshell defaulted on the rent, Ms. Wu once pursued the rent through legal channels.
From October this year, eggshell began to pay rent late again. On November 13, eggshells account was frozen.. Ms. Wu is currently in a rent-free period, the termination of the contract during this period belongs to the owners breach of contract. Only one of the three tenants was willing to contact her and refused to move out of her house.
Ms. Wu has been active in the eggshell owners group, paying attention to the development of eggshells. After the rent free period, but still not receiving the eggshell rent, I will call the police to clear the tenants and terminate the contract..
Many owners and tenants rushed to the eggshell headquarters or Beijing headquarters to discuss. On November 17, an owner shared her experience of going to eggshell headquarters in Beijing to protect her rights: at 10:00 a.m., at least 300 people lined up at the door. I went straight to the second floor, and there were only more than 20 people. It took me about 20 minutes to get to me. After entering, more than 40 staff members were assigned to each to understand the situation and give solutions according to personal conditions.
High income, low income and low income
At the end of January 2018, eggshell apartment on the tuyere entered Guangzhou, and the preparatory work began. Before that, eggshell has entered seven first tier and new tier cities, including Tianjin, Wuhan, Nanjing, Beijing, Shenzhen, Shanghai and Hangzhou. In just three years, it has distributed 80000 houses nationwide and completed two rounds of financing.
At the opening ceremony of the eighth city of eggshell apartment in Guangzhou held in Pazhou Westin Hotel, Haizhu District, Guangzhou Development and Reform Bureau, Haizhu District Personnel Service Management Bureau, Haizhu District Investment Promotion Office and other institutions all sent personnel to attend. At that time, Shen Zhenqing, co-founder and vice president of eggshell apartment, announced in a high-profile manner that in the 68 days since the egg shell was launched in Guangzhou, it has expanded by an average of 7.4 units a day, and has managed 500 rooms in less than three months. According to the target of eggshell at that time, the goal of eggshell in Guangzhou at that time was to expand to 10000 rooms.
It was in July that year that Mr. Chen handed over the second-hand house he had just bought for his parents to eggshell management. This is an 82 square meter elevator with two bedrooms and no furniture and appliances. The market rent at that time may be 4500 yuan, but eggshell gives 5000 yuan.. After renting Mr. Chens house, the eggshell builds walls in the living room, divides the two rooms into three rooms, repainted, equipped with beds and simple household appliances.
The eggshell apartment with partitioned living room and no light
In the five-year contract, Mr. Chen and eggshell agreed to increase the rent to 5150 yuan in the second year, 5300 yuan in the third year, and so on. At the same time, there is a 55 day rent free period in the first year, 35 days in the second year, and 30 days in each year after the third year.
If there is no epidemic and eggshell crisis in recent years, Mr. Chen will be a happy shake off landlord.
Mr. Chen and I agree to reduce the rent in February. Until July, due to the increase of vacant houses in the market, eggshells negotiated to reduce the rent again. Mr. Chen agreed to reduce the monthly rent, which had risen to 5300 yuan, to 4800 yuan.
In Mr. Chens opinion, even if the eggshell divides the house into three rooms and rents it to 4800 yuan, it is still a loss. I find my house from their app. There is a room with a rent of more than 1300 yuan and two rooms with a rent of more than 1400 yuan. In addition, each room will charge more than 200 yuan of management and maintenance fees, which is roughly equal to the rent given to me.. During the epidemic period, the rent of one room was even reduced to more than 900 yuan.
Eggshell has been in debt for more than 9 billion yuan in five years
From the official website of eggshell, it can be seen that eggshell has more than 400000 rooms in China, serving more than 1 million users, and the industry brand satisfaction boasts itself as No1.
It took only two or three years for eggshell apartment to rise to the sky.
(eggshell) in order to expand the supply of housing, blindly high rent collection, this business model is problematic. Liu Xin, President of Guangdong Apartment Management Association and chairman of Guangzhou Real Estate Leasing Association, said that before eggshells entered Guangzhou, a parent of the association rented apartments and managed hundreds of apartments (decentralized apartments) in commercial housing communities such as Guangda garden in Haizhu District. However, since the eggshells entered freely, they generally offered rents higher than 12% of the market price, so the landlords cancelled their contracts and changed their contracts Shell, free, the long rental apartment company was forced to retreat to the village in the city market.
At the same time, in order to expand the scale of eggshell at that time, high salary poached money from peers. It is reported that the highest monthly salary of the post in charge of the house collection business can reach 450000 yuan; in the high rent season such as graduation season, it is relatively common for housekeepers to earn 20000 yuan a month.
Under the high cost of housing and high labor costs, eggshell lost money year after year.
According to the financial report released by eggshell apartment, in 2017, eggshell revenue was 657 million yuan, with a net loss of 272 million yuan; in 2018, the revenue was 2.675 billion yuan, with a loss of 1.37 billion yuan; in 2019, the revenue was 7.129 billion yuan, with a loss of 3.447 billion yuan; in the first quarter of 2020, the loss was 1.231 billion yuan, with a cumulative loss of 6.32 billion yuan.
As of the first quarter of 2020, the cash and cash equivalents of eggshell were 826 million yuan, the total liabilities were 9.027 billion yuan, and the asset liability ratio was as high as 97.06%.
This model will die sooner or later, and the epidemic is just an accelerator.. According to Liu Xins analysis, there are shells looking for houses as backup. However, the listing of eggshells caught up with financing difficulties. Gao Jing, the founder and CEO, was under control. Our peers also hope that they (eggshells) can survive.
327 new complaints in 12 hours
But the eggshell crisis may have just begun.
When I signed the contract on October 16, I joked with the housekeeper and said, its not safe for you to ask me to borrow money from the bank to pay the rent. Then you wont really run away and leave us alone. . Its a real curse. Since 6:00 p.m. on November 4, the eggshell network has been broken and has not been repaired.
Tiktok make complaints about many miserable life in the eggshell, and do not want to go home: at home, a video is in the heart, and Taobao is not painted.
The house that Wang Meng rented was originally three bedrooms and two bathrooms. The living room was partitioned by eggshells and became four bedrooms and two bathrooms. There are no windows or balconies in the hall, and the lights should be on during the day.. She rented one of the small rooms, the rent does not include water and electricity 1390 yuan, and about 10% bank loan interest. On November 17, the rent automatically deducted by the bank was 1517.4 yuan.
In my name, the bank has already given the eggshell the loan rent for a year. After two months of lease, the eggshell has a rebate of about 10% to the tenant every month. Wang Meng said that the cleaners who had been scheduled to do sanitation work between the end of October and November 11 have been doing sanitation in the future, and the public areas have become very dirty. She plans to live for two months on the external sublease, just now this situation, I dont know if there is anyone to rent.. She said that if there is no one to rent, they can only continue to live.
On the 23rd, Wang Mengs residence is still disconnected from the Internet. The landlord has not yet let her move away, saying that negotiations will be held next week.
In the black cat complaint platform, complaints about eggshells have increased by hundreds of thousands every day in recent days. Before noon on the 18th, the reporter from Nandu found that there were 28442 complaints about eggshells. However, by 11:38 that evening, the number of complaints had increased to 28769, which was equivalent to an increase of 327 complaints within 12 hours, with more than 27 complaints per hour.
At the same time, more and more users go to the headquarters to complain. An owner who went to eggshells Beijing headquarters said in the group that eggshell was actively financing and promised to compensate according to the regulations; for the owner, if the payment was not overdue, it would continue to wait; if the overdue payment was terminated, the eggshell would also support the landlord to change the lock; for the tenant, the landlord would be responsible for changing the house; if the landlord did not agree, the tenant would not be responsible for returning the rent, and the eggshell would be refunded; for the tenant with installment loan, he would be in the house After applying for the termination of the contract, Dong will directly go to the headquarters to terminate the contract, and the loan agreement will be automatically terminated within the longest three working days. However, all matters have to be dealt with in order and take time.
Two listed long-term apartments in the United States have burst into crisis
Looking back on the history of the rise of long-term rental apartments, it has been two or three years since the pig on the air outlet to todays situation.
In recent years, there have been thunderstorms in long-term apartments. According to incomplete statistics, from 2017 to August 2020, at least 70 parents died of renting apartments, among which 44 enterprises were killed in 2020 alone. Even if the current long-term rental apartment enterprises in operation, there are many crises.
History is always surprisingly similar.
More than ten years ago, the second landlord in Guangzhou also frequently appeared in the newspapers.
The central government of Guangzhou has issued a notice on the renovation of Fangzhong housing in Guangzhou on May 22, 2009. At that time, the notice required the owners or agents to remove the illegal parts before July 31, 2009, and the houses in the houses that refused to demolish were forced to demolish.
In the later period, with the development of the real estate market, house prices kept rising. The central government vigorously promoted no speculation on housing and housing and rent and purchase simultaneously to stabilize house prices. Since 2015, long-term rental apartments have been on the air.
Compared with the second landlord of that year, in addition to the long-term rental apartment owned by the developer, there is no big difference between the current long-term rental apartment on the market and the second landlord of that year.
The concept of long-term apartment has been misused. The long-term rental apartments encouraged by the state should be renovated by the owners, so as to turn the limited housing resources into incremental ones in the rental market. However, the long-term rental apartments discussed in the market are actually only second-hand housing resources with price difference. It is the financial second landlord who pays the price difference. The rent payment time between the owner and the tenant becomes a capital pool. . According to Zhang Dawei, chief analyst of Zhongyuan Real estate, if the scale of leasing enterprises in the market is not large, only a part of the middle and high-end rental market will be affected. However, the extensive rental market and the financial rent time difference lead to the increasing probability of long-term rental apartments running away.
Supervision is on the way. Is there any outlet for long-term apartments?
Zhang Dawei pointed out that at present, enterprises with long-term rental apartments have accounted for more than 20% of the market share in cities such as Beijing and Shanghai. If the same mode of transaction such as second landlord is calculated, there are already 60% rental houses in the market, and it is difficult to see homeowners transactions.
Beijing and Shenzhen have taken measures to stop the long-term rental apartments of room in room returning to the market.
In Beijing, since July 2019, the government has issued a document on Housing leasing to prohibit group rental and partitioned housing. Shenzhen also plans to legislate in 2018 to prohibit blocking and bundling rent loans, with a maximum penalty of RMB 100000 for partitioned housing rental.
In early September this year, the Ministry of housing and urban rural development (MOHURD) issued a notice on the public solicitation of opinions on the housing rental regulations (Draft) in view of the malpractice of the outbreak of long-term rental apartments, making relevant provisions on the rent loan, the high in low out and long-term receipt and short payment and other operational risks.
In the face of the eggshell apartment storm which has been deeply involved in the capital chain recently, Chongqing, Shenzhen, Xian, Hangzhou, Chengshi and other cities have issued urgent notices in recent two days, trying to plug the regulatory loopholes in long-term rental apartments.
Shenzhen housing and construction bureau pointed out in the urgent notice on effectively standardizing the operation behavior of housing rental enterprises, which requires the housing rental enterprises to carefully choose the mode of rent collection, and should be fully aware of the operational risk and legal risk of breaking the capital chain by adopting the mode of high in, low out and long-term collection and short payment for market expansion.
It is worth noting that the eggshell apartment, which is in the center of public opinion, declared on November 16 that it was not bankrupt and would not run away; on the 17th, it denied that the eggshell Hangzhou company had stopped operating. On the same day, eggshell shares soared 75.18%, and rose 90% in the session. On the 18th, the shares continued to rise by more than 70%.
Eggshell source: Chen Hequn, editor in charge of Southern Metropolis Daily_ NB12679