https://www.scmp.com/rss/514479/feed Elise joined the SCMP in 2022 as a business reporter to cover property, banking and finance. Previously, she covered business, biotechnology, and healthcare from Hong Kong and Beijing for various publications, including BioWorld, Al Jazeera, China Daily, and The China Project, to make the country more accessible to international readers. en https://assets.i-scmp.com/static/img/icons/scmp-meta-1200x630.png https://www.scmp.com Grim figures for home sales in June in China show that the sector remains in crisis and will continue to weigh on the country’s economy as developers suffer amid a lack of buyer confidence. Sales in June fell 28.1 per cent among the 100 largest developers by sales, compared to the same month last year when Covid restrictions were widely in place, according to CRIC, one of China’s largest real estate brokers. Sales rose 8.5 per cent month on month – the lowest recorded growth in what is normally... https://www.scmp.com/business/china-business/article/3226478/china-home-sales-falter-amid-dented-buyer-confidence-raising-threat-more-developer-liquidity?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3226478/china-home-sales-falter-amid-dented-buyer-confidence-raising-threat-more-developer-liquidity?utm_source=rss_feed Tue, 04 Jul 2023 06:30:07 +0000 Wang Hua is already making plans for her daughter’s education in Beijing, after delivering her second baby earlier this year. To enrol in a prestigious public school in Haidian, she would need to own a property in the district as a prerequisite. Stressed by the impact of Covid-19 on job security and economic fallout, the teacher in her 30s is struggling with the decision, unsure of when she will start looking for one in the district, home to top primary and secondary schools and where Peking... https://www.scmp.com/business/china-business/article/3226177/whats-ailing-chinas-housing-market-teacher-clerk-and-tutor-show-why-next-home-sales-reports-will-be?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3226177/whats-ailing-chinas-housing-market-teacher-clerk-and-tutor-show-why-next-home-sales-reports-will-be?utm_source=rss_feed Mon, 03 Jul 2023 00:30:20 +0000 Chinese developers are making slow progress with their debt restructuring and the chances of them getting back on track are slim, Moody’s said in a report on Wednesday. China Evergrande Group and Cifi Holdings, for instance, are still in talks with offshore creditors about their debt restructuring plans, the rating agency said. Fantasia Holdings Group and Sunac China, meanwhile, have received support from bondholders for 76 per cent and 85 per cent of their offshore debt, respectively, but... https://www.scmp.com/business/article/3225769/moodys-says-chinas-defaulting-property-firms-are-making-slow-progress-debt-restructuring-will?utm_source=rss_feed https://www.scmp.com/business/article/3225769/moodys-says-chinas-defaulting-property-firms-are-making-slow-progress-debt-restructuring-will?utm_source=rss_feed Thu, 29 Jun 2023 00:30:15 +0000 Four listed builders in China have received approvals for their equity financing plans worth a combined 19.9 billion yuan (US$2.75 billion), indicating that Beijing’s “third arrow” of policy support for property developers is finally in the works seven months after it was introduced. Shanghai-listed Poly Development and Greattown, as well as Shenzhen-listed CCCG Real Estate and Hubei Fuxing Science and Technology have been approved by the China Securities Regulatory Commission (CSRC) to sell... https://www.scmp.com/business/china-business/article/3225702/chinas-funding-drought-developers-ending-first-trickle-capital-arrives-4-stock-placement-deals?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3225702/chinas-funding-drought-developers-ending-first-trickle-capital-arrives-4-stock-placement-deals?utm_source=rss_feed Wed, 28 Jun 2023 07:10:16 +0000 The “current malaise” afflicting home sales in major mainland Chinese cities will require more stimulus from Beijing before a bounce back in the market, analysts said. Home sales by gross floor area rose 18.5 per cent in June compared to the previous month, but were 44.2 per cent lower than a year ago, in 13 cities tracked by China Index Academy (CIA), one of the country’s largest independent real estate researchers, for a report published on Monday. In China’s tier-one cities, where demand is... https://www.scmp.com/business/china-business/article/3225434/china-home-sales-require-more-easing-escape-current-malaise-analysts-say-report-finds-prices-rose?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3225434/china-home-sales-require-more-easing-escape-current-malaise-analysts-say-report-finds-prices-rose?utm_source=rss_feed Mon, 26 Jun 2023 23:30:18 +0000 A strong comeback for China’s property sector remains unlikely in the near term despite Chinese developers turning to the offshore market last month to raise more than US$300 million, according to analysts. In May, Seazen Holdings raised US$100 million by selling one-year bonds to foreign investors through its offshore unit, Lvgem Group raised US$20 million by selling two-year convertible notes and Yuexiu Property revealed plans to sell US$196 million in bonds due in 2026. These moves followed... https://www.scmp.com/business/china-business/article/3224340/does-chinese-developers-turning-offshore-bonds-financing-signal-recovery-battered-property-sector?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3224340/does-chinese-developers-turning-offshore-bonds-financing-signal-recovery-battered-property-sector?utm_source=rss_feed Sun, 18 Jun 2023 22:00:12 +0000 Recovery in China’s property sector continued to lose steam as almost all metrics showed a decline in May, which some analysts blamed on weak confidence, population movements and potential oversupply problems. New-home prices in Beijing, Shanghai and other tier-one cities rose 0.1 per cent month on month in May, slowing from a 0.4 per cent month-on-month gain in April, according to data released by the National Bureau of Statistics (NBS) on Thursday. Prices for new homes in tier-two cities rose... https://www.scmp.com/business/china-business/article/3224181/chinas-property-sector-recovery-loses-steam-after-home-prices-face-strong-headwinds-investments?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3224181/chinas-property-sector-recovery-loses-steam-after-home-prices-face-strong-headwinds-investments?utm_source=rss_feed Thu, 15 Jun 2023 09:00:23 +0000 Dubai overtook Hong Kong as the world’s top market for ultra-luxury homes in the first quarter as wealthy individuals flock to the Gulf’s financial hub, according to a report from Knight Frank on Wednesday. The United Arab Emirates’ largest city recorded 88 transactions totalling US$1.66 billion for homes worth more than US$10 million in the first three months of the year. Hong Kong followed in second place with 67 deals worth US$988 million, followed by New York on 58 transactions totalling... https://www.scmp.com/business/article/3224077/dubai-pips-hong-kong-worlds-top-city-super-luxury-homes-over-us10-million-knight-frank?utm_source=rss_feed https://www.scmp.com/business/article/3224077/dubai-pips-hong-kong-worlds-top-city-super-luxury-homes-over-us10-million-knight-frank?utm_source=rss_feed Thu, 15 Jun 2023 00:30:17 +0000 Southeast Asia’s commercial property markets are becoming more popular with mainland Chinese investors as political rifts and higher interest rates dampen the appeal of traditional favourites such as Australia and the US, according to a report by Juwai IQI. Indonesia is now the main offshore destination of choice for Chinese investment in the sector, with Malaysia in third place and Thailand in fifth, according to the property technology company’s rankings based on enquiries from interested... https://www.scmp.com/business/article/3223962/mainland-chinese-investors-look-southeast-asia-commercial-property-political-tensions-interest-rates?utm_source=rss_feed https://www.scmp.com/business/article/3223962/mainland-chinese-investors-look-southeast-asia-commercial-property-political-tensions-interest-rates?utm_source=rss_feed Tue, 13 Jun 2023 23:30:17 +0000 Landlords in Hong Kong are enjoying the benefits of an economic reopening and demand from mainland Chinese students as rentals in the private housing market climbed for a fourth straight month to the highest level in 15 months. Rents increased 1.4 per cent in May to 112.78 from a month earlier, according to the Centa-City Rental Index compiled by Centaline Property, which tracks 138 housing estates across the city. The rise was the most since a 1.94 per cent jump recorded in August... https://www.scmp.com/property/hong-kong-china/article/3223831/hong-kong-property-landlords-enjoy-market-rebound-students-return-city-rents-climbing-15-month-high?utm_source=rss_feed https://www.scmp.com/property/hong-kong-china/article/3223831/hong-kong-property-landlords-enjoy-market-rebound-students-return-city-rents-climbing-15-month-high?utm_source=rss_feed Tue, 13 Jun 2023 00:00:29 +0000 Dalian Wanda Group, China’s largest commercial property developer, said Thursday it is fighting a legal battle over the freezing of 1.9 billion yuan (US$270 million) worth of shares it owns in a subsidiary amid a bumpy path to an initial public offering (IPO) in Hong Kong. On Monday, a Shanghai court ordered 1.98 billion yuan worth of shares in the group’s property-management arm Dalian Wanda Commercial Management Group frozen until June 4, 2026. The court did not provide reasons. The group is... https://www.scmp.com/business/china-business/article/3223512/dalian-wanda-vows-legal-battle-chinese-court-freezes-us270-million-worth-shares-amid-stalled-hong?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3223512/dalian-wanda-vows-legal-battle-chinese-court-freezes-us270-million-worth-shares-amid-stalled-hong?utm_source=rss_feed Fri, 09 Jun 2023 06:30:16 +0000 Beijing is expected to roll out a stimulus package for the property sector, after home prices and investment began decelerating this quarter. Such a package is likely to include measures that will help developers improve their liquidity to restore market confidence while boosting demand, especially in China’s core cities, analysts said. “Regulators will be more serious about rescuing the sector,” said Raymond Cheng, managing director of CGS-CIMB Securities. Lowering down payments from 30 per... https://www.scmp.com/business/china-business/article/3223468/china-property-new-round-stimulus-horizon-analysts-differ-extent-beijings-speculated-rescue-package?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3223468/china-property-new-round-stimulus-horizon-analysts-differ-extent-beijings-speculated-rescue-package?utm_source=rss_feed Fri, 09 Jun 2023 02:04:22 +0000 Citibank CEO Jane Fraser has followed in the footsteps of Tesla’s Elon Musk and other CEOs from the West by making a beeline to China. Fraser met Li Yunze, director of the National Administration of Financial Regulation (NAFR), on Monday, according to a statement by China’s new financial regulator on Wednesday. She expressed “full confidence in China’s economic and financial development” and pledged to expand business in the country, the statement added. The Chinese regulator also added that the... https://www.scmp.com/business/china-business/article/3223307/citi-ceo-jane-fraser-joins-likes-elon-musk-jamie-dimon-visiting-china-after-its-reopening?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3223307/citi-ceo-jane-fraser-joins-likes-elon-musk-jamie-dimon-visiting-china-after-its-reopening?utm_source=rss_feed Wed, 07 Jun 2023 13:50:58 +0000 China Evergrande Group’s property service arm said its parent’s liquidity crisis did not have a significant impact on its revenues and it continues to chase funds that were used as pledge for loans to the debt-stricken developer and seized by creditors. Evergrande Property Service Group reported operating revenue of 11.8 billion yuan (US$1.7 billion), gross profit of 2.7 billion yuan, and net profit of 1.48 billion yuan for 2022, according to filings on Monday evening that revealed its much... https://www.scmp.com/business/china-business/article/3223110/evergrandes-property-service-unit-unruffled-parents-liquidity-crisis-talks-refund-guarantee?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3223110/evergrandes-property-service-unit-unruffled-parents-liquidity-crisis-talks-refund-guarantee?utm_source=rss_feed Tue, 06 Jun 2023 07:36:10 +0000 Japan, Canada or Dubai? Hong Kong marketing executive Simon Cheng had been carefully weighing his options on where to buy real estate. In Japan, he was worried about the tax, the location and the local economy. Between Canada and Dubai, he found the glitzy financial hub of the United Arab Emirates the more attractive of the two. “Rental yield in Hong Kong is around 2 per cent, versus 6 or 7 per cent I expect in Dubai,” he said. “It’s a better long-term investment. I’m not worried about being... https://www.scmp.com/business/article/3222784/dubais-booming-housing-market-attracts-asias-rich-clear-demand-supply-imbalance-push-prices-further?utm_source=rss_feed https://www.scmp.com/business/article/3222784/dubais-booming-housing-market-attracts-asias-rich-clear-demand-supply-imbalance-push-prices-further?utm_source=rss_feed Sun, 04 Jun 2023 02:00:16 +0000 A real estate industry body in Fuzhou, in China’s southeastern Fujian province, retracted the same day a suggestion that home sellers share half of commission costs, citing its “inaccurate grasp” of a policy Beijing introduced last month with the aim of lowering homebuying expenses. On Thursday evening, the Fuzhou Real Estate Intermediary Industry Association said it will retract a document issued hours earlier that implemented a one-month pilot programme requiring both home sellers and buyers... https://www.scmp.com/business/china-business/article/3222705/fuzhou-real-estate-body-cancels-commission-sharing-plan-home-purchases-apologises-inaccurate-grasp?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3222705/fuzhou-real-estate-body-cancels-commission-sharing-plan-home-purchases-apologises-inaccurate-grasp?utm_source=rss_feed Fri, 02 Jun 2023 06:00:11 +0000 Two years ago, Sichuan Languang Development was recognised as one of the 10 best Chinese developers on the A-share market in terms of investment value. Next Tuesday, the Sichuan developer will be delisted in Shanghai with a share price close to zero. The company’s shares closed below 1 yuan (US$0.14) for 20 consecutive trading days starting on April 6, triggering the delisting threshold set by the Chinese stock exchange, which then decides within 15 days whether to delist the stock. On June 6,... https://www.scmp.com/business/china-business/article/3222538/chinese-developer-languang-forced-delist-shanghai-peers-follow-property-market-crisis-reverberates?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3222538/chinese-developer-languang-forced-delist-shanghai-peers-follow-property-market-crisis-reverberates?utm_source=rss_feed Thu, 01 Jun 2023 03:11:53 +0000 China Evergrande Group said on Monday evening that its overdue debt, unpaid bills, and payments involved in lawsuits have piled up to nearly 900 billion yuan (US$127 billion), revealing the depth of the debt and legal woes the mainland Chinese developer faces amid its restructuring struggle. The embattled developer said its overdue debts, excluding onshore and offshore bonds, amounted to around 272.5 billion yuan as of April, according to a Shenzhen Stock Exchange filing concerning its major... https://www.scmp.com/business/china-business/article/3222263/evergrande-details-us127-billion-pile-liabilities-chinese-developers-debt-unpaid-bills-and-lawsuits?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3222263/evergrande-details-us127-billion-pile-liabilities-chinese-developers-debt-unpaid-bills-and-lawsuits?utm_source=rss_feed Tue, 30 May 2023 03:27:27 +0000 Asia-Pacific consumer products companies that expanded overseas such as China’s Haier and Japan’s Asahi saw revenue growth of up to 1,250 per cent, way higher than those with a domestic focus, according to Bain & Co. Tracing mergers and acquisitions (M&As) between 2012 and 2021, the consultancy firm said such companies increased their overseas revenue contribution by 27 per cent on average, eight percentage points higher than those without acquisitions. “Cross-border M&A was the fastest way for... https://www.scmp.com/business/companies/article/3222148/how-chinas-haier-and-japans-asahi-used-overseas-mas-supercharge-revenue-growth-bain-study?utm_source=rss_feed https://www.scmp.com/business/companies/article/3222148/how-chinas-haier-and-japans-asahi-used-overseas-mas-supercharge-revenue-growth-bain-study?utm_source=rss_feed Mon, 29 May 2023 04:50:34 +0000 Dong Xue, a 40-year-old Beijing native, is looking for property outside the Chinese mainland. But even after the country’s borders reopened, allowing wealthy Chinese nationals to return to their old haunts for property purchases, a once-favoured destination is not a part of her plans. “Hong Kong’s future is not clear,” Dong says. She owns property in Bangkok and is eyeing Japan – where she said her daughter is going for a business degree – for her next purchase. Recent data and trends, as well... https://www.scmp.com/business/article/3221993/are-mainland-chinese-buyers-still-mood-loving-hong-kong-homes?utm_source=rss_feed https://www.scmp.com/business/article/3221993/are-mainland-chinese-buyers-still-mood-loving-hong-kong-homes?utm_source=rss_feed Sun, 28 May 2023 01:30:17 +0000 Fitch Ratings revised its outlook for Hong Kong’s banking sector from “neutral” to “improving” to reflect banks’ stronger earnings prospects in the second half of this year. Analysts at the ratings agency said the ongoing economic recovery in Hong Kong and mainland China after the border reopening will support the banks’ business volumes, especially in the latter half of the year. “We expect solid net interest income, improving fee income, and moderating credit costs to drive double-digit profit... https://www.scmp.com/business/banking-finance/article/3221763/fitch-lifts-hong-kong-banking-sectors-outlook-improving-neutral-citing-strengthening-economic?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3221763/fitch-lifts-hong-kong-banking-sectors-outlook-improving-neutral-citing-strengthening-economic?utm_source=rss_feed Thu, 25 May 2023 06:15:10 +0000 The credit profiles of some of China’s state-owned enterprises (SOEs) could improve as they invest more in advanced, high-end manufacturing as part of a push by Beijing to upgrade production capabilities, according to credit rating agencies. The central government has urged SOEs to shift their investment focus from infrastructure construction to hi-tech manufacturing in areas such as robotics, pharmaceuticals, mining and clean energy. Because of this, Fitch expects to see an increase in their... https://www.scmp.com/business/china-business/article/3221639/chinas-state-owned-firms-could-get-better-credit-ratings-valuations-beijing-pushes-manufacturing?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3221639/chinas-state-owned-firms-could-get-better-credit-ratings-valuations-beijing-pushes-manufacturing?utm_source=rss_feed Wed, 24 May 2023 05:35:16 +0000 Makers of new energy vehicles (NEVs) will make further inroads in China, with an annual growth rate in excess of 30 per cent this year, but they will have to think beyond price as the ongoing discount war is “unsustainable in the long-term”, according to Fitch analysts. Lower battery costs could push down NEV prices in China in the second half of the year, accelerating the replacement of traditional internal combustion engine vehicles, they added. “The market penetration rate of NEVs in China is... https://www.scmp.com/business/china-business/article/3221059/chinese-nev-makers-need-offer-better-value-proposition-buyers-price-war-unsustainable-long-term-says?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3221059/chinese-nev-makers-need-offer-better-value-proposition-buyers-price-war-unsustainable-long-term-says?utm_source=rss_feed Thu, 18 May 2023 23:30:14 +0000 A first-quarter rally in Hong Kong’s home market turned out to be remarkably “short-lived”, as sales have now slumped and sellers are slashing prices to get deals done amid a “downward trend” that will last through the year, according to property agents and analysts. Since the last week of March, the city’s property market has recorded fewer than 80 transactions per week, and in one case only 35, according to Midland Realty data. The downturn follows a 7 per cent increase in home prices in the... https://www.scmp.com/business/article/3220942/hong-kong-home-prices-likely-back-downtrend-slump-resumes-after-short-lived-first-quarter-recovery?utm_source=rss_feed https://www.scmp.com/business/article/3220942/hong-kong-home-prices-likely-back-downtrend-slump-resumes-after-short-lived-first-quarter-recovery?utm_source=rss_feed Thu, 18 May 2023 02:00:36 +0000 Hong Kong and mainland China witnessed a decline in their populations of ultra-high-net-worth individuals (UHNWIs) last year, while Singapore was among the top 10 countries experiencing their fastest growth, according to a wealth report released by property consultancy Knight Frank on Tuesday. The number of UHNWIs in Hong Kong decreased last year by 6 per cent to 5,686, but Knight Frank predicts that this number will rebound to 7,280 by 2027. Similarly, mainland China had 88,024 UHNWIs in 2022,... https://www.scmp.com/business/money/wealth/article/3220917/hong-kong-and-chinas-ultra-high-net-worth-population-fell-last-year-amid-global-dip-singapore?utm_source=rss_feed https://www.scmp.com/business/money/wealth/article/3220917/hong-kong-and-chinas-ultra-high-net-worth-population-fell-last-year-amid-global-dip-singapore?utm_source=rss_feed Wed, 17 May 2023 13:25:09 +0000 Chinese developers continued to sell more homes in the first four months of 2023, replenishing their war chests, but remained cautious about investing in the bruised property sector. Property sales grew 8.8 per cent to 3.98 trillion yuan (US$570.7 billion) in the first four months after rising by 4.1 per cent in the first quarter of the year, government data released on Tuesday shows. Home sales were particularly strong, rising 11.8 per cent up until April after gaining 7.1 per cent in the first... https://www.scmp.com/business/china-business/article/3220754/chinas-developers-keep-their-investment-powder-dry-even-home-sales-improved-first-four-months-2023?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3220754/chinas-developers-keep-their-investment-powder-dry-even-home-sales-improved-first-four-months-2023?utm_source=rss_feed Tue, 16 May 2023 23:00:16 +0000 Futu Holdings and UP Fintech Holding said they will take down their trading apps in China this week, after the country’s securities regulator in December ordered both firms to stop giving new onshore traders access to global equities, in breach of the nation’s capital controls. UP Fintech Holding’s app Tiger International and Futu Holdings’ app Futubull will be removed from app stores in China on Thursday and Friday respectively, according to separate statements on Tuesday. Both firms cited... https://www.scmp.com/business/banking-finance/article/3220778/futu-and-fintech-take-down-trading-apps-china-fully-comply-csrc-requirements-access-offshore?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3220778/futu-and-fintech-take-down-trading-apps-china-fully-comply-csrc-requirements-access-offshore?utm_source=rss_feed Tue, 16 May 2023 12:19:47 +0000 Squeezed by high funding costs and pressure from Beijing to alleviate corporate borrowers’ financial burden by issuing cheap loans, major banks in China are cutting their deposit rates to preserve margins. Since the pandemic struck, China’s benchmark one-year loan prime rate (LPR) has been cut by 50 basis points to 3.65 per cent but the one-year certificate of deposit rates has remained steady at 2.26 per cent. Still, credit demand has decelerated. Chinese banks extended 718.8 billion yuan... https://www.scmp.com/business/banking-finance/article/3220552/chinese-banks-seek-nurse-bruised-interest-margins-deposit-rate-cuts-slowing-economy-bloats-savings?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3220552/chinese-banks-seek-nurse-bruised-interest-margins-deposit-rate-cuts-slowing-economy-bloats-savings?utm_source=rss_feed Mon, 15 May 2023 03:05:56 +0000 When a mystery teenager posted a video of himself playing basketball at his home earlier this year, intrigued internet users were quick to notice he lived in Wanliu House, an ultra-luxury residence in downtown Beijing behind high walls that only a few had previously glimpsed. The anonymous clip quickly became an internet sensation – not because of the basketball skills on display, but rather the setting. The exclusive development was already known to some in Beijing after a foreclosed unit on... https://www.scmp.com/business/china-business/article/3220468/china-property-us677-million-bad-debt-sale-comes-75-ultra-luxury-homes-beijing-good-deal-or-not?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3220468/china-property-us677-million-bad-debt-sale-comes-75-ultra-luxury-homes-beijing-good-deal-or-not?utm_source=rss_feed Sun, 14 May 2023 04:30:07 +0000 Chinese regulators have tightened their grip on real estate agents and their service fees. To regulate pricing in the real estate services industry, China’s housing authorities and market regulators said in a notice on Monday that real estate agents should lower their commission fees “reasonably” based on the principle of “the higher the transaction amount, the lower the commission rate” and guide both sellers and buyers to share the fees. Agents will also need to make their fees transparent for... https://www.scmp.com/business/china-business/article/3220218/china-steps-regulation-real-estate-agents-lived-homes-market-shows-signs-recovery?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3220218/china-steps-regulation-real-estate-agents-lived-homes-market-shows-signs-recovery?utm_source=rss_feed Thu, 11 May 2023 22:30:11 +0000 Regulators in China’s southeastern Jiangsu province chided two developers for their “bad behaviour” after they offered discounts on new homes in excess of 25 per cent, fearing it could cause “social instability”. Housing authorities in Kunshan, a county-level city, said that Kunshan Jiabao Wangshang Properties and Kunshan Changtai Properties had “slashed prices significantly and arbitrarily that could disturb the normal order of the real estate market and cause social instability”. Both... https://www.scmp.com/business/china-business/article/3219911/chinese-regulators-scold-developers-bad-behaviour-fearing-massive-price-cuts-could-lead-social?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3219911/chinese-regulators-scold-developers-bad-behaviour-fearing-massive-price-cuts-could-lead-social?utm_source=rss_feed Tue, 09 May 2023 07:39:01 +0000 China’s theme park industry will resume strong growth and sustain recovery momentum this year thanks to a post-Covid tourism boom, analysts at Fitch Ratings said. During the five-day May Day holiday last week, long queues and crowds were seen at the country’s theme parks, a sign they have become “early beneficiaries” of a tourism recovery after Beijing abandoned its tough pandemic restrictions. Tickets for both Shanghai Disneyland and Universal Studios Beijing almost sold out ahead of the... https://www.scmp.com/business/china-business/article/3219815/chinas-theme-parks-are-bouncing-back-pre-pandemic-growth-pent-travel-demand-sparks-tourism-boom-says?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3219815/chinas-theme-parks-are-bouncing-back-pre-pandemic-growth-pent-travel-demand-sparks-tourism-boom-says?utm_source=rss_feed Mon, 08 May 2023 10:34:21 +0000 Chinese tycoon Chen Hongtian is in discussions with lenders to retrieve assets worth HK$10 billion (US$1.27 billion) after a “short-term liquidity issue” forced him to miss mortgage payments. There are plans to inject fresh funds to resolve the “mild default” issue related to three properties, including a HK$2.1 billion house on The Peak, said the chairman of Cheung Kei Group, which owns offices, hotels and finance firms in Hong Kong. “We’re in talks with the banks about repayment arrangements... https://www.scmp.com/business/china-business/article/3219492/chinese-tycoon-chen-hongtian-talks-banks-resolve-mild-mortgage-defaults-hong-kong-property-worth?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3219492/chinese-tycoon-chen-hongtian-talks-banks-resolve-mild-mortgage-defaults-hong-kong-property-worth?utm_source=rss_feed Fri, 05 May 2023 09:45:08 +0000 Hotels in China have hit the jackpot during the Labour Day holiday with a huge surge in post-pandemic demand allowing them to raise their room prices more than tenfold in some cases. Such is the wave of pent-up demand that some hotels have had to hire part-time workers to meet the needs of vast numbers of tourists after three years of travel curbs to fend off the Covid-19 pandemic. “Soaring hotel room prices had been expected by tourists, but the hefty price increase still turned out to be a... https://www.scmp.com/business/china-business/article/3219054/chinas-hotels-get-labour-day-holiday-windfall-raising-room-rates-tenfold-cash-post-covid-travel?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3219054/chinas-hotels-get-labour-day-holiday-windfall-raising-room-rates-tenfold-cash-post-covid-travel?utm_source=rss_feed Tue, 02 May 2023 02:00:32 +0000 When a Chinese woman flaunted her banker husband’s 80,000 yuan (US$11,562) a month salary on social media last year, she quickly drew the ire of common folk and the attention of regulators towards financial elites like her spouse. The young CICC banker and his colleagues soon paid a heavy price for the folly, taking a pay cut of almost 50 per cent. This quickly spread across the sector, with employees taking pay cuts of some 20 per cent to 30 per cent last year, according to data compiled by the... https://www.scmp.com/business/china-business/article/3218750/chinas-crackdown-high-flying-finance-executives-sends-jitters-across-brokerage-industry?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3218750/chinas-crackdown-high-flying-finance-executives-sends-jitters-across-brokerage-industry?utm_source=rss_feed Mon, 01 May 2023 00:00:13 +0000 Businesses in China’s capital of Beijing, from restaurants and event planners to luxury hotels and village cottages, offered flash deals and special events this week to tap an anticipated tourism boom during the first long break since the Lunar New Year. Scores of tourists across the country are arriving in the capital during the five-day May Day holiday, known as the “golden week”. Local authorities estimated that the number of trips this week will surpass that during the Lunar New Year, with... https://www.scmp.com/business/china-business/article/3218740/beijing-businesses-tout-may-day-holiday-deals-and-events-tap-golden-week-tourism-boom-make-covid-19?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3218740/beijing-businesses-tout-may-day-holiday-deals-and-events-tap-golden-week-tourism-boom-make-covid-19?utm_source=rss_feed Sun, 30 Apr 2023 08:00:10 +0000 Debt-laden property developer China Evergrande Group said more creditors have given support to its US$19 billion offshore debt restructuring plan that it proposed last month, according to a filing on Thursday evening. Among the four groups of creditors, Evergrande’s plan has so far got the approval from those holding more than 77 per cent of the class A debt, over 30 per cent of the Class C debt, over 91 per cent of the Scenery Journey notes, and over 64 per cent of Tianji Holding debt... https://www.scmp.com/business/china-business/article/3218715/evergrande-debt-restructuring-progresses-more-creditors-get-board-credit-risk-concerns-remain?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3218715/evergrande-debt-restructuring-progresses-more-creditors-get-board-credit-risk-concerns-remain?utm_source=rss_feed Fri, 28 Apr 2023 07:20:09 +0000 Yuexiu Property, a state-controlled developer, sold all the 468 units on offer in a new, under construction residential project in Beijing, indicating strong underlying appetite for flats in top-tier cities despite concerns about a new property tax. Buyers for the units in the Zhuxinzhuang area, located in Beijing’s northern Changping district, were selected in three hours via a lottery on Wednesday evening. The neighbourhood is home to tech companies such as Xiaomi and Roborock and market... https://www.scmp.com/business/article/3218567/yuexius-beijing-residential-project-sold-out-hours-buyers-look-past-potential-property-tax?utm_source=rss_feed https://www.scmp.com/business/article/3218567/yuexius-beijing-residential-project-sold-out-hours-buyers-look-past-potential-property-tax?utm_source=rss_feed Thu, 27 Apr 2023 08:09:14 +0000 Zibo in Shandong province has become the latest mainland Chinese city to put a cap on hotel room rates ahead of the upcoming May Day holiday, also known as “golden week”. Local authorities in the eastern city have stepped in to rein in prices during the five-day national holiday that starts on April 29, allowing a maximum 50 per cent increase. The little known eastern city suddenly emerged as a popular destination this year after being dubbed the “outdoor barbecue capital”, sparking an online... https://www.scmp.com/business/china-business/article/3218510/chinas-outdoor-barbecue-capital-zibo-joins-cities-capping-hotel-room-rates-ahead-may-day-holiday?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3218510/chinas-outdoor-barbecue-capital-zibo-joins-cities-capping-hotel-room-rates-ahead-may-day-holiday?utm_source=rss_feed Thu, 27 Apr 2023 02:05:43 +0000 Embattled China Evergrande Group will take over residential and property projects of its new energy vehicle (NEV) unit for an initial consideration of just 2 yuan (US$0.29) as it seeks to make the carmaker attractive to offshore creditors days before a deadline to accept a restructuring of its US$19 billion offshore debt. The group’s carmaking arm, China Evergrande New Energy Vehicle Group (Evergrande NEV), will sell 47 of its health and living projects to Evergrande to “focus on the NEV segment... https://www.scmp.com/business/china-business/article/3218255/evergrande-buy-property-projects-its-ev-unit-sweeten-us19-billion-debt-restructuring-plan?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3218255/evergrande-buy-property-projects-its-ev-unit-sweeten-us19-billion-debt-restructuring-plan?utm_source=rss_feed Tue, 25 Apr 2023 04:56:33 +0000 Hong Kong’s office vacancy rate declined for the first time in 10 months in March, and signs for the rest of the year are encouraging amid an uptick in business activity following the border reopening with mainland China, market observers said. The overall vacancy rate for grade A offices fell 0.2 percentage points month on month in March to 12 per cent – the first decline since May 2022, according to data from JLL on Monday. The office market recorded a net absorption of 203,900 sq ft in March,... https://www.scmp.com/business/china-business/article/3218174/hong-kongs-office-market-outlook-improves-after-vacancy-rate-fell-first-time-10-months-march?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3218174/hong-kongs-office-market-outlook-improves-after-vacancy-rate-fell-first-time-10-months-march?utm_source=rss_feed Tue, 25 Apr 2023 00:30:14 +0000 Insurers including AIA and Ping An Life Insurance are investing billions of dollars in mainland China properties, which are expected to remain an attractive asset class for insurers despite the property-market downturn, analysts said. Physical property can be a good match for life insurers in particular, which have been expanding their healthcare and retirement businesses, Moody’s analysts said in a note on April 12. “Property investments offer life insurers long durations and generally adequate... https://www.scmp.com/business/china-business/article/3217836/aia-ping-pour-billions-chinese-commercial-property-insurers-seek-long-term-stable-yields?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3217836/aia-ping-pour-billions-chinese-commercial-property-insurers-seek-long-term-stable-yields?utm_source=rss_feed Mon, 24 Apr 2023 02:00:18 +0000 International luxury brands such as Coach and Gucci are reaping a windfall as investments they made in digital strategy during the pandemic pay off now by boosting sales and winning younger consumers in China’s growing e-commerce market. China’s online retail sales grew 8.6 per cent to 3.29 trillion yuan (US$477 billion) in the first quarter this year, data from the Ministry of Commerce showed on Friday. In 2022, online transactions among international luxury brands in China rose 31 per cent... https://www.scmp.com/business/companies/article/3218036/luxury-brands-coach-gucci-reap-windfall-china-pandemic-investments-digital-sales-and-marketing?utm_source=rss_feed https://www.scmp.com/business/companies/article/3218036/luxury-brands-coach-gucci-reap-windfall-china-pandemic-investments-digital-sales-and-marketing?utm_source=rss_feed Sun, 23 Apr 2023 05:34:04 +0000 China’s largest city, Shanghai, concluded its first land auction this year with the sale of all 19 plots on offer for 51.9 billion yuan (US$7.5 billion), up seven per cent from their estimated value, signalling keen interest from major developers and suggesting a strong step towards recovery for the country’s property market. The four-day land sale, which ended late on Friday, saw more than 50 property developers engaged in intense bidding that resulted in 15 plots selling higher than their... https://www.scmp.com/business/china-business/article/3217981/chinese-developers-shell-out-us75-billion-19-lots-offer-shanghais-first-land-auction-2023-pointing?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3217981/chinese-developers-shell-out-us75-billion-19-lots-offer-shanghais-first-land-auction-2023-pointing?utm_source=rss_feed Sat, 22 Apr 2023 08:09:53 +0000 Debt-laden Chinese developer Sunac said creditors representing 75 per cent of its US$9.1 billion offshore debt have agreed to restructuring terms. The creditors have until May 4 to finalise their support for the restructuring plan, Sunac said in a brief filing to the Hong Kong stock exchange on Thursday evening. It marks a step forward for the embattled developer, which said on March 28 that it had reached an agreement with offshore creditors representing over 30 per cent of its outstanding... https://www.scmp.com/business/china-business/article/3217821/embattled-chinese-developer-sunac-gets-more-creditors-board-us9-billion-offshore-debt-restructuring?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3217821/embattled-chinese-developer-sunac-gets-more-creditors-board-us9-billion-offshore-debt-restructuring?utm_source=rss_feed Fri, 21 Apr 2023 03:22:41 +0000 Yuexiu Property is looking to raise HK$8.36 billion (US$1.07 billion) in capital by way of a rights issue to expand in the Greater Bay Area and eastern cities, according to an exchange filing on Thursday in Hong Kong. The Guangzhou government-backed developer plans to use the proceeds on “further investment in core cities in the Greater Bay Area, the eastern China region and other key provincial-capital cities, and for working capital as well,” it said in the filing. Eligible shareholders can... https://www.scmp.com/business/article/3217691/chinese-developer-yuexiu-seeks-raise-about-us1-billion-rights-issue-expand-greater-bay-area-key?utm_source=rss_feed https://www.scmp.com/business/article/3217691/chinese-developer-yuexiu-seeks-raise-about-us1-billion-rights-issue-expand-greater-bay-area-key?utm_source=rss_feed Thu, 20 Apr 2023 06:30:21 +0000 Investment in property development in China declined in the first quarter of 2023, extending a year-long slump as developers backed off on new-home construction despite a jump in sales, indicating that recovery for the vast and economically crucial market remains fitful. Property development investment dropped 5.8 per cent year on year to 2.6 trillion yuan (US$377.8 billion) in the first quarter, slightly worse than a 5.7 per cent loss recorded during the first two months, according to data... https://www.scmp.com/business/article/3217417/chinas-property-market-recovery-uncertain-investment-remains-weak-despite-surge-first-quarter-home?utm_source=rss_feed https://www.scmp.com/business/article/3217417/chinas-property-market-recovery-uncertain-investment-remains-weak-despite-surge-first-quarter-home?utm_source=rss_feed Tue, 18 Apr 2023 06:00:17 +0000 The CEOs of luxury brands have been making a beeline for mainland China, one of their most important markets, after the country ended its strict zero-Covid policy and reopened borders earlier this year. Todd Kahn, the CEO of Coach, for instance, landed in Shanghai early on Monday for a week of meetings with the luxury fashion house’s Chinese partners as well as officials. His visit comes after similar trips by François-Henri Pinault, CEO and chairman of fashion house Kering, John Idol of Capri... https://www.scmp.com/business/china-business/article/3217314/coach-ceo-todd-kahn-latest-global-luxury-chief-visit-growth-engine-china-post-covid-19?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3217314/coach-ceo-todd-kahn-latest-global-luxury-chief-visit-growth-engine-china-post-covid-19?utm_source=rss_feed Mon, 17 Apr 2023 08:30:08 +0000 Shares of Sunac China Holdings plunged in Hong Kong on Thursday as trading resumed following a 12-month suspension, as the embattled mainland Chinese developer undergoes a US$9.1 billion debt restructuring. The company published its annual results for 2021 and 2022 to meet the Hong Kong stock exchange’s requirements for trading to resume, according to Sunac’s filing on Wednesday evening. The stock plunged as much as 59 per cent before closing at HK$2.04 on Thursday after trading resumed... https://www.scmp.com/business/article/3216886/chinese-developer-sunacs-shares-sink-hong-kong-after-12-month-suspension-lifted?utm_source=rss_feed https://www.scmp.com/business/article/3216886/chinese-developer-sunacs-shares-sink-hong-kong-after-12-month-suspension-lifted?utm_source=rss_feed Thu, 13 Apr 2023 04:16:10 +0000 Housing authorities in Beijing have proposed a pilot programme in an outlying district of China’s capital to boost home sales, further signalling a willingness to ease and refine policies to aid recovery of the nation’s property market. The “one district, one policy” proposal by the Beijing Municipal Commission of Housing and Urban-Rural Development aims to assist families with multiple children and those working in the southwestern district of Fangshan to buy homes there, according to a... https://www.scmp.com/business/article/3216785/local-housing-authorities-beijing-propose-one-district-one-policy-spur-property-sales?utm_source=rss_feed https://www.scmp.com/business/article/3216785/local-housing-authorities-beijing-propose-one-district-one-policy-spur-property-sales?utm_source=rss_feed Wed, 12 Apr 2023 08:00:43 +0000