Since 2019, Evergrande Group has continued to fall into a debt crisis, and Xu Jiayin's business empire is in jeopardy. Although Xu Jiayin himself disappeared, Evergrande's debt problem has not been resolved. Not only was Xu Jiayin's two mansions in Hong Kong taken over by creditors, worth more than 1.5 billion, but his assets in Shenzhen, Guangzhou and other places are also facing a situation where they cannot be preserved. However, Evergrande's most important assets are the land and business districts located in core cities. However, according to the latest news, Evergrande had to cede one of its core projects, the Shanghai North Bund project, to Everbright Xinglong Trust at a price below the market price. This transaction is undoubtedly a blood loss for Evergrande. Still, Xu Jiayin may find a glimmer of hope in solving his most pressing debt problem. However, the sale of core assets this time also symbolizes the end of Evergrande's business empire. Xu Jiayin's future is destined to undergo drastic changes, and he may be forced to enter the "system", and even encounter the possibility of early retirement. Unfortunately, those families who bought Evergrande's off-plan properties faced a huge dilemma, and their only hope was to be able to successfully secure the property.
Since 2019, Evergrande Group has been in a debt crisis, and the company's important assets and personal wealth have been seriously affected. Xu Jiayin himself also disappeared from public view and no longer appeared frequently in ** reports. However, despite the disappearance of Xu Jiayin, he still faces overwhelming debt pressure. It has to be said that Xu Jiayin's business empire has begun to collapse, and he is facing unprecedented challenges.
However, it is worth noting that Xu Jiayin's debt problem is not limited to the individual level. Evergrande has also been forced to sell off assets to meet its debts, including the transfer of real estate projects, equity transfers and trusts. According to Evergrande data, as of the end of October 2023, Evergrande has completed the transfer of a total of 75 real estate projects. However, despite this, there are still about 3013$6.4 billion in debt and 2059The commercial bills of 3.3 billion yuan were not repaid. Xu Jiayin is in a difficult situation and urgently needs to solve the debt problem to save Evergrande's situation.
Evergrande Group's core assets are mainly located in the land and business districts of China's first-tier cities, which is the foundation of the company's stable operation. However, although these assets are considered to be Evergrande's most important assets, they can no longer be preserved due to the broken capital chain of Xu Jiayin. On November 22, two of Hui's mansions in Hong Kong were taken over by creditors, with a total value of more than $1.5 billion. In addition to Hong Kong's luxury houses, Xu Jiayin's mansions, private jets, luxury cars and other properties in Shenzhen, Guangzhou and other places are also facing a forced cession situation.
However, these assets are only the tip of the iceberg. The most important assets of Evergrande Group are the land and business districts located in the core cities. These assets are regarded as the backbone of the company and have always been considered the fundamental market of Evergrande. However, according to the latest news, Evergrande has already had to sell the project located on the North Bund in Shanghai to Everbright Xinglong Trust at a loss, with a total consideration of about 66.3 billion yuan. This land was acquired by Evergrande through public land market auction in 2020, and due to its scarcity, it has always been regarded as the most core asset by Evergrande. However, due to the sudden change in the market situation, Xu Jiayin was unable to continue to invest in this project, and had to sell it at a low price**.
This transaction is undoubtedly a blood loss for Evergrande. As a first-tier city in China, Shanghai's housing prices have been relatively strong, and the core area has continued to appreciate. Considering that Evergrande won this land at a relatively low level, if it was in normal times, it would at least be able to make a profit of hundreds of millions of yuan. However, due to the huge debt pressure that Xu Jiayin is currently facing, he is unable to bargain effectively and can only end up with a loss of 05.5 billion yuan of *** project. Nevertheless, for Xu Jiayin, losing money may be a wise choice. According to the national land use regulations, if the developer does not develop the land for a long time, the land will be reclaimed without compensation. In the past two years, due to the problem of undeveloped land, Evergrande has been reclaimed by many places for free. Therefore, for Xu Jiayin, in the case of not being able to develop this land, it is also wise to ** undeveloped land, at least to solve the core debt problem.
Judging from the whole situation, Xu Jiayin's business empire is on the verge of collapse. Although there are still assets to sell, Xu Jiayin has not been able to recover the loss of his core assets. The change of ownership of Shanghai's North Bund project is just a microcosm, and the end of Evergrande's business empire is a foregone conclusion. This means that Evergrande will leave the stage of history, and the glory of this business empire will be a thing of the past.
For Xu Jiayin, this also means that his fate will change dramatically. He may be forced to live an ordinary life "within the system", and he may even be forced to retire early. However, all this is the result of Xu Jiayin's own self-inflicted blame. With the help of the success of Evergrande's business empire, he continued to operate and expand his assets, but he did not effectively deal with the debt problem. In the end, in the ups and downs of the business world, he regrettably sacrificed many families who bought Evergrande off-plan.
Xu Jiayin's debt pressure and the cession of core assets marked the end of Evergrande's business empire. He had to cut his core assets to settle huge debts and fight for a chance at his future. However, all this is the result of his own choices. In any case, it is hoped that those affected families will be able to resolve the housing problem smoothly and will not be further harmed. The end of Evergrande's business empire is a warning to all investors and entrepreneurs that they should not overlook the importance of risk and debt management in the pursuit of momentary profits.