Some interesting Reads I did this week;
Via Money Morning: China’s Real Estate Blindside could turn into a Real Buying and investment opportunity.
I usually do not follow outside opinions, because for china, looking at news, and research is basically useless.
It’s like reading the bible for a description of the universe (nothing against the bible, meaning you can’t get real facts about the other out of it), but this article seems well thought through.
Via Zerohedge: China Trade Surplus Unexpectedly Rises As Non-EU/US Imports Spike; Crude Imports Relentless
Via Shanghaiist: Canadian Housing Scammer Ryan Fedoruk’s exposed, but not caught.
Via WSJ: Chinese Real Estate Tycoon Sells Gold buys property
now this kid’s got balls.
Via Wall St. Pit: Is it going to be the Year of the Bull (Rogers) or the Bear (Chanos)
rooting for neither! I’m a rabbit!
Filed under: China Real Estate, International News, Market News, Shanghai Real Estate News | Economy, News, Property, Real Estate|No Comments
Midnight rambling about what’s been keeping me up.
So there is this thing going on these days, I’ve been in between a quite famous shanghai landmark sale for weeks, and could never really quite figure out why nobody else snatched it up before.
My client and I have been negotiating, and reading the financials, and in the end we figured it’s quite the deal we got on our hands.
Then, when something is to good to be true, you’ll find the catch, the Buildings lease (”ownership”) expires in 7 years.
A friend of mine pointed out that they’re selling because the government won’t renew the “ownership”.
I researched, and this rumor has been going around, and there might be something to it.
This brings me to question once again, one of Shanghai Real Estates biggest question marks.
What happens if the 70/50/30 year period on the ownerships expire?
Most people always assume there will be some kind of heavy tax you’ll have to pay, but it was always far out, and we all considered the possibility of the government taking back the property and the land it owns.
Yet, it was a long shot, considering the kind of fire that could trigger, think about it, it takes longer than 30/50/70 years for those properties to pay off (without capital appreciation).
Up until now, the city reclaimed property by negotiating a deal, and paying the “owners”.
I’m curious to see how this problem will solve, my client has already backed out, and it seems like the sale is in full process with three negotiating buyers.
In general, I would imagine the real estate bureau in shanghai blocking a deal on the property that is to be reclaimed.
Yet the seller would know this, and the banks in charge of the lending would have told us.
Funny world Shanghai, the thriller has yet to unfold it’s last act.
Filed under: Rumors, Shanghai Real Estate News | Funny, Property, Shanghai Real Estate, Taxes|No Comments
Channel 1 Mall Shanghai
Blackstone the “glamorous” american buyout firm is selling it’s Channel 1 Mall on Changshou Lu (Shanghai Reailway Station) for 1.46 Billion Rmb to New World Developement (you know the ones that are responsible for that k11 damage done to Huaihai Road, at least this time they’re not hitting prime location in Shanghai).
Blackstone bought the Mall a couple of years ago for 1 Billion RMB from a Hongkong Investment firm when still vacant, it has succesfully transformed it and upgraded it to about 95 percent tenancy ship.
Funny, Blackstone is also actively seeking 5 Billion for it’s China Buyout fund, seen better deals eh?
Oh, and just btw, Greece Default set?
Prepared?
Filed under: China Real Estate, Developements, Economy, Land Sales, Shanghai Real Estate News | Blackstone, Mall, New World, Property, Shanghai Real Estate|No Comments
Thank you everyone for checking out our new web-presence at SHRealEstate.com.
Shanghai Real Estate is going to be a blog about, well, obviously; the Shanghai Real Estate Market, it’s current situation, it’s newest trends and tips from experts and already Shanghai Homeowners.
We will publish quarterly statistics, of asking prices, and sales price. (Asking prices are more likely to be an indicator of market confidence as the final sales price is hard to determine because of tax strategies.)
Urban Planning News, Shanghai’s 20 new Metro Lines, New Developements, the expo Parks and demographic trends。
（below are the price changes from the last two weeks downtown) the average prices has taken a small dip from an average of 31850 to about 31620 Rmb / sqm.)
Shanghai Real Estate will features guest columns from Real Estate Investors, Contractors, Economists and outside views since foreign investment is an important driver of Shanghai’s internal economy.
I of course hope that there will be many interesting unexpected news to write about and am looking forward to hear about your experiences in buying, renovating, and investing.
We’ll feature a few of our own Shanghai Place properties to show you the best of the best in the SH Market Place.
In the tumult, with Shanghai and Shenzhen’s Stock indexe’s loosing more than 60% of it’s value in a year, the american financial crisis just unfolding, the u.s. housing markets further falling, china’s exports slumping, the yuan rising,
We want to make the site as useful as possible to you, so we really want to encourage YOU to make suggestions on topics and news to cover.
Shanghai’s House Sale Transaction Volume has fallen more than 44% outside the outer ring road and 22% within the inner ring road.
Developer’s are adjusting prices, most notably Hutchison’s hot “Maison de Artistes” in Gubei, which quoted prices 10% less from it’s originally intendet prices.
Filed under: General News, Market News, Shanghai Real Estate News | Market News, Property, SH Housing, Shanghai Real Estate|No Comments
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