A century-old wealthy family that rose from Shanghai

The bank run at Liu Chong Hing Bank had a significant impact on Hong Kong's property and stock markets. Property prices fell by 10-20%, while the stock market was also affected and declined.

Of course, in Chen Guangliang's view, the decline is only short-term and the upward trend should resume next year.

In this round of land auctions for Liu Chong Hing's companies, CK Asset Holdings also acquired two sites, keeping its promise not to lower the price, which is roughly equivalent to more than 70% of the previous value.

It's worth noting that without the intervention of CK Asset Holdings, Henry Fok, and others, it wouldn't have been impossible for Liu Chong Hing's land holdings to be sold at 50-60% of their original value!

It's a pity that Liao Baoshan died of fright; otherwise, with her own abilities, her future prospects would not have been worse than those of Guo Desheng, Zheng Yutong, and others.

Everything was rather regrettable!

Today, among the first batch of large real estate companies, Li Kangjie, Chen Detai, and Liao Baoshan have all failed.

In this life, Fok Ying-tung did not achieve the same level of success as in his previous life. After all, not only did he lose a significant portion of his business to Yang Yifan (after changing his name) during the Korean War, but he was also not a leader in the real estate sector after the war, far inferior to Cheung Kong Holdings.

Of the four major families in the previous life, Li Ka-shing had no chance to expand further and was now just a small factory owner. He hadn't even paid off the loan for his first industrial building, and with the plastic flower industry already declining, he couldn't possibly have the money to buy at the bottom in 1967. Sun Hung Kai Properties, consisting of Kwok Tak-seng, Lee Shau-kee, and Fung King-hei, entered the market in 1958, but Kwok Tak-seng lacked the zipper industry to back him up, and the real estate market was being driven up by Cheung Kong Holdings, so their scale was relatively small. As for Cheng Yu-tung, he had also missed the opportunity to enter the Hong Kong diamond market, and his backer, Hang Seng Bank, was not large. In summary, the four major families in the previous life had been weakened to varying degrees.

At that time, Cheung Kong Holdings was the dominant player in Hong Kong's real estate industry.

Following them were Fok Ying-tung's companies, as well as some banks and related individuals who made larger investments. For example, Ho Sin-hang and Ho Tim of Hang Seng Bank directly invested in real estate, as did Ming Tak Bank.

However, it was clear that Fok Ying-tung could not expand his business too much, since the Hong Kong government disapproved of him; secondly, Ming Tak Bank and Hang Seng Bank could still experience bank runs in 1965.
In summary, CK Asset Holdings has been able to keep up with the changes in Hong Kong's real estate market, while continuously growing in size, and in a league of its own.

This day.

At the opening ceremony of the Furama Hotel on Paterson Street in Causeway Bay, Chan Man-kit once again represented Cheung Kong Holdings at the celebration.

This is the third hotel invested in by CK Asset Holdings. Like Miramar Hotel, Furama Hotel is priced as a four-star hotel, but in reality it can reach the level of a five-star hotel, mainly to ensure occupancy rate.

The Shangri-La Hotel is a 'super five-star hotel', and together with the Peninsula Hotel owned by the Kadoorie family, they are representative hotels in Hong Kong, one in the south and one in the north.

During the event, a guest jokingly remarked, "Mr. Chan, the Hong Kong real estate market is ever-changing, but only Cheung Kong Holdings has truly thrived!"

As soon as he said this, everyone around him turned their attention to him.

This is clearly a case of flattery that could be detrimental.

Faced with this situation, Chen Wenjie calmly said, "Cheung Kong Group entered the real estate industry in the late 1920s and has always adopted a steady and pragmatic development approach, so its size is indeed quite large. Now that Cheung Kong Group is listed, it will share the profits of real estate development with all the citizens of Hong Kong. Naturally, it should do its job well so as not to disappoint the expectations of shareholders."

Upon hearing this, everyone cheered!

CK Asset Holdings is already listed, shouldn't it be doing a good job? Shouldn't it be letting shareholders lose all their investment?

Of course, everyone is jealous, and Chen Wenjie knew that countless eyes were on Cheung Kong Holdings, hoping that the company would fall apart.

Therefore, Chen Wenjie understood how wise his father was to list Cheung Kong Holdings.

The company raised 1.875 million yuan, which was used not only to repay part of the loans but also to continue purchasing land and expanding its operations.

After the opening of the Furama Hotel, the entire commercial complex on Baidexin Street was put into operation.

For a time, this area became the liveliest in Hong Kong, attracting locals and tourists alike. Here, you could find everything you needed for eating, drinking, and entertainment, eliminating the need to travel far and wide. Even shopping offered both department stores and shopping malls.

As for Cheung Kong Plaza in Central, its opening date was set for New Year's Day 1962, which was still more than four months away, and naturally attracted much attention.

The next day, Chen Wenjie came to Central again to attend the opening of the flagship store of Cafe de Coral in Central.

This is the first Cafe de Coral fast food restaurant. Since Cheung Kong Holdings also holds a 50% stake, and Chen Wenjie has always been concerned about his uncle's business, he took the time to attend.

"Uncle, congratulations!"

Yan Zuhe said with a beaming smile, "Congratulations! You're so busy, yet you still came to participate in such a small event!"

Chen Wenjie said earnestly, "Business has no size, and the catering industry is a huge industry. Perhaps Cafe de Coral Fast Food can also develop into a catering group!"

“That’s true,” Yan Zuhe said confidently. “The business your father personally selected is naturally quite significant.”

Chen Wenjie could tell that his uncle truly admired his father, and he himself felt the same way. Countless people regarded his father as a "god of commerce"!

Later, everyone joined the guests for the opening ceremony.

This flagship store is only on the first floor, with an area of ​​over a thousand square feet, and is mainly targeted at white-collar workers in Central office buildings.

Its business model can be described as the first of its kind in Hong Kong – self-service dining.

By noon, the white-collar workers in Central who had already learned about it through the flyers flocked to the area.

This immediately relieved Yan Zuhe, and he soon beamed with joy.

Guided by a store clerk, an office worker completed a self-service meal purchase and couldn't help but say to her colleague, "The selection is plentiful and it saves time. I won't have to bother with lunch anymore!"

My colleague also said with satisfaction, "Yes, when we go to a tea restaurant, we always have to wait in line for a long time at lunchtime, and there are not many choices. Although this is a self-service restaurant with no service, those restaurants are so busy that their attitudes are terrible. So, looking at it this way, the lack of service is actually a kind of service."

"Ha ha"

Seeing the full house of guests, Yan Zuhe was filled with hope for the future.

According to my brother-in-law, Cafe de Coral plans to open three stores every year until it has branches all over Hong Kong. Once it reaches a certain scale, it can take advantage of the property downturn to purchase stores, expand the company's assets, and then go public when the time is right.

With just a few words, Yan Zuhe felt that it would take him many years to complete this task.

a few days later.

On the Maji Immortal Path halfway up the mountain, at the Yan family ancestral home, Yan Zhiduo gathers his two sons and family members for a family reunion.

Yan Zhiduo has 11 siblings; he is the eldest, with four younger brothers. However, many of them remained in mainland China, while another younger brother, Yan Zhitong, came to Hong Kong, and his two younger sisters, Yan Caiyun and Yan Youyun, emigrated to the United States.

Yan Zhitong was the chief engineer of the former Zhanghua Wool Textile Factory, the same wool textile factory he partnered with Liu Hongsheng in, where he was only a minor shareholder.

Yan Zhiduo was always very proud. Among his twelve siblings, he was the eldest son and inherited the family business. More importantly, he found a good son-in-law, which changed the fate of his family.

If it weren't for his son-in-law's persuasion, he probably wouldn't have come to Hong Kong; his younger brother, Yan Zhitong, also came because Liu Hongsheng moved to Hong Kong and followed the factory.

After arriving in Hong Kong, although his career did not develop well, he at least preserved the family wealth by investing in a large amount of property and developing it conservatively.

Today, the 'Yan Zhiduo family' owns two buildings in Central, as well as other valuable properties, with assets totaling nearly HK$100 million.

During the banquet.

Yan Zhiduo asked, "Zuhe, how's business at Cafe de Coral?"

Yan Zuhe put down his chopsticks and said respectfully, "Business is very good, and it's very popular. Next, we plan to open our second and third branches in Wan Chai and Causeway Bay!"

Yan Zhiduo frowned slightly and said, "Developing so fast?"

Yan Zuhe said, "The main reason is that we have established a central kitchen, and it is imperative to develop a second and third branch. Moreover, the plan given by Cheung Kong Holdings is to expand by three stores per year."

When Yan Zhiduo heard that Chang Shi had a firm grasp of the grand plan, he immediately felt relieved. He had known his eldest son-in-law for over thirty years and had done many businesses together. He had never seen his eldest son-in-law lose money; on the contrary, he always made a huge profit.

Later, Yan Zhiduo asked his second son, Yan Zuxiao, "How are your plastic flower and wig factories doing lately?"

Although Yan Zuxiao was not Yan Renmei's biological son, his mother, Xu Qingwan, treated Yan Renmei well and helped Chen Guangliang. Therefore, Yan Zuxiao's development naturally received Chen Guangliang's help, and he was among the first factory owners in Hong Kong to enter the wig and plastic flower industry.

"Father, the plastic flower and wig industry in Hong Kong has been developing for six or seven years, and it is already declining overall, not to mention small and medium-sized factories like ours. Due to industry competition, profits are not high now, but we should be able to survive for a few more years. So, I have been looking for new ways out recently."

Yan Zhiduo was helpless in this situation, after all, he was getting old; moreover, his main focus was on managing the family trust.

So, he said:

"Our family trust's two valuable properties in Central have been completed and rented out. Meanwhile, last year, your brother-in-law suggested that I cash out the securities investments in the trust, which again avoided losses. Currently, the family trust's loans have been fully repaid and are generating a steady stream of rental income, so I plan to start the annual dividend distribution to family members."

"I consulted your older and younger sisters, and they all gave up their resources. Therefore, Zuhe and Zuxiao, along with your children, will receive equal shares; however, only female members, Yanxing, will receive dividends, and only before marriage."

This is practically a family meeting!

Yan Zhiduo believed that with this 'family trust', the Yan family could remain wealthy for five generations without any problem.

Yan Zuhe said, "Father, isn't this dividend a bit premature? The funds in the family trust can continue to be invested in real estate. After all, you are in good health and can continue to lead the family."

Yan Zhiduo waved his hand and said, “I’m old, and I have no ambition left. Especially after the completion of the two Central Towers, I don’t want to do anything anymore. From now on, it’s up to you two brothers to work hard. Zuhe, with the help of your brother-in-law’s family, your business has finally started to improve again; and although Zuxiao’s two factories are declining, you still own an industrial building in North Point and have some foundation. From now on, it’s up to you two! Even your brother-in-law’s family has already helped our family enough. If you two brothers fail again, don’t ask for help from there. Just rely on the family trust!”

My eldest son is already 40 years old; how can I possibly ask him for help again?

"Yes, father."

Yan Zhiduo nodded in satisfaction, his mood completely relaxed. Starting with his grandfather, the Yan family had been a grand and prestigious family, but that was only the glory of the past. There were countless wealthy families in Shanghai back then, but how many had truly survived?

Ultimately, Yan Zhiduo should have inherited the mantle quite well, although he owes much to his eldest son-in-law.

Later.

Yan Zuhe suddenly said, “Father, we should rebuild this ancestral home. I heard Wenjie mention that the Chen family will also build a luxury mansion on Conduit Road for long-term rental. Our site is also nearly 20,000 square feet, which is perfect for building a luxury mansion for long-term rental.”

He learned a lot about real estate development from his nephew, which was much more comprehensive than the Yan family's previous experience of only investing.

Yan Zhiduo waved his hand and said, "Wait a little longer, there's no rush!"

He also knew that this property would be developed into a high-end residential building for long-term rental and owner-occupancy. Although it could not compare to the Central Tower, it was still the third most valuable property in the family trust.

Upon hearing this, Yan Zuhe stopped trying to persuade him.

The next day, Yan Zuxiao visited the central kitchen of Cafe de Coral.

Seeing that his younger brother didn't seem to be just visiting, but instead was actually taking notes with paper and pen, Yan Zuhe immediately became wary and asked, "Second brother, what are you doing?"

Seeing that his scheme had been exposed, Yan Zuxiao shamelessly said, "Brother! Aren't both of my factories going downhill? I need to quickly start some new business. I think your Chinese fast food is pretty good. We're brothers. Even if I don't do it, someone else will, don't you think?"

Yan Zuhe was taken aback; he hadn't expected his younger brother to actually have this idea.

However, he still said, "It's your business to run a Chinese fast food restaurant, but isn't it a bit excessive for you to just copy it verbatim? Besides, you have no experience in the catering industry and don't understand it at all. I spent more than half a year researching before deciding to enter the industry."

Yan Zuxiao, of course, would not back down easily, and said, "Brother, whether I can do it or not is another matter. In short, I want to invest in Chinese fast food."

As the elder brother, Yan Zuhe could only mutter, "Then hurry up and look, don't disturb other people's work. Also, you'd better not make it exactly the same, and avoid the area where we have our shop."

Yan Zuxiao readily agreed, since he could open a shop in Kowloon first, but as for the future, that was uncertain.

Later, Yan Zuxiao added, "Brother, how about we partner up to do real estate? We'll each contribute an equal amount, buy an industrial site, and build an industrial building."

Yan Zuhe was immediately intrigued, as he was worried that his funds were insufficient to independently develop real estate.

"Alright, business is business, and brotherhood is brotherhood." (End of Chapter)