Beijing's property market sees strong foreign capital inflow in 2003

Home>>Business

Last updated at: (Beijing Time) Saturday, February 07, 2004

Beijing's property market sees strong foreign capital inflow in 2003

DISCUSSION

CHINESE

SEND TO FRIEND

Beijing's real estate market saw a strong foreign capital inflow in 2003, with an even more aggressive flow eyed this year.

Foreign investors injected 2.89 billion yuan (about 348 million US dollars) during the Jan.-Nov. period of 2003, up 183.4 percent year-on-year, with a building space of five million square meters in some 20 projects, Friday's Beijing News reported.

An even more positive capital inflow is expected this year, the paper quoted industry insiders as saying, citing the looming 2008 Olympics and Beijing's increasingly mature property market as the main driving forces.

Many countries, including Singapore, the US, Japan, Canada, theUK and the Netherlands have seen their companies eagerly engaged in the constantly-opening Chinese market.

CapitaLand Limited of Singapore, the largest listed property company in southeast Asia, is running a residential project with two pieces of land it has just bought.

It announced last August that it would invest another five billion to ten billion yuan (about 603 million to 1.2 billion US dollars) in Beijing in the next few years, to tap the business opportunities brought about by the 2008 Olympics.

Other projects funded by Singaporean investors include a premier residential apartment block covering seven hectares by KeppeLand and a plaza located in Beijing's financial street by GuocoLand.

The world's top real estate developer, Hansen of the US, unveiled "Park Avenue," an apartment building facing the main gateof Chaoyang Park last August.

The LVC Group from Canada bought a 19-square-meter site last October to build a resort for holidaymakers near Miyun Reservoir in suburban Beijing, and is eyeing another two before the 2008 Olympics.

An apartment building on the second ring road that began selling apartments last April is operated by Japan's largest real estate developer, Nissho Iwai Corporation.

The Beijing municipal government courts multinationals with preferential policies and an increasingly mature market.

A Singaporean manager with KeppeLand said that he is very encouraged by Beijing's increasing transparency in the trade of land-use rights, and the city's more mature financial practices.

Chinese property managers have hailed the foreign capital inflow, believing that it ensures the full completion of the projects before they are put up for sale, and thus guarantees the quality of the projects.

"Foreign companies are always in partnership with reputable suppliers in the business chain, so I am confident about the quality of the projects," said Gao Xuezhong, a marketing manager with a Beijing-based property company.

Questions?Comments? Click here

China on alert for property market overheating

Property Market Remains Hot in Chinese Capital

China, Wi-Fi fight for WLAN standard ( 4 Messages)

US visa rules anger students ( 13 Messages)

Beijing to build two new Christian churches ( 4 Messages)

Australian PM appalled at attack on Chinese restaurants ( 8 Messages)

China concerned about Japan dispatching troops to Iraq: FM spokeswoman ( 3 Messages)