With Accelerated Development, Helenbergh Gets Ready for the Second Half

In the Top 50 list of China’s real estate enterprises in sales, Helenbergh China Holdings Limited (Helenbergh for short), a company started in Guangdong, is quite low-key, but its projects has covered the Greater Bay Area, the Yangtze River Delta Region, the Jing-Jin-Ji Region, the Western China Region, and the Central China Economic Region, becoming China's leading urban integrated operator.

According to the lists compiled by third parties such as China Index Academy, in the first half of this year, Helenbergh’s contract sales of equity caliber has reached 43.5 billion yuan, ranking 33rd in the Top 50 of China’s real estate enterprises.

As supervision department further tightened on the financing side, many real estate enterprises exposed their liquidity weakness, and had to largely reduce capital expenditure such as land investment.

During this round of real estate regulation cycle, Helenbergh has shown its strong competitiveness of periodic high growth. Helenbergh has seized opportunities, promoted actively, and collected payment, with a significant year-on-year growth of sales performance. As of the end of December 2020, Helenbergh has been holding abundant cash, with the net asset liability ratio less than 100%, the cash short-term debt ratio more than 1 time. None of them touched the “three red lines”, indicating that Helenbergh has healthy fund situation.

While keeping the robust expansion of the main business of real estate, Helenbergh also improved in-depth layout of upstream and downstream industrial chain of real estate, such as intelligent household supplies, via strategic investment and other forms.

In the past 20 years, Helenbergh took residential property as the core business, kept developing with constant thinking of relationships between people and architecture, architecture and city, city and life, engaged in research on quality living, and proposed concepts of “Health⁺”, so as to become the leader in healthy residence.

As the real estate market entered new era, the management dividend and product dividend accumulated by Helenbergh for this long time have been released, which opened up new growing space for the company’s expansion and profit.

Counter-cyclic Growth with High Quality

Currently, the real estate market encountered strict supervision. However, Helenbergh still achieved expansion and growth with high quality, due to its sound financial management, strong executive force, excellent product power, and profound land reservation.

According to CRIC statistics, Helenbergh’s contract sales amount in full caliber reached 78.4 billion yuan in 2020, with a year-on-year growth of more than 47%. In the recent five years, Helenbergh’s compound annual growth rate of contract sales amount in full caliber has exceeded 40%.

Helenbergh’s capability of counter-cyclic growth originated from its accumulation during the developing process in the past twenty years.

Ever since its founding in 1998, Helenbergh has been adhering to the brand concept of “Flourish with You” and the strategy of national layout and deep regional developing. As of the end of 2020, Helenbergh’s project development layout has covered 45 cities of 15 provinces and municipalities, including the Greater Bay Area, the Yangtze River Delta Region, the Jing-Jin-Ji Region, the Western China Region, and the Central China Economic Region, with nearly 200 projects in different developing stages.

Helenbergh’s main business contains residential property, commercial property and innovative technology park. The company has provided residence and service with high quality to more than 600 thousand customers.

Driven by the strong sales growth and ceaseless returned cash of house selling, Helenbergh has kept the active land purchasing impetus, and further optimized land reserving structure.

As of the end of 2020, the land reserving area of Helenbergh has reached 31.57 million square meters, with in-depth layout in the Greater Bay Area, the Yangtze River Delta Region, the Jing-Jin-Ji Region, the Western China Region, and the Central China Economic Region, among which the land reserving area of Greater Bay Area accounted for more than 30%.

Helenbergh adhered to the strategy of national layout and deep regional developing. In the first half of this year, the company has obtained dozens of quality lands in many cities including Nanjing, Chengdu, Suzhou, Chongqing, Zhongshan, Foshan, Jinhua, and Guiyang.

CRIC statistics show that, in the first half of this year, Helenbergh’s newly acquired land reserve value has reached 38.6 billion yuan, ranking the 34th of the list of China’s top real estate enterprises in new value.

Based on its consolidated financial performance and excellent land reservation, Helenbergh has won recognition of many international rating agencies. Since 2020, the company obtained the rating of “B⁺” and “B2”from international authoritative credit rating agencies, such as Fitch Ratings and Moody’s Credit Rating, with the prospect of “stable”.

According to Fitch Ratings, Helenbergh’s land purchasing policies have been constantly enhancing with increasing cash flow, and the cash recovery of contract sales revenue has been improving, all of which will be the advantages of Helenbergh’s development.

Product Power Guides Healthy Residence

The sales expansion and growth rely on the unparalleled product competitiveness of Helenbergh formed in the market. Intelligent living and intelligent residence have become the important content and label of Helenbergh’s “Health⁺”residential system, winning wide recognition of consumers.

Recently, Helenbergh and Linglu Intelligent have reached agreement of strategic cooperation, and Linglu has obtained investment in tens of millions of yuan from Helenbergh. In the future, Linglu Intelligent will be implementing all-around cooperation in the development project of Helenbergh all over China, and will continuously deepen the network development of residential buildings, commerce, science and technology parks.

Currently, the concept of “houses returning to the essence”is popular among people. Helenbergh believed that healthy living community would be the developing trend of future residential patterns, from the perspectives of sustainable development and long-term living needs.

Helenbergh engaged in creating a harmonious living place where people can rest the body and heart with community life. In 2016, Helenbergh systematically proposed the concept of “Health⁺”and put into product practice in development project all over China.

In 2021, people’s house purchasing concept began to change in the special period. Helenbergh focused on many aspects including building materials, ecological planning, house design, community construction, and intelligent fresh air system, upgraded “Health⁺ 2.0”system, launched healthy residential upgrading system with “healthy and efficient space”, “healthy and friendly atmosphere”, “healthy and intelligent technology”, and “healthy promotion management”, so as to comprehensively improve living quality of community and meet people’s yearning and pursuit of healthy residence.

From “Health⁺”to “Health⁺ 2.0 upgraded version”, Helenbergh has always stayed true to its original inspiration in developing products from residents’ perspective and creating ideal living environment, so as to guard and improve living quality, and inherit the spirit of originality in refined products.

At the same time of continuously empowering healthy residence, Helenbergh also focused on customers’ need and preference, so as to upgrade the six classic series of products -- Golden Time Series, Helen International Series, Helen Spring Series, Love-ME Series, Helen Town Series, and Bay Series. Three brand new product lines of Xiyue Series, Jiuyue Series, and Heyue Series were formed, each with different residential positioning, bringing more imagination and better experience to the city, industry, and customers.

Coordinated Development of Multiple Business

Helenbergh enhanced development of residential property as the core business, and it also accelerated the coordinated development of other business sections including commercial property and innovative technology park, actively promoting the diversified development of new business areas such as urban renewal with commercial industrial investment,

In terms of development of commercial property, Helenbergh built the three commercial brands of Helen World, Helen City, and Helen Park in strategic view, involving one-stop shopping center, middle and high-end commercial complex and community shopping plaza, and providing better shopping experience to the city with professional operation management capability.

Currently, Helenbergh has more than 10 commercial projects distributed in many key cities including Shanghai, Guangzhou, Kunming, Chengdu, and Nanjing.

The innovative industrial parks are mainly located in cities of the Yangtze River Delta Region and the Greater Bay Area, such as Shanghai, Nanjing, Guangzhou, and Zhongshan. As the key creative industry base in Guangdong, Guangzhou Helenbergh innovative park adopts the compound modes of “innovative headquarters+eco-industrial park+industrial service platform”, creating a headquarters’ base for R&D, design and service consulting enterprises in the fields of emerging technology, information technology, biomedicine, and creative design.

On June 28, Helenbergh’s project of “Intelligent Jinshan and Ecological Green Valley”started, which was located in the core position of economic corridor of Shanghai Jinshan Avenue. It will be built into a highland of science and technology research to gather R&D talents and industrial innovation, a developing cluster of ecological industry chain to serve the entire life cycle of enterprises, and a technology service area with complete functions and diversified life experience.

With its robust sales growth, abundant cash collection, excellent land reservation, intelligent and healthy product power, and the coordinated development of multi businesses in commercial industry, Helenbergh has constructed a wide “moat”in current real estate market.