Chapter 83 Industrial Park Operation

Previously, Lin Ruxu was invited by people from the Dax District to negotiate and visited the science and technology park. It was said that the park had formulated preferential policies based on the standards of the best science and technology parks in Beijing, and the district had clearly stated that it would focus on supporting bio-pharmaceutical related companies.

At that time, Lin Ruxu looked at the two buildings that had been built in the park and the future vision plan, and did not make any promises. Now Lin Ruoyan suddenly proposed to set up her own research and development company for medical devices, which surprised him a little.

Could it be that Li Yiqi had been in contact with Lin Ruoyan privately, or was it that sparks flew between them after their meeting in Country Y? However, judging by Li Yiqi's letter, Lin Ruoyan was the one who took the lead. Li Yiqi even thought that he was the one who brought them together.

My sister is really ambitious. It’s not enough for her to open a real estate company. She also invests in film and television and plans to make a name for herself in the medical device industry?

Lin Ruxu didn't object. While that industry was unfamiliar to the Lin Group he had been running, it was at least part of the real economy, making it easier to understand than real estate. Like any other manufacturing company, it would simply set up its own R&D center, build a factory, and then produce and sell.

The Lin Group's various manufacturing operations followed this same pattern. The group had a highly experienced team capable of fully assisting Lin Ruoyan in building the company, and acquiring overseas businesses was no problem. The Lin Group had already collaborated with some foreign companies a few years prior, but they rarely engaged in such a complete package, transferring everything from land, factories, technology, and workers.

With the support and intervention of her brother's professional team, Lin Ruoyan didn't have to do much herself. She only had to represent the group and go to the two existing buildings in the science and technology park to select a suitable place as the company's address. The other procedures were completed by the personnel in the science and technology park and the team on the Lin Group's side.

How to choose a building is a question that Lin Ruoyan likes. Adults don’t make choices, so she plans to rent them all.

Lin Ruoyan found the person in charge of the specific management of this matter in the Dax District to understand the situation. She learned that the two buildings in the first phase of the industrial park had just been completed and had not yet been leased out. The houses were built according to the large-frame factory model, with limited construction costs, and were delivered in an unfinished state. The companies that hoped to move in would decorate the partitions according to their needs.

When the building was first built, the idea was not so clear. This type of factory building can be used for any production, but now the main focus is biomedicine. They don’t know the specific requirements of the professional field for scientific research and production needs, such as power load, pipeline layout, ventilation and environmental protection, etc., and there are not enough professional personnel to manage it.

Lin Ruoyan thought about it and decided that she might be able to be a sub-landlord.

The prosperity of industrial real estate was ten years later. Now, when building a science and technology park, basically, uniform office buildings and factories are built and delivered in an unfinished state. The companies that move in here don’t expect any concept of fine decoration. Whether the building is useful or not depends on luck. If the factory building in this park is not big or spacious enough, then just look at other parks.

Except for a few large and established pharmaceutical companies, the new domestic biopharmaceutical industry is still feeling its way forward and has no particularly clear and mature concept of the field.

This can be divided into two categories. First, startups in need of incubation, like the company founded by Li Yiqi in the original book, have only a few employees and limited office and laboratory space. They can't afford to rent a larger factory building, and even compete with others for space for experiments. After developing a product, they need to rent a production line for trial production, often lacking the funds to purchase their own. Therefore, these companies rely heavily on professional industrial bases, which, in addition to providing policies, can also provide incubation guidance for laboratories and equipment.

Another category is those who previously had factories elsewhere and want to move their headquarters to Beijing. They prefer not to share a building with other small businesses. The more capable ones simply request a piece of land to create a "park within a park," or they opt for a single building to house offices, R&D, testing, and production.

What Lin Ruoyan wants to do is to rent both existing buildings, and renovate them according to the two major needs mentioned above, referring to the mature standards of the real world twenty years later. Her own real estate company can also engage in investment promotion and operation.

"You're acting like a sub-landlord," the park manager frowned. "We don't have any professional investment promotion staff right now. We basically wait for the district to assign us reception tasks. Then, when companies come to inspect, they'll share their thoughts and opinions. We analyze and negotiate specific issues. So, what exactly do you mean by operations?"

Lin Ruoyan, claiming she was from an economically developed southern city and had just returned from an overseas study tour, used the operating strategy of the future industrial park to deceive people: "Our park has very ambitious future plans and strong policies. Will other districts and counties in Beijing also have similar policies? There are so many science and technology parks and industrial parks across the country, and companies will choose to settle in the most convenient place for them."

The park manager nodded. "Indeed, some companies have come to see the property and asked if they could buy it directly. Currently, the first phase of this project can't be sold, only leased. After all, it's state-owned property. Companies will need to do their own renovations after moving in."

"I heard that the current appearance of these two buildings is ready for handover, right? Companies that want to settle here will need to spend money and time to renovate, which is not very convenient and makes people hesitate." Lin Ruoyan paused. "Large companies naturally have the funds and staff to handle renovations, but what about start-ups and small and micro businesses?"

"Those small and micro enterprises have already enjoyed a lot of preferential policies. We have renovation subsidies and tax and fee reductions." The park manager certainly understands that by nurturing start-ups from seedlings, the enterprises will give more back to the zone after they grow and will have greater stickiness, so he does not look down on small and micro enterprises.

"These kinds of businesses often don't have more people to focus on renovations."

"Then we can apply for funding to renovate the building used as the incubator into a suitable design."

"So how long does it take for the district to approve these funds? Is there someone specifically overseeing it? Do you know what it will look like?"

The park manager immediately understood: "You mean to find a company to renovate the current building as a package, and the district just needs to issue policies and refer customers over. You can provide services like a property management company in an office building?"

"Yes, we can also find clients ourselves and have the district review them. Our primary role is to be good stewards. All businesses, big or small, that move into the park are owners, and we provide them with more detailed services – that's what operations entails. We have teams for design, construction, cost management, and related management, as well as a marketing department that uses scientific methods to attract investment and retain businesses."

The park manager had a quick idea and immediately thought, "Why don't you rent the entire property at the wholesale price, then sublet it at a higher price later and make a profit from the difference?"

Lin Ruoyan did not deny that it was one of the ways to make money from the operation:

"This is one of the values ​​we gain from providing services. We investigate what kind of office, R&D, and production environments and infrastructure these companies need. We invest in turning these two buildings into 'model homes' for the entire biopharmaceutical base, allowing these companies to move right in.

You can think of us as a large enterprise that has already moved in, serving as a promotional leader. Other companies can incubate in our model homes, which also reduces your hassle. As they grow, they can move out of the incubation building and rent the park's subsequent developments to officially start production. If the park maintains stable policies and provides us with endorsement, we can easily attract mature companies. Isn't that mutually beneficial?