Chapter 144 Buying Land
If one were to consider buying land, the first thing that should be considered would be the choice of a new plant for Shirakawa Electric.
However, if a new factory is built, it will have to be outside Tokyo , and the area will definitely not be the current size, and it is likely to increase tenfold.
The new factory is prepared for the future expansion of production of Walkmans and CD players, and there will definitely be more production lines.
If calculated in this way, the funds required will surely be a huge amount.
Although Shirakawa Electric has gained a lot of money, it is still far from building a new factory, even with the loan.
Therefore, based on the current funding calculations, it is still possible to select a piece of land for Shirakawa Electric's internal research institute.
And the location must be within the 23 wards of Tokyo. After all, places like research institutes are basically prepared for high-end talents.
Regarding the research institute, Shirakawa Kaede initially planned to separate it and operate it as a subsidiary.
In order to attract high-end talents, a certain stock option pool will also be set up.
For those special talents, super high-end talents, ordinary high salaries can no longer attract them. Only shares in the research institute can interest them.
To build such a research institute, all aspects must be taken into consideration.
You can't just pick a remote place and throw it there. If the supporting facilities are not up to par, it will not attract talents.
So if you want to buy land now, go to Tokyo. As for where to buy, Shirakawa Feng thinks you won't lose money no matter where you buy.
Before the bubble, you could just buy with your eyes closed and make huge profits.
…
"Nakata-san, please take care of me."
"Shirakawa-san, it's my honor to serve you."
Shirakawa Feng shook hands with the middle-aged man in a suit in front of him, who was an account manager of Nomura Real Estate.
Since you want to buy land, of course you have to find a reliable and well-known company. Perhaps not many people know about Nomura Real Estate.
However, many people must have heard of the name of Nomura Securities. As the largest securities firm in Japan, it has strong financial strength.
The group has countless subsidiaries, and Nomura Real Estate is one of them.
As for why Shirakawa Kaede chose Nomura Real Estate, it was actually recommended by the senior from Keio Group.
When discussing the next Walkman promotion with Keio Department Store, they happened to talk about the need to buy land, and Yamamoto Toshio recommended Mr. Nakata to him.
"Mr. Shirakawa, based on your company's needs, we have specially selected this piece of real estate near Shibuya Daikanyama for you. Please follow me..."
As he spoke, Nakata had already taken Shirakawa Kaede straight to the destination. The service of Nomura Real Estate was very thoughtful.
First, we screen the locations according to the customer's needs, and then after selecting a few, we will send the relevant detailed information to the customer.
If the customer is interested, they will conduct an on-site inspection. Today, Baichuan Feng came to conduct an on-site inspection, but the land they are looking at now is a bit special.
"Shirakawa-kun, please be safe." Nakata thoughtfully handed the safety helmet to Shirakawa Kaede.
It’s said to be buying land, but it’s really just a piece of paralyzed land.
The reason why it is described as hemiplegia is because the land in front of them is in a state of development suspension.
To put it simply, it is a construction site that was half-built and then stopped.
Exposed foundations, half-built walls, scattered steel, and green screens that have faded from the sun.
"Mr. Nakata, I'd like to ask why the development of this land was stopped halfway through."
Wearing a safety helmet, Shirakawa Kaede looked around the area and began to learn about the history of the land.
Nakata hesitated for a moment, but still explained, “We were originally planning to build a bowling alley here.
It’s just that the original owner’s investment failed, and the land was eventually mortgaged to Nomura.”
Nakata was embarrassed to say that the original owner had borrowed money from Nomura Securities and then entrusted Nomura to invest in oil futures.
Unexpectedly, the company encountered the oil crisis two years ago and lost all its capital and interest.
The half-built bowling alley was shelved, and the land eventually fell into the hands of Nomura Real Estate.
“But please rest assured, Mr. Shirakawa, there is absolutely no problem with the land ownership.
This place also meets your company's requirements and is close to a bustling neighborhood.
It is only three kilometers away from Harajuku Street, one kilometer to the east is the Ebisu district, and a five-minute walk to the subway station. It is definitely worth the money. ”
The location is indeed a good one, and Baichuan Feng is very satisfied with this.
Even though the surrounding development is not very good now, it will be different in a few years.
The only trouble is that there is no property on this land and it cannot be immediately used as an office space for the institute.
Even if you want to build it yourself, you have to demolish the half-built construction site and start over.
Not only is it a waste of time, it also incurs extra expenses.
"Nakata-san, please tell me the price."
Nakata leaned forward to show his respect. "The total land area is 242 tsubo (about 800 square meters). Considering the current special situation, the land price can be discounted to 1.98 million yen per tsubo."
Shirakawa Feng roughly calculated that the unit price of land is about 600,000 yen per square meter, which is really not expensive.
Although the average land price in Tokyo is only about 300,000 yen now, that is the average land price in remote areas including Ota Ward and Adachi Ward.
The unit prices in the most prosperous Chuo Ward and Chiyoda Ward are over one million, more than three times the average.
Therefore, it is not expensive to buy a piece of land in Shibuya, near Daikanyama, for more than 600,000 yen.
An area of 800 square meters of land is more than enough to build a research institute or a branch.
To build a ten-story building, the construction area alone would be several thousand square meters, which is enough.
"Mr. Nakata, I have no problem with the land, but this construction site..." Shirakawa Feng felt that it would be very troublesome to redevelop the half-built land.
"Please rest assured, we at Nomura Real Estate provide a full range of services. From design to construction, and then to the final decoration , you don't have to worry about it, Mr. Shirakawa.
We will also offer a certain discount on the price to compensate for the cost of reconstruction.”
Nakata added at the right moment that when it comes to doing business, just selling hardware would only bring small profits.
Only by selling hardware and services can profits be maximized.
Well, Shirakawa Feng still trusts Nomura's reputation. For such a large company, sometimes the service is even better than the product itself.
“In this case, Shirakawa Electric wants this piece of land, and we will have someone to coordinate with your company on the design requirements.
As for me, I have only one request, the sooner the construction starts, the better! "
"Understood!" Nakata bowed and assured with a tactful look.
Because it needs to be put into use as soon as possible, Baichuan Feng naturally hopes that it will be as soon as possible.
"By the way, please help me keep an eye out for real estate resources, Mr. Nakata." After buying the land, Shirakawa Feng started to think about residential land.
"Real estate?" Nakata was stunned for a moment before he reacted when the words suddenly changed from commercial land to real estate.
Baichuan Feng nodded, "Yes, the location should be as close to the city center as possible.
Minato, Shibuya, Shinjuku, Bunkyo, Chiyoda, etc., all of these places are fine.
As for specific requirements, I would like to have a single-family house. It would be best if it has complete living facilities and is quiet. ”
Baichuan Feng felt that it was time to consider buying a house for himself. Since he had the money, he should act as soon as possible.
Otherwise, housing prices have been rising every year, and this year alone they have increased by about 9% compared to last year.
It will continue to grow in the following years, and the rate of increase will become larger and larger, until it takes off after 1985.
So, leaving aside investment, at least we should take action first to meet our basic needs.
"Please rest assured, Mr. Shirakawa, Nomura Real Estate will serve you wholeheartedly." Nakata, who had received another business deal, became even more respectful.
It’s obvious that this kind of customer is not short of money, so we need to maintain him well in the future.
After shopping for half a day, Baichuan Feng also became a rich man who spent a lot of money.
He bought the 800-square-meter land for a total price of more than 480 million yen without blinking a word.
480 million may seem like a lot, but Shirakawa Electric can afford it now. And it's an investment that won't lose money, so there's no need to think too much about it.
If it weren't for the plan to build a new factory, Baichuan Feng would have the urge to use all his money to buy land.
Real estate can easily appreciate five or ten times in value in a few years, which is really tempting.
To be honest, the rate of return is much higher than that of real industry. Fortunately, Baichuan Feng knows that industrial assets can be inherited and sometimes they can also be a talisman.
Being able to provide a large number of jobs is a hot commodity in the eyes of politicians or the government.
Sometimes, they are even afraid that you will go bankrupt, so they actively ask banks to lend you money, and you will receive tax incentives and policy subsidies.
In the final analysis, the economy needs to be supported by the real industry. Focusing only on finance is like building castles in the air, which will sooner or later cause problems.
After finalizing the contract and spending some money, Baichuan Feng felt a little relieved.
Only by spending money and exchanging it for another asset, and the sense of satisfaction in the process, can he have a more substantial understanding of his wealth.
After purchasing the land, the next important thing is to strengthen Shirakawa Electric's technological research and development capabilities.
Maybe it's time to go to Tokyo Institute of Technology.
