Hong Kong, mainland property developers drawn to Greater Bay Area city Jiangmen by promise of cheap land, development potential
- City sold eight residential plots totalling 1.67 million square metres in June, its highest tally since 2018
- Every developer is optimistic about Jiangmen and competition will be keen, Shanghai-based developer says
Jiangmen, a city in Guangdong province that is also part of Beijing’s Greater Bay Area development zone, is attracting interest from mainland Chinese as well as Hong Kong-based property developers.
Several companies are looking at the city of 4.6 million people that is about two to three hours from Hong Kong by train or ferry, because of its low land prices and development potential. It sold eight residential land plots totalling 1.67 million square metres in June, its highest tally since 2018, according to PIC Research, the research arm of Beijing-based state-owned enterprise China Poly Group.
Why Jiangmen’s home prices could be restrained by its ‘minor’ Greater Bay Area status
“Every developer – mainland or Hong Kong based – is optimistic about it. Competition is bound to be keen,” she added.
The developer already has residential projects in the city, having started buying land in Jiangmen some years ago. Moreover, Hui Wing-mau, Shimao’s chairman, met the city’s top officials during a visit last week. “Where possible, the company will explore possibilities of working with the government, but we still need to discuss this,” the spokeswoman added.
“We have leveraged our position as a national corporation for a commercial partnership with a local national corporation in Jiangmen,” Lin Feng, Yuexiu’s deputy chairman, executive director and general manager, said on Monday. “They will provide land resources and we will leverage our ability in property development – using our strengths to boost the value of the project,” he added.
Yuexiu will work towards more partnerships with other companies in Jiangmen, Lin added without providing further details.
Family town of Lui Che-woo and Andy Lau is Greater Bay Area’s second poorest
The company also established Jiangmen Vanke Enterprise this year, according to mainland media.
Hong Kong-based K. Wah International Holdings also launched two residential projects – wholly-owned J City and joint-venture project Jiajun Garden – in Jiangmen in the first half of this year, according to its first-half results released last week.
