China unit of Hong Kong’s New World reports US$1.37 billion in home sales, among few bright spots in mainland property sector

Developer’s projects have ‘gained strong market recognition and achieved steady growth’, executive says

About 40 per cent of sales recorded by China unit NWCL in the first eight months of 2023 were recorded in July and August: New World

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The New Metropolis Mansion is among projects that New World Development has launched this year in Guangzhou, and it is being developed in collaboration with Guangzhou Metro. Photo: Handout

Published: 9:00pm, 4 Sep 2023

New World Development, the conglomerate owned by one of Hong Kong’s wealthiest families, sold more than 10 billion yuan (US$1.37 billion) worth of residential projects in mainland China in the first eight months of the year, the company said in a statement on Monday.

The total sales reported in this period catapulted New World China Land (NWCL), its China unit, into the ranks of the mainland’s top 100 developers, New World said citing three real estate think tanks.

The Greater Bay Area (GBA) and the Yangtze River Delta markets contributed 91 per cent of NWCL’s revenue in this period, a positive development for its Hong Kong-based parent, which has about 21 per cent of its total assets deployed in the GBA development zone.

“Benefiting from the group’s forward-looking strategy, high-quality developments and brand advantages, our projects have gained strong market recognition and achieved steady growth,” said Echo Huang, executive director of New World and CEO of NWCL. “With a sufficient supply of projects in the GBA and the Yangtze River Delta, the group is confident about maintaining sustained future growth.”

About 40 per cent of the sales made by NWCL in the first eight months of 2023 were recorded in July and August, and amounted to 4.1 billion yuan, a 138 per cent year-on-year increase, the company said.

The developer’s contracted sales for residential projects in July and August have been among just a handful of bright spots in China’s residential property market in recent weeks, with prices of new homes falling 0.2 per cent in July from June, according to official data.