DURING the last decade, China's housing bubble has been a serious concern. The average house price in big cities like Shanghai and Beijing is now over 25,000 yuan (S$5,100) per square metre (by comparison, the resale price of HDB flats is around 15,000 yuan per square metre). Ten years ago, it was only around 5,000 yuan. In what was an unexpected but nationwide trend, there was a quick recovery of the...
China Property
AS soon as Jamie Dimon, CEO and chairman of JPMorgan Chase, sat next to me at Beijing's Grand Hyatt Hotel after delivering his keynote address at an investment conference, he popped an abrupt question to me: 'So, are you worried about the Chinese government's recent measures to manage the property bubble?' Somewhat to his surprise, I replied: 'I would be worried if the government doesn't do anything about...
CapitaLand's wholly-owned serviced residence business unit, The Ascott, has secured contracts to manage two more serviced residence properties in Xi'an and Shenzhen, China. This follows Ascott's recent expansion into Chengdu with the opening of Somerset Riverview, Chengdu in April. The latest additions - Somerset Gaoxin, Xi'an and Somerset Grandview, Shenzhen - are scheduled to open in 2012 and 2013...
Mainboard-listed Fu Yu Corporation's subsidiary has agreed to sell land-use rights and buildings in a Free Trade Zone in Shanghai. These comprise land-use rights - of an area of 33,280 square metres - which run from 1 March 1996 to 28 February 2046. The deal also includes a 3-storey production-cum-warehouse building with ancillary office of a gross floor area of 8,031 square metres. The total sale...
Most of the speculative and arbitrage capital from overseas that has entered China in recent months has ended up in the property and equity markets, an official at the country's foreign-exchange regulator said in rare comments as the agency usually plays down the effect of hot money inflows into China. An investigation that began in February has uncovered 190 cases of hot money inflows involving US$7.35...
Yanlord Land Group and Ho Bee Investment have acquired six prime residential development sites for 504.6 million yuan or S$102.9 million in Hebei's Tangshan Nanhu Eco-City in China. This works out to an average purchase price of 1,302 yuan or S$265.6 per square metres. The purchase was made through their new joint venture company Yanlord Ho Bee Investments. In a statement, Yanlord Ho Bee said the sites...
Mainboard-listed Yanlord Land Group is tying up with an affiliate of GIC Real Estate to develop and manage properties in China. Yanlord and Reco Yizhong have set up a subsidiary for this purpose with a registered capital of US$300 million ($416 million). The subsidiary, named Yanlord Real Estate (Chengdu), will manage the prime residential development site in Panchenggang, Jinjiang District, Chengdu. The...
China's property market is gearing up for change, after the State Council approved a gradual reform of the country's real estate tax system. Analysts are expecting the changes to include a new tax on residential property. The reform is part of efforts to cool the red hot property sector on the Chinese mainland. Property prices in China have been surging to record highs. Data showed that real estate...
China's residential property market could stabilise by the first quarter of next year, as more supply becomes available, according to financial services firm Nomura. It said office space could be the segment to watch in Asia Pacific this year because of low valuations and stable yields. The property bubble in China is raising some red flags in the country, but Nomura said the market is likely to cool in...
Mass market housing in China remains affordable, and is unlikely to face the bubble pressures in the high-end segments and top-tier cities. Speaking at an investor conference, CapitaLand CEO Liew Mun Leong added that opportunities in the retail property segment across the mainland continue to expand. The China property market is hot. And fears of an asset bubble on the mainland have sparked government...