Core Viewpoint - The real estate industry in China is transitioning from a "high turnover" model characterized by rapid land acquisition and construction to a "slow business" model that emphasizes quality, operational resilience, and deep understanding of customer needs [2][3][12]. Group 1: Industry Transition - The industry is moving away from the "456" high turnover model, which relied on high leverage and rapid expansion, towards a long-term strategy focused on low leverage and operational excellence [3][12]. - By 2025, the real estate sector is expected to face a debt maturity of approximately 525.7 billion yuan, indicating a significant increase in financial pressure [3]. - The market is shifting from new development to stock competition, where the ability to manage projects throughout their lifecycle is becoming crucial [3][12]. Group 2: Characteristics of "Slow" Companies - "Slow" companies like Hejing Chuangzhan, Binhai Group, and Chenjia Development are emerging as benchmarks in the industry due to their careful financial strategies and focus on high-end products in core cities [2][9]. - These companies prioritize product quality and service over rapid expansion, leading to unique offerings that meet market demands [9][11]. - The operational strategies of these firms include localized product design and a focus on understanding the values of new-generation consumers [3][11]. Group 3: Financial Performance and Business Models - Hejing Chuangzhan's commercial segment is projected to contribute 2.2 billion HKD in revenue in the first half of 2025, accounting for over one-third of the company's total revenue [6]. - The company has successfully implemented a "light asset" model, with commercial project management accounting for over 70% of new projects in 2025 [6][11]. - The "Mian" brand of Hejing Chuangzhan has achieved a gross margin of 39% in the first half of 2025, surpassing the industry average, demonstrating the effectiveness of its operational strategies [10]. Group 4: Market Dynamics and Future Outlook - The industry is evolving towards a comprehensive model that balances development, operation, and service, moving beyond mere construction and sales [5][12]. - The focus on quality living and sustainable urban development is becoming increasingly important, aligning with the broader goal of enhancing the quality of life for residents [12][13]. - As the market transitions, companies that can provide high-quality living products and create long-term value in urban operations will be better positioned for success [17].
告别高周转，房地产开始做起慢生意