Chapter 254 Old Hotel Renovation
Wang Min and Li Li were quite intrigued by the beautifully bound bilingual brochure promoting luxury properties in Singapore. They also knew that Singapore has no time difference with China, and its language and social environment are more similar to those in China. Many wealthy Chinese businesspeople are attracted to purchasing assets here, and even if they don't immigrate after retirement, they can still live there long-term.
While buying luxury properties from other companies might be a bit shabby, Lin's properties are certainly worth considering. The quality and build quality are impeccable, and they're more in line with the practical living habits of Chinese residents. Unlike the cramped quarters of locals, who often prefer spacious and grand residences, China values spaciousness and grandeur. Furthermore, this project is a 999-year landed property on Island S, practically equivalent to freehold. Homes in China typically have a 70-year leasehold, so buying a long-established private property overseas offers a unique investment opportunity.
Both of them said they wanted to buy one, and then they talked about the news of the new project.
Wang Min said, "You must know there's a snowy mountain forest in Shu, right?"
"The window contains the eternal snow of Xiling. Is that the Xiling Snow Mountain?" Lin Ruoyan answered after a thought.
Wang Min nodded. "Yes, that's one of the rare snow-capped mountains in the south that never melts. Someone suggested we build a snow resort there."
Li Li also said, "Local governments have actually had some ideas about the ice and snow industry for a while now. I stumbled upon this: an overseas ski equipment manufacturer has actually opened a joint venture factory in the capital of Sichuan Province. They claim that labor is cheap there, the policies are good, and they even got the factory site at a rock-bottom price, plus they've received subsidies. Their products are sold directly to China, and overseas brands can still command good prices. Transportation is also convenient. They plan to expand the industrial park to include the production of ski-related equipment and facilities."
Lin Ruoyan asked curiously, "What other equipment is there in the surrounding area that Mr. Li mentioned? Is it a large indoor snowmaking equipment?"
Li Li smiled and said, "Yes, there are a few artificial snow resorts in the south now. They are all made of ice and snow in indoor 'sheds', with piled-up snow tracks. They are only suitable for beginners, and the maintenance costs are very high. The design is relatively backward. Real skiing enthusiasts still need outdoor venues for comfort.
Some training venues can also be equipped with equipment. I've visited large-scale snow simulation facilities overseas. These are massive steel platforms with a radius of dozens of meters. People slide around in circles on them, while the platform below, supported by a robotic arm, rotates at various angles, essentially recreating the effect of an outdoor ski resort. By introducing the R&D and manufacturing of this advanced equipment into the industrial park, we could develop indoor ski resorts near the equipment production site. This integration with the outdoors, unaffected by the weather, and year-round training is a true Southern specialty.
Shuzhong is located in the southwest of my country. It has been a core area of the western economy since ancient times. There is a county called Dayi County in the provincial capital that is well governed.
Local proposals include building a real ski resort in the snow-capped mountains, similar to the one in Chongl County, and creating an artificial one in a warmer, lower-altitude area, suitable for year-round use, especially during the summer heat. Sichuan, with its significant influence on the southeastern coastal and western regions and its own numerous scenic spots, is a major tourist destination. Adding this theme to the mix would be a welcome addition.
Lin Ruoyan was of course interested as she listened to Wang Min and Li Li's descriptions.
The book also mentions a small snowy mountain town in Shuzhong, complete with a ski resort. In the summer, it becomes a popular summer resort for many southern provinces. Both Li Yiqi and Wei Xu have been to Shuzhong, one for business and the other for filming. It seems Wei Xu also filmed the movie "Ambush" in Shuzhong.
It is also very attractive to neighboring countries in Southeast Asia and Central Asia.
"They mentioned an old hotel on the snowy mountain side. The building quality is definitely good. If we take it over and renovate it, we can put it into operation quickly. They also support the construction of a ski resort, and they might even consider introducing ski-related industries to the town's industrial park," Wang Min said excitedly. "The Shuzhong managers are really smart, and their economic development ideas are more advanced. We didn't have to fool them. They saw the value of introducing and integrating industries behind the concept of a ski town."
Now Wang Min's speech has naturally incorporated a lot of internationally advanced industrial concepts and terms. After listening to several industry introductions, he always talks about the value of the economy and industry first when he goes out. He can easily come up with a set of macro-development logic, rather than just talking about the simple small industry perspective of hotels or tourism. Therefore, leaders like to listen to what he says.
Local managers, especially those with established tourism expertise, are now prioritizing high-end employment opportunities driven by tourism, rather than the more common local positions of the past. This is especially true in central Sichuan, where, with the country's policy of vigorously developing the western region, numerous equipment manufacturing opportunities are booming.
Shuzhong has been a province with a large population and labor force since ancient times. In the past, migrant workers had to leave the province to work in the southeast coast. Now they can find jobs in the industrial park at their doorstep and learn skills, so they are naturally happy to do so.
"Is that old hotel going to be sold through public auction, or what?" Lin Ruoyan had a mostly positive impression of Shuzhong. The only thing she was worried about was the major earthquake that occurred a few years later, which actually affected the capital of Shuzhong.
Afterward, both the real estate and tourism industries in Shuzhong experienced a downturn. Fortunately, aid was provided by all sides in times of trouble. The government invested significantly more money in the aftermath, not only in infrastructure and new villages, but also in the introduction of new industries. This region, previously reliant on tourism, has been reborn, and with the introduction of new industries, its overall economic growth is certain to continue to rise over the next decade.
However, if you want to build a hotel there or acquire an old hotel for renovation, you need to be cautious.
Lin Ruoyan said, "What do you two need me to do?"
Li Li did not shy away from saying, "My funds are mainly in Chongl. The next few rounds of the mountain snow trails are all money-eating beasts, and I can't withdraw much."
This is a very subtle way of saying that he has no money, but Li Li has experience in ski resort design and a group of ski enthusiasts. In fact, in the real world, he will engage in community promotion in the future. With a wave of his hand, a large number of enthusiasts may go to his new ski resort, and he will never have to worry about lack of customers.
Wang Min said, "My roots are in Hebei Province, and there aren't many resources in Shu. When General Lin goes there to inspect, I'll go with him to see if it's really feasible and on what scale. Whether it's just a hotel or a new ski resort? These all require careful study."
Wang Min prioritizes personal connections and local relationships. To attract investment, local governments are naturally alluring and welcoming to potential investors. However, once they're there, it's difficult to predict whether they can actually make money, what scale is appropriate, and whether there will be any other conflicts of interest.
Lin Ruoyan had heard of Shuzhong in the real world. It had a period of rapid development, with many major real estate developers building distinctive towns there, only to waste hundreds of millions of dollars without seeing much return. This might be due to policy issues, or perhaps it was also related to the fact that local housing prices had never risen.
However, the hotel and tourism industries, as well as the upstream and downstream related sports equipment manufacturing, present a different scenario. The gravity model isn't based on land finance, as in the case of buying and selling real estate, but rather on the real economy and high-end manufacturing, which may offer more stable, long-term development. She needed to personally observe the mindsets and management capabilities of local managers with a seasoned expert like Wang Min to make a more accurate assessment.
Continue read on readnovelmtl.com
