Real Estate "Froth" In Hong Kong & China

"Reassuring" that i havn´t read of any new Ghost Towns (at least for today.......UPDATE: I was WRONG....;-) For more on the "China Syndrome" see here, here , here & here.....

Immerhin ( zumindest heute....UPDATE: Zu früh gefreut... ) keine Meldungen über neue Ghost Towns .... ;-) Mehr zum immer ernster werdenden "China Syndrome" gibt es hier, hier , hier & hier.....



Sun Hung Kai sales yield $541 mln over weekend MW

Sun Hung Kai Properties Ltd. (0016.HK) said Monday it sold 900 flats over the weekend at Yoho Midtown, a residential project in New Territories West, for HK$4.2 billion (US$541 million).

The company sold the units at the project in Yuen Long for an average of HK$5,400 per square foot, project director Amy Teo said.

About 40 units were immediately advertised for sale on the secondary market at a premium of up to 20%, the South China Morning Post newspaper reported Monday, citing property agents.

Yoho Midtown is Hong Kong's biggest housing project to go on sale so far this year. It has eight towers containing 1,890 units ranging in size from 400 to 1,400 square feet

China's building bubble about to burst The Star

Frenzied developers with access to cheap money are creating a glut of premium office space and luxury apartments, priced at about 80 times the average income of the city's residents.

Prospective middle-class homeowners, in panic-buying mode, are snapping up two properties at once, hoping to flip the second one to finance the first. Civic officials are encouraging the building boom.

The sale of vacant lots bolster their municipal coffers

The disturbing phenomenon extends beyond Beijing, where housing prices are far higher than in Dubai's overbuilt property market before that red-hot Persian Gulf economy imploded last year. In December alone, Chinese housing prices rose almost 8 per cent in 70 major Chinese cities, while housing starts leapt by 34 per cent nationwide.

China New Village Makes Chanos See Dubai 1,000 Times Bloomberg

The township of Huaxi in the Yangtze River Delta is a proud symbol of how Chinese communists embraced capitalism to lift 300 million people out of poverty during the past three decades.

Its leaders took a farm community with bamboo huts and ox carts in the 1970s and transformed it into an industrial and commercial powerhouse where today many of its 30,000 residents live in mansions and most have a car. Per-capita income of 80,000 yuan ($11,700) -- almost four times the national average -- allows Huaxi to claim it’s China’s richest village.

Huaxi is also emblematic of the country’s construction and real estate boom. Communist Party officials there are building one of the world’s 30 tallest buildings, a 2.5 billion yuan, 328-meter (1,076-foot) tower(Photo Tower ). The revolving restaurant atop the so-called New Village in the Sky offers sweeping views of paddy fields, fish ponds and orchards, Bloomberg Markets reports in its April issue.

Huaxi has an even more ambitious project coming up: a 6 billion yuan, 538-meter skyscraper that would today rank as the world’s second tallest. The only loftier building is the new Burj Khalifa in Dubai.

If the local government in Huaxi really start the "Babel Project" even the biggest "fan" must admit that Beijing has lost control over the provinces....

Sollte der "Tumbau zu Babel" von der lokalen Regierung tatsächlich vorangetrieben werden muß wohl auch der letzte "Bewunderer" eingestehen das Peking schon längere Zeit die Kontrolle über die Provinzfürsten verloren hat.....

UPDATE:

China regulators halt credit to local-government funds MW

China's banking regulator has ordered lenders to stop granting loans to investment vehicles backed by local governments, the latest move to tighten credit standards amid mounting concerns of bad loans down the road, according to a state-media report Wednesday.

Banks have also been ordered to review existing loans used to finance projects backed by local governments, the report said.