Shanghainese needs NEP
Temperature: 23 c
Weather: Fair
Engtee and I were in a cab. Normally the cab drivers in Shanghai don’t engage in a conversation with the passengers. They often look very pressured, tired and desperate to get customers.
But this cab driver was different. Out of a sudden, he said to me, “Shanghai people are very pressured.” (Of course he spoke Mandarin)
I wasn’t sure how to reply, so I nodded my head to signal him to continue.
This is basically what he told me. Shanghai has been “bought” by outsiders. The true “bumiputeras” of Shanghai are seriously marginalized. Why so? The developers, with the help and encouragement of the government, had taken away land that was formerly owned by Shanghai people in the prime areas. Compensation was given of course. But the compensation was given based on the rate in the rural areas. For example, if you own a 55 square meters of apartment, then the developer will compensate your 55 square meters based on the rate of rural areas. If it costs RMB1000 per square meters in rural areas, then you will be paid RMB 55,000. The idea is to ensure that you have enough money to secure accommodation in the rural areas.
In another words, the developers pay the Shanghai people at rural areas’ rate to get their land, build apartments on it, and then sell it based on the market rate of urban prime area. This explains why the developers here are making money so fast like it is flowing out directly from the spring. Not only that, I read from newspaper today that the developers are using the following tactic to maximize their profits:
They sell their properties in batches. For example, after the completion of the buildings, they only sell phase 1. Then they wait until that area is heated up by big fat thirsty investors and speculators. Once they see phase 1 is selling like hot cakes they open up phase 2 at double the price of phase 1. Then phase 3 and 4 and 5 etc. The government plans to ban such unfair and unscrupulous practice of the developers.
My agents told me, when the developers commence housing projects, they don’t even bother to launch it in Shanghai. Instead, they launch it and set up sales office in Taiwan, Hong Kong, Singapore, Australia and America. So the centre of Shanghai is “conquered” and “dominated” by foreigners or outsiders. When these foreigners come to Shanghai with big pockets, they start their shopping spree on real properties like there’s no tomorrow and inevitably hike up the price of the properties. That’s why the Shanghai properties are so expensive and the locals just simply could not afford it. The locals are being pushed to the rural areas of Shanghai and are helpless.
The fresh grads here usually get RMB2k to 3k for their first job. After they’d climbed the corporate ladders for several years, it’s time for them to get married and settle down. But their income by then probably is just RMB 5k to 6k. How could they afford to buy apartments that are mostly in the millions?
“Unless you are a boss, you won’t get RMB 8k to 9K per month” said the cab driver.
The cab driver looked very upset now. He was not happy with the government. He felt that something must be done about it. He was an unhappy man.
10 minutes later we reached the entrance of our apartment.
“You live here?” the cab driver asked. He looked surprised.
“Yes, I live here.”
“But the apartments here cost at least 2 million each and the rental is probably more than 3 thousand a month!” the cab driver was scratching his head in disbelief.
I didn’t reply. I gave him RMB20 taxi fare and said bye bye. He probably didn’t realize I was one of the foreigners that conquers his land and indirectly pushes him to the outskirt of Shanghai.
Shanghainese needs NEP? What you think?
But this cab driver was different. Out of a sudden, he said to me, “Shanghai people are very pressured.” (Of course he spoke Mandarin)
I wasn’t sure how to reply, so I nodded my head to signal him to continue.
This is basically what he told me. Shanghai has been “bought” by outsiders. The true “bumiputeras” of Shanghai are seriously marginalized. Why so? The developers, with the help and encouragement of the government, had taken away land that was formerly owned by Shanghai people in the prime areas. Compensation was given of course. But the compensation was given based on the rate in the rural areas. For example, if you own a 55 square meters of apartment, then the developer will compensate your 55 square meters based on the rate of rural areas. If it costs RMB1000 per square meters in rural areas, then you will be paid RMB 55,000. The idea is to ensure that you have enough money to secure accommodation in the rural areas.
In another words, the developers pay the Shanghai people at rural areas’ rate to get their land, build apartments on it, and then sell it based on the market rate of urban prime area. This explains why the developers here are making money so fast like it is flowing out directly from the spring. Not only that, I read from newspaper today that the developers are using the following tactic to maximize their profits:
They sell their properties in batches. For example, after the completion of the buildings, they only sell phase 1. Then they wait until that area is heated up by big fat thirsty investors and speculators. Once they see phase 1 is selling like hot cakes they open up phase 2 at double the price of phase 1. Then phase 3 and 4 and 5 etc. The government plans to ban such unfair and unscrupulous practice of the developers.
My agents told me, when the developers commence housing projects, they don’t even bother to launch it in Shanghai. Instead, they launch it and set up sales office in Taiwan, Hong Kong, Singapore, Australia and America. So the centre of Shanghai is “conquered” and “dominated” by foreigners or outsiders. When these foreigners come to Shanghai with big pockets, they start their shopping spree on real properties like there’s no tomorrow and inevitably hike up the price of the properties. That’s why the Shanghai properties are so expensive and the locals just simply could not afford it. The locals are being pushed to the rural areas of Shanghai and are helpless.
The fresh grads here usually get RMB2k to 3k for their first job. After they’d climbed the corporate ladders for several years, it’s time for them to get married and settle down. But their income by then probably is just RMB 5k to 6k. How could they afford to buy apartments that are mostly in the millions?
“Unless you are a boss, you won’t get RMB 8k to 9K per month” said the cab driver.
The cab driver looked very upset now. He was not happy with the government. He felt that something must be done about it. He was an unhappy man.
10 minutes later we reached the entrance of our apartment.
“You live here?” the cab driver asked. He looked surprised.
“Yes, I live here.”
“But the apartments here cost at least 2 million each and the rental is probably more than 3 thousand a month!” the cab driver was scratching his head in disbelief.
I didn’t reply. I gave him RMB20 taxi fare and said bye bye. He probably didn’t realize I was one of the foreigners that conquers his land and indirectly pushes him to the outskirt of Shanghai.
Shanghainese needs NEP? What you think?
My colleagues. 3 Malaysians and an Australian.
Labels: Daily Experience, Opinion
posted by harnniann at
10:10 pm
3 Comments:
Son,
You look great, in my eyes, u r the most handsome one among the four.Don't forget I m the producer.
Bye.
Fr. the great lady.
yeah, finally not wearing t-shirt, hot pants and sandals.
since when Yi Ma become so sentimental. touching..
great brain produces great brain. can't help to recall all the things grandma told me about how her daugther won the gold medal in singapore..
gonna miss you guys a lot.
all the best
zkin
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