Chapter 476 Must Take

"Ours is a high-quality project. Even if the bank's loan amount is limited, other financial institutions are willing to lend money," Sori said. "Funding is really not a problem."

Roton could understand Sori's explanation.

The Reliance Group and the Tata Group are like a kind of reputation guarantee. With such a relationship and background, there is no need to worry too much about funding.

However, what Roton was concerned about was not whether there was enough construction funds, but whether the house could be sold in the future.

Because what will happen next is a global pandemic that will cause the economies of countless countries to collapse.

"If we get this project, how long will it take from development to sales?" asked Luoton.

"Since the land is so large, it will be developed in several phases. For the first phase, I estimate that pre-sale will take three years, and the entire project will take ten years to develop," said Sori. "Our development efficiency is higher. If it were other real estate development companies, it would probably take several more years."

Sori became more and more excited as he spoke.

Ever since he followed Rotten, everything he did went smoothly.

That magical tea brought huge cash flow and also brought him huge wealth.

Although Roton took the lion's share, just based on these small amounts, Sori's current wealth is also very astonishing.

Since it is an exclusive secret recipe, the cost is almost negligible.

The price is astronomical. After all, rich people like this thing. Who doesn't like to be able to stand up and be tough in front of women?

For this dignity, that price is nothing to the rich.

As for the real estate company, it has some connections with the Reliance Group and the Tata Group, and the various procedures on the government side were basically very smooth, with no problems at all.

Those who engage in real estate, no matter which country they are from, need to deal with relevant government departments.

In India, government departments are too inefficient.

The various procedures are very cumbersome.

It's not that there is no workaround here, which is to use connections. As long as the connections are strong enough and with some money, it can be done very quickly, which is like a special case.

Sori was very proud of his short development cycle, but in Roton's opinion, it was too long.

Of course, Rotten could understand Sori's thoughts.

Compared to India, Sori's development speed is indeed fast.

As for India's work efficiency, this is not just a problem on the government side, but also a problem on the construction companies. Those employees are slacking off and procrastinating, which is very inefficient.

In this respect, we are completely incomparable with China.

If a real estate project wants to make money, and make more money, the development cycle should be as short as possible, because a lot of the funds come from bank loans.

Pre-sale payment becomes very important.

There is also a pre-sale system in India.

However, the final house delivery in India is generally delayed, and the delay rate is very high.

Basically, there are no properties that are delivered on time.

It is normal to delay the delivery of houses for more than one year, which is still considered good. Many houses cannot be delivered for three to five years, and many are even left unfinished.

There are many reasons for delayed delivery, in addition to low development efficiency, there are also reasons related to the developer itself.

That is, the real estate market was booming in the past few years, and in order to acquire more land, developers did not invest the pre-sale money in real estate construction after they received it.

Instead, use the money to purchase more land. After all, the price of land keeps rising, and it is a consensus among everyone to acquire more land and acquire it quickly.

Another way is to use the pre-sale funds to pay off some old debts.

This results in insufficient funds actually used in project development, so the construction progress is naturally slow and delayed delivery becomes inevitable.

"If you think the development cycle is still too long, I think it can be shortened." After Sori finished speaking, he added when he saw that Roden didn't say anything.

In his opinion, maybe Roton was still a little dissatisfied with his own development cycle. This project covers a large area, and it would take more than ten years to complete, which is actually not a long time.

However, Sori knew that Rotten had very high demands, so he also had high demands and standards for himself.

It has to be said that although such standards will incur much higher costs than peers in some places, the profits will be higher when the final settlement is made.

Short time means efficiency.

High turnover means higher capital utilization, which naturally produces higher benefits.

Especially for an industry like real estate that requires a lot of capital investment, time is very critical.

After all, most of the funds are loans, which require interest to be paid. Shorter time means less interest, and the cost is actually greatly reduced.

"That's not what I meant." Luo Dun exhaled, "This project is not suitable, don't participate."

"Huh?" Sori's eyes widened.

Although the government tightened some policies on real estate development last year, this has little impact on them. With their network of connections, it is not difficult for them to get funds.

It is mainly the small and medium-sized developers or companies that previously had high debts that will feel tremendous pressure, and they are obviously not included in this list.

The land being leased this time is a prime location in Mumbai city. If you miss it, you may not have the chance again for several years, or even decades.

"Many people are eyeing this project, especially SP Group, which is eyeing it covetously," said Sori.

He didn't know why Roton said that, so he wanted to fight for it.

In his opinion, this project has really little risk and great profits.

Moreover, developing such a large project in Mumbai can further enhance the image of the real estate company.

For the company, a large real estate project, and a luxurious one at that, in downtown Mumbai, can serve as a business card for the company in the future.

Sori has a very clear development orientation for the real estate company, which is to build high-end properties, such as villas.

These profits are high.

After all, these are provided to the rich and powerful. As long as your products and image are good enough, you don't have to worry about them not buying them.

And this premium is much higher than that of ordinary residential properties.

"SP Group?" Roton smiled slightly.

"Yes, the real estate development department of SP Group is now in charge of Cyrus. Since he came to power, he has ruined our business several times. Several good plots of land were snatched by him, and several other good plots of land were snipeed by him. Although we still got them, the cost was much higher than expected." Sori said, "SP Group now also wants to use this piece of land in Mumbai to make a fuss and continue to expand its influence. Since Cyrus was dismissed, he wanted to do something else, and this time is his chance to turn things around. No matter what, we can't let him get his wish, right?"

Sori certainly knew about some of the conflicts between Rotten and Cyrus.

During this period, Cyrus was indeed a bit focused on his project.

In the bidding for the land, the two sides were in a tit-for-tat situation.

Anyone can see that he is here to trip you up.

Of course, Sori also understood that in addition to targeting him, Cyrus also wanted to take over those lands.

Everyone understands the benefits of these lands. Even if the land price is higher, as long as the project is developed, there is still confidence that high profits can be guaranteed.

"How much importance does Cyrus attach to this project?" asked Roton.

"We must get it," said Sori. "Cyrus has said so, but we will not back down and will not let him succeed this time. This piece of land is really good. I have already discussed it with Reliance Group and Tata Group. Even if the loan amount from the bank is not enough, they can still provide some support. So in terms of funds, we are not afraid of Cyrus at all. We definitely have more money than him."

Rotten stared at Sori, which made Sori feel uneasy.

He had had several pieces of land snatched away by Cyrus before, but this time he was well prepared. Even though SP Group was an old company in the construction industry with a great reputation, he was not afraid.

So this time we must raise more funds to compete with the other side.

As long as we are prepared and fully prepared, it will not be easy for Cyrus to take over this land.

Roton could understand Sori's feelings, and he also knew that the land in Mumbai must be a good piece of land. Once it was acquired and used for luxury housing development in the future, it would indeed make money, and a lot of money at that.

What a pity, a major epidemic is about to come.

During this period, the economies of various countries were almost paralyzed. Not to mention building houses, even if the houses were built, they would most likely not be sold.

Especially in a country like India, the epidemic situation is so poorly controlled that it is completely out of control, and the economy is in a mess.

Countless companies went bankrupt during this period.

If Sori invests a huge amount in this real estate project at this time, it will be very fatal once the epidemic breaks out.

In such an emergency, the key to a company's survival is to ensure that the company's capital chain is not broken.

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Companies with high debt are basically doomed.

Only those companies with low debt and large cash flow can survive.

Perhaps there will be great gains during this period.

That is, too many companies could not hold on, some went bankrupt, and some closed down.

Such a crisis is actually an opportunity for large companies and groups with strong financial resources. They have a lot of cash and can buy at low prices, acquiring high-quality assets at extremely low prices.

Otherwise, under normal circumstances, these high-quality assets or companies would simply be impossible to sell.

Roton didn't want Sori to invest too much in real estate projects, which would lead to rising debts and problems during the epidemic.

So in the past two years, Luoton didn't want Sori to invest in any big projects, especially industries that require large capital investments such as real estate development, which he absolutely cannot touch in the past two years.

"Since Cyrus must take it, just give it to him." Rotten said with a smile.

"But?"

"From now on, large-scale investments, whether in real estate companies or other companies, must be stopped," said Rawdon. "You also need to reduce the company's debt as much as possible to ensure sufficient cash flow."

"Huh?" Sori was confused.

In running the company, Luoton would occasionally give him some advice, but this time the move was too big.

It made him a little confused.

What is going on?

"Execute it." Roton said calmly.

Sori was shocked. Although Rotun's expectations were very plain, he knew that Rotun's words could not be disobeyed.

He didn't know why Rotun did this, but for him, he must follow Rotun's opinion.

He knew very well that everything he had now was because of Rawdon.

The worst that can happen is that I'll earn a little less in the next few years, which is not a big problem.

"Yes," Sori said, "There is definitely no problem on my side, but I am afraid it will be difficult to explain to Reliance Group and Tata Group. They are also optimistic about this project."

"If any of them have any objections, tell them this is what I mean and let them come to me," said Roton.

"Okay. Then the Bombay Garden Project is completely terminated." Sori smiled.

After Rawdon said this, he no longer felt any pressure.

He was still very clear about the relationship between Luoton and the two major groups.

Especially Rodun, Mukesh and Ratan have a very good relationship.

This project is very profitable, but for the two major families, it is really just a drop in the bucket.

Now that Roton has spoken, the two sides will definitely have no objections.

"Why terminate it?" asked Rawdon.

"Ah?" Sori's smiling face suddenly turned into surprise.

He was really confused. What was going on?

For a moment, he couldn't figure out what Roton was trying to do.

Didn’t you just say that you wanted to withdraw from such a large investment project?

"What I mean is that we can't let Cyrus take this land so easily." Roden explained with a smile, "Although we don't want to continue the Bombay Garden Project, the message we sent to Cyrus is that we must take it at any cost."

"Are you saying that we should make things difficult for Cyrus and make him pay a higher price to take the land?" Sori understood what Rotten meant.

"That's right. If he wants it, he'll have to pay more money." Roton said with a smile, "In short, from the outside, you won't back down. You have to let them know your determination."

Sori couldn't help but ponder for a moment.

He could tell from what he heard that Roton was probably not optimistic about this project.

If you let Cyrus buy the land at a high price, he will definitely suffer losses later.

But he couldn't figure it out. There was nothing wrong with this project. It was definitely a high-quality project.

Could it be? Sori's mind moved.

Under normal circumstances, this project must be a good project and a project that can make a lot of money.

But what if someone intervenes?

This is Mumbai, Rawdon's territory.

The police system is still very powerful in Mumbai, and if the police want to cause trouble for this project, they have plenty of excuses.

Thinking of this, Sori felt that he had figured out the key.

No wonder Roton asked him to ensure cash flow. Perhaps he could take over this project from Cyrus at a low price later.

Although he didn't know what Rotten was trying to do and how to stop Cyrus from working on this project, Sori still believed that Rotten could definitely do it.

"Don't worry, I will spread the news to show my determination to get the land." Sori said with a smile.

"Very good, we can go ahead with fundraising and stuff. Anyway, we have to act realistically so that Cyrus can't see through us." Rotten knew that Sori understood what he meant.

"Make sure to complete the mission." Sori said, "Besides, if I really say I'm going to withdraw from the competition, Cyrus probably won't believe it."

"That's it, I believe you can do it well." Luo Dun said, "Remember, don't make any big investments in the next two years. You need to report any investments to me."

"Yes!" Sori said immediately.

(End of this chapter)