NewShanghai luxury home market comes back to life to tap super-rich families
Developers start to release premium projects aimed at super-rich buyers confident in the sector's prospects as buying spree gathers momentum
Shanghai's luxury home market has come back to life with developers queuing up to release premium projects to tap super-rich buyers who are showing faith in the market's prospects.
The sector had been hit by the anti-corruption campaign, which dealt a significant blow to the luxury market in general last year.
But the buying spree has gathered pace in recent months as cheaper loans and a stock market rally boosted the desire to upgrade homes.
Shui On Land and Greentown China Holdings are to release super-deluxe homes in the heart of Shanghai costing up to 200 million yuan each.
"With home purchase restrictions on buyers buying third homes still in place in Shanghai, cash-rich mainland customers prefer using the quota only for top-quality homes," said Allen Taylor, a general manager for high-end residential sales at Shui On Development, a subsidiary of Shui On Land.
The Lakeville phase four development at Xintiandi - Shanghai's bar and shopping district - comprises 301 apartments ranging in size from 160 to 800 sq metres. The development will be launched in the fourth quarter and is expected to be delivered in the first quarter of 2017.