There are new faces on the land acquisition list in the first half of this year.

　　According to the ranking list of real estate companies' equity and land acquisition amount released by the China Index Research Institute, in the first half of this year, Binjiang Group, China Resources Land, China Overseas Real Estate, C&D Real Estate, and Greentown China ranked in the top five, of which Binjiang Group and C&D Real Estate were the newest The real estate companies on the list are particularly concerned by the market.

　　Then, when the real estate market is still at a trough, why did the regional deep-cultivation real estate companies represented by Binjiang Group and local state-owned enterprises represented by C&D Real Estate expand against the trend?

"New Faces" on the Land Acquisition Leaderboard

　　According to the ranking of the Middle Index Research Institute, in the list of the amount of land acquired by real estate companies in the first half of this year, Binjiang Group ranked first with an amount of 39.2 billion yuan in equity land acquisition.

Not only that, from the perspective of new value of goods, in the first half of the year, Binjiang Group, China Resources Land and China Railway Construction occupied the top three on the list, and Binjiang Group ranked first with a cumulative new value of 91.2 billion yuan.

　　Compared with the changes in the list in the same period last year, Binjiang Group was called a "dark horse" in the land acquisition in the first half of this year, surpassing the traditional large land acquirers such as China Overseas Real Estate, Vanke, Poly Development and other leading real estate companies, and became the amount of land acquisition. The first place on the list deserves the attention of the outside world.

　　At the same time, it is worth noting that C&D Real Estate has been aggressive in acquiring land in the past two years. Comparing the changes in the ranking in the past three years, it can be seen that C&D Real Estate will start to exert its strength in 2021. The amount of real estate and land acquisition is 72.3 billion yuan, ranking second only to Vanke and Poly Development in domestic real estate companies.

In the first half of this year, the amount of land acquired by C&D Real Estate was 34.9 billion yuan, ranking fourth; the newly added full-caliber goods valued 71 billion yuan, ranking fourth.

　　Comparing the changes in the amount of land acquired in the past two years, the amount of land acquired by the former big land acquirers, Country Garden, Vanke, etc., has been reduced.

In the first half of 2021, Vanke's land acquisition amounted to 96.2 billion yuan, and Country Garden ranked first with 12.52 million square meters of land acquisition.

In the first half of 2022, Country Garden has slipped to the 40th place, with a land acquisition area of ​​only 660,000 square meters, a reduction of 11.86 million square meters.

The confidence and pressure of Binjiang's expansion against the trend

　　Under the background that the real estate industry is at a slump and the financing side of real estate companies is still under pressure, apart from the traditional land acquisition "big names" China Overseas Land and China Resources Land, why did the new land acquirer Binjiang Group increase its reserves against the trend?

Where does the money for its large-scale acquisition of land come from?

　　Binjiang Group is a typical real estate company with regional characteristics. After surpassing Greentown China, Binjiang Group has secured the position of “Hangzhou No. 1 Brother” in terms of sales and land acquisition scale.

In the first half of this year, Binjiang Group spent 40.9 billion yuan (including cooperative land acquisition) to acquire 23 parcels of land in a single market in Hangzhou, becoming a veritable "king of land acquisition" in the Hangzhou market.

　　Fortunately, against the backdrop of weak overall property sales across the country, Binjiang Group benefited from the firming of Hangzhou's new housing market, and a single bet won the market's return.

In 2021, Binjiang Group's annual sales were 169.1 billion yuan, a year-on-year increase of 24%; operating income was 37.976 billion yuan and net profit attributable to the parent was 3.027 billion yuan, an increase of 32.80% and 30.06% respectively compared with the same period of the previous year.

In the first half of 2022, Binjiang Group completed sales of 32.2 billion yuan in cash, an increase of 6% over the same period last year.

　　The good sales in the Hangzhou market undoubtedly gave Binjiang Group more confidence.

Qi Jinxing, chairman of Binjiang Group, said bluntly at the beginning of this year: "The next 5 to 10 years will be the best development period for Binjiang."

　　From a financial point of view, as of the end of 2021, Binjiang Group has 21.141 billion yuan of monetary funds in hand, short-term debt of 13.996 billion yuan, and a cash-to-short-term debt ratio of 1.51 times, which also gives Binjiang Group the financial support on the ground.

　　Although sales are improving, Binjiang Group, which focuses on improving real estate, is also under pressure from price restrictions.

As the price-limited properties entered the settlement period one after another, its revenue and profit both declined in the first quarter of this year.

The financial report for the first quarter of this year shows that Binjiang Group achieved operating income of 6.2 billion yuan, a year-on-year decrease of 16.8%; net profit attributable to the parent was 230 million yuan, a year-on-year decrease of 42.7%; the net profit rate attributable to the parent was 3.7%, a year-on-year decrease of 5.0 percentage points; The overall gross profit margin was 16.3%, down 4.5 percentage points from the same period last year.

　　Regarding the reasons for the large-scale land acquisition, the source of funds for the land acquisition, and the impact of the land acquisition on the company's funds and liabilities, a reporter from the Beijing News asked relevant persons in the brand department of Binjiang Group, but no reply was received as of press time.

C&D's Active Attack and Scale Appeal

　　If Binjiang Group is a representative of regional real estate companies in the "local army", and the land acquisition did not "get out of the circle", then C&D Real Estate represents the strength and ambition of another "local army". Taking the land and deploying the sword refers to the Yangtze River Delta and the Pearl River Delta, and behind the large-scale expansion against the trend shows more demands for scale.

　　As a powerful local state-owned enterprise, C&D Real Estate is a professional real estate development enterprise under Xiamen C&D Group. Its listing platform, C&D International, achieved equity sales of 130.092 billion yuan last year.

　　This year, C&D Real Estate first won 4.13 billion yuan of land in the Siming District of Xiamen Island in the second round of centralized land supply in Xiamen, and then went to Fuzhou to win 2 land parcels with 903 million yuan. Then, Entering the Yangtze River Delta again, in the first round of land supply in Shanghai, C&D lost three children in a row with 5.02 billion yuan, which is evident from the ferocity of land acquisition.

　　The reason behind C&D Real Estate's massive acquisition of land is because of its larger scale appeal.

This year, C&D International's full-caliber sales target is 165 billion yuan, still maintaining a growth rate of 26.8%.

As a local state-owned enterprise, C&D Real Estate has maintained a relatively low capital cost and financing advantages.

As of the end of 2021, the average financing cost of C&D International was about 4.69%, a decrease of 29 percentage points from 4.98% at the end of 2020; the bank approved but not withdrawn amount of about 56.35 billion yuan, an increase of about 179% from 20.2 billion yuan at the end of 2020; cash in cash About 46.1 billion yuan, a year-on-year increase of 65%.

　　However, similar to Binjiang Group, the contrarian expansion has also brought pressure on the profit side of C&D Real Estate.

For example, with the successive carryover of high land price projects, the gross profit margin of C&D International has shown a downward trend, from 30% in the past to 16.35% in 2021.

　　In this regard, at the performance meeting at the beginning of this year, Lin Weiguo, CEO of C&D International, said: "To do projects with improved demand, the land requirements are relatively high. In terms of net profit level, individual projects pursue a net profit of about 7%, because marketing and The efficiency of management rates in the industry is still relatively high, and the two rates of marketing and management are between 2% and 2.5%, so we are more concerned about the net interest rate of the final project.”

　　In fact, when traditional private housing enterprises are weak, and central enterprises, state-owned enterprises, and local urban investment platforms have taken over as the main force in land acquisition, C&D Real Estate is only a representative of local state-owned enterprises in acquiring land.

In the list of the amount of land acquired by the China Index Research Institute in the first half of the year, Guangzhou Metro, Wuhan Urban Construction Group, Shanghai Real Estate Group, Xiamen International Trade and other low-key local state-owned enterprises are emerging one after another.

　　Beijing News reporter Xu Qian