Darkstone Code
Chapter 161 - 0160 Unsuccessful Negotiation

Chapter 161: 0160 Unsuccessful Negotiation

"I don’t have much money, and part of it needs to go towards the initial construction of the apartments..."

Hart didn’t lie or exaggerate about his current situation; whether it’s good or bad, he just stated the truth - he doesn’t have money, and it’s indeed the case.

"But the land you’re holding is extremely important to me!" He always remained sincere, so sincere that he didn’t seem like a merchant, even less like a real estate developer. People like him rarely tell the truth so honestly.

When negotiating business, they often show a "take it or leave it" attitude and sometimes aren’t very reasonable.

He constantly maintained eye contact with Lynch, not avoiding Lynch’s gaze, as if this could prove some of his current conditions.

"I’ve prepared two proposals, are you interested in hearing them?"

Lynch nodded, "Of course, otherwise, why would I be here?"

Lynch’s words made Hart breathe a sigh of relief, or at least he appeared to. He began discussing his plans.

"The first proposal, I can pay you approximately...", he thought for a moment, "approximately sixty thousand in cash, and other part of the funds can be incorporated into this project. We’ll have a more detailed evaluation meeting later to evaluate the total investment, and we’ll allocate shares of the project to you according to the proportion."

This is also a common cooperation method, to put it simply, it’s like technology shareholding.

When others can’t ignore the essential conditions in his hands, this part can be included in the total investment to occupy a certain investment proportion. This method is quite common and widespread.

After listening, Lynch didn’t say it was good or bad. After leaving some time for Hart to think, he began to mention the second proposal.

"The second proposal is simpler; I use the equivalent shares of my company to exchange for the land you hold..."

This is also a prevalent behavior, especially prone to occur during mergers between large companies. The bigger the company, the tighter the pressure on cash flow, but they have needs in this area, such as acquiring other companies. This method effectively alleviates financial pressure.

Hart’s second proposal is the same. He offered Lynch a portion of his company’s shares in exchange for the land, and he considered it a worthwhile proposal.

As the project begins, his company’s market value will surely have a noticeable increase, and Lynch equals earning twice from his land.

After introducing his company with a slightly proud tone, he looked expectantly at Lynch. He believed Lynch would choose the second option, which seemed obvious to him, as he had used this plan successfully to win over more supporters and investors.

But Lynch didn’t immediately reply. Instead, he asked a question, "Is my land really that important to you and your company?" He said thoughtfully, "You could choose some more remote land, the price would be lower, and your development costs would be smaller."

Hart was taken aback; he hadn’t expected Lynch to counter with a question unrelated to his proposal. Meanwhile, he realized that the two options he prepared might not be Lynch’s preferences.

With the negotiation’s foundation of utmost sincerity, he explained some advantages of Lynch’s land.

"That land is next to the city center. If calculated in a somewhat rogue direct line distance, we can say it’s the city center itself, and there’s nothing wrong with that!"

Both Hart, Lynch, and Jogriman couldn’t help but laugh. That’s a favorite saying among developers: direct line distance.

This often makes people overlook that the actual direct line distance can be quite lengthy when using ordinary commuting methods to reach another point, much like the banks of a river, where the direct line distance might be just dozens of meters.

However, if there’s no bridge, it’s normal to detour dozens of kilometers to get across.

"Around it are commercial and residential areas. It’s more suitable for people’s residential needs than other places. I know the land outside the city is cheap, but people would rather live in a park than reside outside the city."

"The living environment, the nearby environment, it concerns the final occupancy rate of these apartments, including whether it’s easier to sell the properties after the project ends. The closer to the city center, the easier to solve these issues, and the higher the fiscal subsidy!"

Hart seemingly didn’t hide anything and directly stated the core aspects bluntly. After hearing this, Jogriman nodded repeatedly, and Lynch also found no issue.

If the project’s construction occurs on undeveloped land outside the city, City Hall could directly provide them with free land use rights. The problem is who would be willing to cross half the city to reside outside; if the project ends and these houses can’t be sold, they might incur losses!

The true profit point of this project is the final step, when they sell all the apartments at once after the project ends. Any rationally-developed person will understand that apartments next to the city center surpass suburban ones in both audience level and price.

It seemed there weren’t too many issues. Lynch contemplated briefly and looked at Jogriman’s residence. His gestures weren’t small, and Hart kept observing him.

Jogriman diligently fulfilled his role as a middleman, refraining from intervening in anyone’s judgments and just quietly sitting, sipping his drink.

After a while, Lynch withdrew his gaze from inside the house, calmly looked at Hart, and proposed another trading option, "I’m temporarily not interested in investing in real estate, but I am interested in houses."

"You know, I’m just an ordinary person. Ordinary people have a nearly obsessive liking for houses; I really like the houses here. Perhaps we could use the houses here for offsetting the price."

He then looked at Jogriman, "Mr. Manager, what do you think the villas here are worth right now?"

Jogriman was surprised; he hadn’t anticipated Lynch choosing this method and actually leaned more towards the second proposal internally.

Now that Lynch mentioned it, he thought for a moment and offered a fairly reasonable price, as both parties were his friends, "About seventy to eighty thousand to one hundred thousand, there are several specifications."

Hart also nodded, more or less the same price, but he had different thoughts, "Jogriman, besides Lynch, you forgot something. These already-built villas will appreciate again once the economic downturn ends."

"Four years ago, the price of any house here exceeded two hundred thousand, even the smallest one. Also...", he paused briefly, "I’ve received news from City Hall that there’s a significant chance this area will be designated as one of the city’s drinking water sources, meaning no large projects will be constructed nearby in the future!"

Currently, Sabin City’s drinking water sources aren’t from this lake but a farther artificial lake.

As the city’s population increases, the burden on drinking water also intensifies. City Hall already planned such a development, but no specific steps have been implemented so far, only an intention. However, facilitating it isn’t hard, as this is what capitalists excel at.

Lynch unhesitatingly interrupted him, "My land will appreciate too! We all know Sabin City is close to reaching a population of a million, the urban circle will inevitably further expand, and by then, that land won’t be ’close to the city center’, it will be the city center!"

When it comes to "playing rogue," Lynch wasn’t strangers to such tactics. After all, it was just boosting things, and what he said wasn’t necessarily wrong.

Hart appeared somewhat disappointed, "Mr. Lynch, the conditions you proposed I can’t accept. We know this place does seem a bit dismal now, but it will eventually improve, just like the troubles our society is facing."

"Maybe in five years, ten years, the cheapest house here will sell for at least thirty to forty thousand, or even higher; your proposal I can’t accept."

Lynch didn’t show strong dissatisfaction, just smiled and nodded, "I understand, Mr. Hart. Business is like this, only when both parties reach a consensus can the deal proceed."

Hart still struggled to accept it, as it differed from his expectations before coming, "Aren’t you reconsidering?"

Lynch shook his head, "If you pay attention to recent developments, you’d know my company was just valued at seventy million, investors are lining up to give me money. If Mr. Jogriman weren’t my good friend, I wouldn’t have considered selling this land."

"I fully agree with some of your statements earlier; the economy can’t remain stagnant forever, three years, five years; everything will eventually improve. Federation’s foundation is better than other countries, and we’ll recover economically faster too."

"You think this land may only be worth one hundred fifty thousand to two hundred thousand now, but I can guarantee that in ten years, you won’t buy even one-tenth by adding a zero to that!"

As Lynch spoke, he stood up, extended his hand, "Although we didn’t reach an agreement on this transaction, I’m glad to meet you, Mr. Hart."

He showed that he didn’t want to continue discussing, and Hart couldn’t persuade him. Trying to persuade him now equal to handing a knife into the opponent’s hand while voluntarily lying on the butcher’s table, so it seemed like waiting for the next opportunity was the only option.

"Me too, Mr. Lynch!"

Lynch uttered a few words of courtesy, bid farewell to Jogriman, and left.

Hart’s mind couldn’t wrap around it for a moment. After Lynch left, he couldn’t help asking, "What thing is valued at seventy million?"

Jogriman sighed, looking somewhat confused, "His Interstellar Trade Company, the one in the business of second-hand goods auctions!"

Hart’s face was filled with shock, followed by bewilderment, "Such a company...valued so high?"

Jogriman knew that Hart felt a bit downcast then, gently patting the other’s shoulder, "He knows better how to seize opportunities."