Market Signal: China's Real Estate Cheerleader Retires

Weibo Celebrity Ren Zhiqiang Steps Down From Property Firm

Chinese property mogul Ren Zhiqiang, well-known in China for his blunt and controversial comments about high housing prices, politics, economy and social issues, is retiring from his Beijing-based firm Hua Yuan Property Co. next month. The 63-year-old — who said online he might go into academic research and writing — has a wide Weibo following and is known as “the Cannon” for the occasional ferocity of his comments, and once provoked so much ire that he drew a thrown shoe.

Back in April, Ren Zhiqiang was optimistic about the sector back in April and became more cautious as the months passed. Now he's calling it quits because he's discussed real estate prices for 20 years and that's enough.

Chinese coverage from iFeng: 任志强宣布退休 称房价说了20年没意思了. The Google translation is not good.

October 22, 2014, the day before the Lunar frost, cloudy Beijing slightly bleak, people are deeply autumn is getting stronger, but is located in Xizhimen Huayuan Enterprise, the first floor was full of people, crowded. The reason is simple, the Chinese real estate circles influential opinion leaders - Ren Zhiqiang, chairman of Huayuan Real Estate, one month after the official announcement from the chairman of Huayuan Real Estate retirement, so choose in this press conference was held for the media.

There is no doubt that all these things again in unexpected expected, after all it has been over 63 years old, long past retirement age. And on October 21 evening, Huayuan Property (600743.SH) announced the nomination Sunqiu Yan, Sun Huaijie, Yangyun Yan, Zhang Wei Xin, Mr. Tang Jun, Chen Xiaoling as a candidate for the new director. Ren is not in the list, this means that it will no longer serve as chairman of Huayuan Real Estate, but left the REN whether Huayuan can blaze in a competitive real estate in the Red Sea Ex, you have to look at the strength of Ren successor.

Although Ren retired from Huayuan have been "settled", but for the Chinese real estate arena, he will never retire. Because, from 1984 to 30 years between 2014, Ren almost witnessed and participated in the real estate industry in China after the reform and opening up the entire history of changes, unpleasant thriller about the industry, his prophecy has repeatedly suffered criticism, has repeatedly been demonstrated, to some extent He has become a symbol of the industry.

As the "eyes of a thousand thousand people, like Hamlet," Mr. Ren Zhiqiang is also in the real estate arena in the "bricks and flowers", "abuse and appreciation", "controversy and worship" coexist in a unique landscape, due to "say , "" love "," the language is not surprising until "personality let him have" any gun, "said. And also because of his smooth Italian bluntly, let him from the "enemies of the people" into a "people's well known," so long as there is in the case of Ren, must be "colorful flags fluttering," Whether it is real estate or real estate reporter Insiders will be around in its side, expect to get the latest real estate reviews. Author witnessed his book "ambition elegant" signing session, big girl, little daughter look forward to seeing chief, get it autographed lively scene, which is rare in the real estate sector, quite Korea. " rice "expect" are professor "Fan.

About Ren's story, a brief history of Chinese real estate has long been "voluminous" file from a sniper's central bank, No. 121, to the "good base Friends" Pan "eggs-for food stamps"; From bluntly, "real estate should be profiteering" to the public " Brick House "bet prices will not fall; opposition from real estate regulation" manifesto "to Taiwan's first beauty Lin Chi-ling laugh ...... it all is Ren's true nature is revealed.

What would do after retiring from the post of chairman of Huayuan? Ren himself said with a smile, "future ready diverted to get some academic research, when a writer Han." In my opinion, this definitely is a super tricky thing. Because, in the blog era, Ren writing the 448 blog, the amount of reading more than 34 million; microblogging era, he wrote a 1661 micro-Bo has over 24,950,000 fans. In addition, he also wrote "Ren: Because I never loaded," "Ren real estate Life", "fancy comment", "Any time I comment," "either you comment", "ambition elegant" and other works, so the Finance writer Wu Xiaobo has been evaluated, "Ren is one the largest Chinese real estate sector study, it may be the most sober and most thinking of a person." So, by virtue of the absolute strength of writing, plus a fan effect is obvious, the future is likely and Guo Ren Zhiqiang, Han a high, who is best-selling author. Meanwhile, in the real estate industry practitioners Ren due more than thirty years, his Chinese property market trend, judgment, analysis, forecasts are familiar, but also for the sensitivity of the data in a variety of forums so that he reasoned, clearly and logically, so real estate Academic research is also promising.

Obviously, Ren future "retirement" life is still brilliant, but the world will still lament the golden age of the property really has ended. Because Wang had traveled to the United States study tour, Feng Lun MassMutual empire transferred to others, Song Weiping the "change from green to blue" to do pension real estate, the daughter of Yang Guoqiang then step aside to make way ...... in the new "real estate Silver Age" Who can become China's new real estate "with salt man" is unknown, but it is certain that there was a place of rivers and lakes, and rivers and lakes where there will ultimately Ren, so in the future we continue to meet with any of the guns in the arena .

Attachment: October 22 A reporter asked Ren retirement press conference Record

Q: Why is now retired?

A: This year, we transferred from the Commission to the Beijing Municipal Commission of Hubei Province, just after finishing the formalities, we acquired the original shell Hubei, now toss for several years, from 2008 to the present, the newly appointed director of SAIC helped a lot busy, everyone knows that relocation involves tax issues, no matter what we become Beijing company. Eleven ago just been handed finished, come back, I will be able to retire. In fact, this thing finished accountable, Beijing Securities Regulatory Bureau agreed that we used to have two things that have not been resolved, one is re-election, board of directors should be three years, we did not re-election six years, and now does not want to change it to die.

Q: Why retire?

A: I am now living to post, vice chairman of China Real Estate Association, vice president, and vice president of the Real Estate Research Council, the Executive President of the National Real Estate Chamber of Commerce, China's largest environmental organization NGO Alxa president. To 90 days a year I probably busy time this thing (something that Alxa), and plant trees and climbing, I was eleven climbed 4 km mountain, over 2900 elevation, but also cold and into the more than 400 million , colds but also the value. National impact Alxa this activity is growing. We are also prepared to vigorously promote, October 7 members of the General Assembly opened in Xi'an, amendments to the Constitution, but also very lively, which attaches great importance to the province, Xi'an Area members are also very active, to plant 10,000 trees in the Qinling Mountains, so I Alxa At least the important work of this term. General end of next year, at least 200 members to develop, flicker for a long time only 100, charity not like you thought it would be simple, in addition to money but also dig time. We are all at their own expense to participate in various activities, we AA, charity is a very complex activity. In addition, the book club's president, dean of the College Museum of Finance, the official is not, but also his own pocket. I donated 450,000 yuan last year, I put the money donated auction time. Three museums, Beijing, Tianjin, Suzhou, activities several times a month, of which Beijing is twice this month, Mr. Coase's assistant, he was the 24th in the afternoon to finance the museum, tell the story of the Romans. Too much going on this year, and social welfare accounted for two-thirds of the time. So social activity has not ended, but not my official work. Retirement are two concepts, the first state-owned enterprise's official retirement job, now is the state-owned holding enterprises operating duties related to operating independent of the rest, and not investors responsible.

Q: You determine how the future development of the company like?

A: Bank of China Banking Regulatory Commission by the end of September a mortgage-related policies, estimated in October will be better than the first three quarters, at least, many people, popularity, and the number and subscription sales ratio improved, Beijing most typical second-hand housing transactions fastest, so do not worry the company will have a big problem, even if they do not have much history, and are normal growth conditions. Perhaps the pipe better than me. I am the person a little old, a little conservative. A bad place is growing slower than the others, a good place to be when difficulties are more robust than others. Huayuan just released three quarterly reports, or in very good shape. Quarterly profit fell a bit, (because) more affordable housing, put margins pull down.

Q: Before Huayuan performance is not the biggest, vanity will not be affected?

A: how do you know I'm not the strongest economic Huayuan top ten, I do not pursue big, I seek only to shareholders the best return?. You look past decade, my ROE than Vanke high. How much money you Vanke from the market is that you say vanity took? I did not take a penny from the market, cattle on the cattle here, the highest shareholder returns, rather than maximizing managers stakeholders.

Q: What is the biggest during his tenure Huayuan pressure?

A: Leadership has always been the party. For example, before 2007, Wang Qishan, mayor of the time, I did not get a piece of land, I took a good public auction dozens of times, the presence of several hundred million Land Agency, have lost tens of millions of interest, but does not take to, the reason is that we had proposed to the field, but the SAC does not agree, you should put the tax contribution to Beijing. But for enterprise development strategies, the non-market factors is not working, since 2008, forcing no way before we go out again. If we went to the field in 2005, the occupation of the city more, the cheaper. Many times we can not make good decisions. But Vanke not have this problem.

Q: Who you optimistic about Huayuan's successor?

A: I do not put forward their views, finding out whom to love, just like the old confused overlord, who am I optimistic who are not optimistic. I think more young people than older momentum, do not exercise the heart.

Q: opinion leaders from the industry point of view, after promising you who?

A: I told my daughter had a generation gap, uncontrollable these 90, you have to look at young people, do not think these old also how, basically to die. These young people will have some more ground air views and gradually. For example Dingzu Yu, they may slowly become opinion leaders, focusing on research, E-House Research Institute has a large amount of data collected from nearly 300 cities. High-tech things we can not learn, and on this phone, Pen taught me a long time I will not, let not working. But a bad place is fragmented.

Q: how to see Yu Liang's "Silver Age" theory?

A: The Chinese called the real estate finance, real estate finance foreign name, most listed is the fund company, not businesses. The United States is accounted for a large number of funds and hold property, rather than development-oriented, China must shift development model for the job, if someone continually invest in this industry, there is a large production, she is golden (age). (I expect investment in Chinese real estate) as well as an increase of more than 200 million total, (the investment process) as well as around 15 years, as well as part of the annual depreciation, which is a continuous process, not necessarily every year 30% -50% growth in the number of growth will decline, but the amount of increase will rise. I do not think that using "gold" and "silver" to describe appropriate. From the development stage, if other corporate profits high, certainly switch to another profession. I am most in favor of China Vanke, shouting no, while increasing investment to mix.

Q: Tell me about prices now.

A: Let me again say Beijing housing prices, said a 20-year, multi-boring. The central government in Beijing, Beijing is always a pioneer. Beijing can only expand so desperately out with a high-speed rail, the evacuation of part of the population and housing rights. But you look at the highest price it, Sunhe recent batch of 120,000, which means that the price is in the market as prices go. On owner-occupied real estate, the Beijing Municipal Government's approach is the least market-oriented approach is contrary to the market redistribution of wealth.

Q: The next high point prices will appear at what time?

A: I did not see Beijing policy relaxed, Beijing Central ass in the film, we do not want to guess, there is no regularity. The current economic situation is "the name of bottle" non-healthy state, if weather is normal, people can add items of clothing according to the temperature, the internal regulator is stable 36 degrees. But China is now the thermometer is 36 degrees, the temperature is China's decision to bottle, happy on the shot, do not know what the drug fight. Two directional drop standards, better things in the past have not heard, the short-term policy is now probably less than two months. Apart from these financial policies and other policies can count the pile, if policy adjustments are added to the list, once a month policy adjustments, cyclical policy increasingly shorter, no long-term expectations. Policy cycle is growing, so this situation is not what we decide by external temperature changes. Shot you become 39 degrees, you're able to adapt to the body temperature of 39 degrees.

Q: Beijing when opening restriction?

A: Beijing can not let go, Beijing has put restriction policy and population restrictions placed together, rather than real estate policies. See how changes in the next five years.

Q: Do you leave, the staff what changes?

A: burst into tears several times, several people sent me a text message, I can not even answer. (Ren then turned the phone to find a full write 200 words of text), please continue Waibo, thank you very popular with female employees in the company, I like it, because the annual "Women's Day" I gave you a gift (note : Ren is March 8th birthday). 88 onwards, as long as there is a child (female employees), the New Year I gave send 1000 yuan, to the children's festive red envelopes.

Q: After retirement, what would your life change?

A: retired still work here, give me another small office chanting. District government wants to set up an Institute for me to control, but I do not want to go, just find a few corporate investment and research institutes, we can not state holding, the Institute may not work every day, put out some task entrusted. (Aspects of life for me) is that the greatest impact public service activities accounted for more and more time. Nominally here before I go to work, but the tube's thing less and less.

Q: "Any cannon" Will this name exists?

Answer: It is not a "cannon" is your seal, I never said that.

Q: If someone invites will be coming out right?

A: fast pestle crutches still coming out this year I woke up at half past six, sleep better yet, you do not feel like retiring just die?. You can also play trees.

Q: Is there any regrets?

A: Unfortunately, that is no more than a couple of children, I am especially jealous of the company's young, several second child, I was being jealous, or else there are a bunch of kids around the back of retirement. Life is always endless pursuit, my biggest advantage is tolerant person, someone called me who I did not pull the black, I said to myself it this way, no regrets. Unfortunately, people have to throw in the back of my mind.

Q: For you, what is most important?

A: The most important thing is that people need you, you are an individual, people should not need you, you do not like a dog. This need not mean that the community, the family needs to have existence.

Q: On anti-corruption, what you have to say?

A: social change should be concerned, the family had to clean out the dirt should be. We hope the party better. Do not care about corruption, the next generation how to do.

Q: Talk about your good group of several friends.

A: The business at home, I most admire (formerly CR, now Chairman of the Board of Directors COFCO) Ning, access to international capital markets is rather led me to enter, funded their investment bonds, his business philosophy is very good. Later, after we broke up, I set up the company, he also gave me six years as an independent director. We both broke up in the cafe drinking wine that we both break up. A few words on negotiated. Pen. Pan Shiyi sneaky thing I know, but can not tell you ah. Wang Jianlin only invited me to participate in public activities, we do not communicate in private, sneaky thing is not to tell me. And Pan Shiyi, we made 80 billion in business, we have no quarrel over because things contract, two people go to the extent of integrity, we can become friends, does not consider that he would not default, whether earned lose. These projects have earned him a big lose. For example Guanghua Road project, we both can take cigarette write a contract, or mouth said. What people can be friends, (depends on not) have the spirit of contract. Even if we judge the market, different views, it does not matter, a friend is a friend.