Chereads / The Wealth Code / Chapter 160 - 0160 Unsuccessful Negotiations

Chapter 160 - 0160 Unsuccessful Negotiations

"I don't have a lot of money, and some of it is going to go towards the upfront construction of the condo ..."

  Hart didn't lie or exaggerate about his current situation, good or bad, he just told the truth, he didn't have any money, and he did.

  "But the land in your hands is very important to me!" He always acted sincere, so sincere that he didn't really look like a businessman, let alone a real estate developer, such people would rarely tell the truth so honestly.

  They tended to act like it didn't matter whether they had it or not when they talked about business, and sometimes they weren't so reasonable.

  He always looked straight into Lynch's eyes, not avoiding Lynch's gaze as if it could prove something about his current situation.

  "I've prepared two scenarios, are you interested in hearing them?"

  Lynch nodded his head, "Of course, why else would I be here?"

  Lynch's words relieved Hart, or so it seemed, and he began to talk about his plans.

  "For the first option, I can pay you about ...," he thought for a moment, "about 600,000 dollars in cash, and some of the other payments can be folded into this project, we'll have a more detailed evaluation meeting later, after evaluating the total investment, we'll give you shares of the project according to the proportion."

  This is also a relatively common means of cooperation, in fact, to put it plainly, this is like a technology share.

  If others can't ignore the necessities in his hands, they can bring this part into the total investment to occupy a certain investment percentage, this method is relatively common and widespread.

  Lynch did not say yes or no after listening, Hart left him some time to think before starting to talk about the second program.

  "The second program is relatively simple, I use the equivalent shares of my company to exchange these lands in your hands ..."

  This is also a very common behavior, especially easy to happen in the mergers and acquisitions between large companies, the larger the company is actually the pressure of liquidity is more tight, but they also have the demand in this area, such as mergers and acquisitions of other companies, this method effectively solves the pressure of capital.

  Hart's second program is the same, he gave Lynch a part of his company's shares in exchange for the land, and he thinks it is a good program.

  With the start of this project, the market value of his company would definitely increase significantly, and Lynch would be able to make money twice on his own land.

  After introducing his company in a slightly proud tone, he looked at Lynch expectantly, thinking that Lynch would choose the second option, it was obvious that he had also used this option to successfully attract more supporters and investors.

  However, Lynch didn't answer him right away, instead he asked a question, "Is my piece of land really that important to you and your company? He said thoughtfully, "You could have picked a piece of land a little more remote, the price would have been lower and your development costs would have been less.

  Hart froze for a moment, not expecting Lynch to ask such a question that was irrelevant to his proposal, but at the same time he realized that the two proposals he had prepared might not be among Lynch's choices.

  On the basis of negotiating with the utmost sincerity, he explained some of the advantages of Lynch's land.

  "This land is near the center of town, and if we use the straight-line distance of some of the villains, we'll have no problem saying it's the center of town!"

  Hart, including both Lynch and Joe Gleeman, couldn't help but laugh; that's the developers' favorite phrase, straight line distance.

It was also easy to overlook the fact that the actual straight line distance could be very long if one were to reach another point by ordinary means of access, it was like the two banks of a river, the straight line distance might only be a few tens of meters.

 

But if you try to get across without a bridge, it's not uncommon to go around for dozens of kilometers.

  "It's surrounded by commercial and residential areas, this place is more in line with what people want in terms of living than other places, I know land outside the city is very cheap, but people would rather live in a park, they won't even go outside the city to live there."

  "The living environment, the neighborhood, it's all about the eventual occupancy of these apartments, including whether or not it's easier to take off and sell after the project is over, and the closer you are to the city center, the easier it is to address all these issues, and the higher the financial subsidies are given!"

  Hart didn't seem to hide anything with anything, he said the most important things directly, these words Joe Gleeman nodded frequently after listening, Lynch also thought there was no problem.

  If the project was built on land outside the city that hadn't been developed yet, the city hall could just give them all free land use rights, but the problem was, who would want to run across half the city to live outside the city, and after the project was over, if the houses couldn't be taken off the market, they would probably lose money!

  The real money in this project is the last step, selling all the apartments in one fell swoop after the project is over. Anyone with a functioning brain would understand that apartments near the city center are far more popular and expensive than those in the suburbs.

  There didn't seem to be much more to it than that, and Lynch thought about it briefly as he looked at Joe Gleeman's house, not that he'd moved much, since Hart had been watching him.

  Joe Gleeman was dutifully doing his job as a mediator; he didn't interfere with anyone's judgment on either side, just sat quietly, sipping from his glass.

  After a while, Lynch took his eyes off the house and looked calmly at Hart, proposing a different kind of deal: "I'm not interested in investing in real estate right now, but I am interested in the house."

  "You know, I'm just a regular guy, and regular guys have a liking for houses that's more like paranoia, and I really like the house here, so maybe we can use that against the price."

  He said looking over at Joe Gleeman, "Mr. Manager, how much do you think this place is worth now?"

  Joe Gleeman froze for a moment, he hadn't expected Lynch to choose this way, he actually preferred the second option.

  At this time, Lynch asked, he thought for a moment and gave a fairly fair price, after all, both parties were his friends, "Around seventy, eighty thousand to a hundred thousand, there are several sizes.

  Hart nodded back, it was about that price, but he had another idea, "Joe and Lynch, you're overlooking one thing, these villas that have been built will appreciate in value when the recession is over."

  "Four years ago every house here cost over two hundred thousand dollars, even the smallest. And ...", he said after a pause, "I got some information from the city hall side, there is a high probability that this place will be planned as one of the drinking water sources of the city, and there won't be any opportunity to build big projects in this neighborhood in the future! "

  Currently, Sabine's source of drinking water didn't come from this lake, but from an artificial lake a little further away.

  With the increasing population of the city, the burden of drinking water has also begun to increase, the city hall has long had such a plan, but so far for the time being there are no concrete steps to implement, it is just a plan, an intention, but wanting to make it happen is actually not difficult, this is exactly what the capitalists are best at.

  Lynch did not hesitate to interrupt, "My piece of land will also increase in value, we all know that Sabine is close to reaching a million people, the city circle will inevitably expand further, if this piece of land is not 'close to the city center area', it is the city center! "

  On the "hooliganism", Lynch need not be a stranger to them at all, anyway, it is a blow, besides, what he said is not wrong.

  Hart was a little disappointed, "Mr. Lynch, there's no way I can accept your offer, we both know it looks a little bad right now, but it will get better eventually, just like the problems our community is facing.

  "Maybe in five or ten years the cheapest house here will sell for thirty, four hundred thousand dollars or more, I can't accept your offer."

  Lynch didn't show too much dissatisfaction, just smiled and nodded, "Understandable, Mr. Hart, business is like that, only when both parties have formed a unity in their opinions, business can be done."

Hart still found it a little hard to accept, this was not quite the same as what he thought before he came, "Don't you need to reconsider?"

  Lynch shook his head, "If you've been paying attention to some of the recent movements, you'll know that my company has just been valued at 70 million, investors are lining up to send me money, and if it wasn't for the fact that Mr. Joe Gleeman and I are good friends, I wouldn't have even considered making an offer on this land."

  "I couldn't agree more with part of what you just said, the economy can't stay depressed like this, three years, five years, everything will eventually get better, the Federation has a better bottom line than any other country, and we'll be faster on the economic recovery issue."

  "Right now you think that piece of land is only worth 1.5 to 2 million, but I can guarantee you that in ten years you won't be able to buy a tenth of that by adding a zero!"

  Lynch said, standing up and extending his hand, "Even though we didn't make this deal, it's nice to meet you, Mr. Hart."

  He showed that he didn't want to talk about it, and Hart couldn't hold back, opening his mouth to hold back at this point was the same as sending a knife into the other party's hand, and actively lying on the slaughter table, it looked like he could only wait for the next time.

  "Me too, Mr. Lynch!"

  Lynch said a few words about the scene, and Joe Gleeman also said goodbye before leaving.

  Hart's head was still spinning at this point, and he couldn't help but ask after Lynch left, "What's worth 70 million dollars?"

  Joe Gleeman sighed with an indescribable despondency, "The Star Trading Corporation he runs, the one that auctions off used goods!"

  Hart was shocked, followed by bewilderment, "That kind of company ... would be valued so highly?"

  Joe Gleeman knew he was a little lost at this point and patted the other man on the shoulder, "He knows how to take advantage of opportunities better than you do.