Core Viewpoint - COFCO Hongyun has obtained pre-sale permits for four residential buildings after a three-year hiatus, but faces significant challenges in sales due to poor market conditions and previous high land acquisition costs [1][2][4] Group 1: Sales Performance - COFCO Hongyun's sales have been sluggish, with previous pre-sale permits for 12 residential buildings remaining unsold [1][2] - The newly permitted 27,899 square meters of residential area may require further price reductions to sell quickly, as the current market conditions are unfavorable [2][4] - The average selling price was around 7,000 yuan per square meter, with the lowest recorded price at 6,818 yuan, indicating a trend of selling at a loss [2][5] Group 2: Market Conditions - The real estate market in Kunming has not improved over the past three years, with declining property prices, particularly in the outskirts where COFCO Hongyun is located [2][4] - The area where COFCO Hongyun is situated has been significantly impacted by market downturns, making it difficult to sell new properties [2][4] Group 3: Strategic Decisions - COFCO Hongyun's land acquisition was marked by high costs, with a floor price of 4,677 yuan per square meter, leading to a challenging financial outlook for the project [4][7] - The company is considering a strategy to quickly liquidate the project to minimize losses, as continued efforts in a declining market may not be viable [2][4]