Welcome!

News Feed Item

Townization Benefiting Real Estate Industry, Wanke and Evergrande Gaining Initiative

BEIJING, Jan. 13, 2013 /PRNewswire/ -- China's real estate market is recovering gradually as the new townization, which is called "the greatest development potential of China in the forthcoming decades" by the Central Government, has been elevated to a national strategy. Faced with the development opportunity brought by the new policy of townization, Chinese real estate enterprises are exploring ways of winning out on the market and leading the industry.  

Relevant statistics show that, in the upcoming 10 years, China's new demand for residences (including indemnificatory apartments) is about 15.7 billion m2, including over 5 billion m2 to meet the demand of first-time home buyers in the newly increased urban population and the home improvement demand of existing population and nearly 6 billion m2 to meet the demand of old housing replacement and upgrading. The progress of the townization process will provide a broad development space for the future residential market.

This means that, under the general trend of new townization, the growth of China's real estate demand will be the fastest around the world in the future ten years and rigid demand will become the primary drive. 

Currently, the market demand of tier-3 cities has yet to be fully tapped and these cities will be the "major battlefield" of real estate markets. According to Mr. Li Zhong, General Manager of Regal Lloyds International Real Estate Consultants Co. Ltd., as the conflict between population and resources gets more prominent continuously in the extra-large cities represented by Beijing, Shanghai, Guangzhou and Shenzhen and the growth of urban population has begun to hit the ceiling, townization that features "sporadic development" will bring the continuous increase of urban population and the concomitant demand for housing improvement.

The word "sporadic" here means provincial capital cities like Kunming, Fuzhou and Hefei and the fairly developed tier-3 cities like Jiaxing and Shaoxing. Under the development mode of new townization, the demand for improvement of residential conditions unleashed during the townization in a large number of central cities not in a traditional sense is identified as the new performance growth powerhouse of real estate enterprises.

The large real estate enterprises are cutting up the "big cake" of tier-3 market. Among them, Wanke, Merchant Property and Evergrande may become the biggest beneficiary of the new townization policy thanks to advanced layout. Data show that Wanke has increased its land projects by 23 since Q3 last year, which occupy about 1.48 million m2 of land according to the calculation based on equity and are mostly located in tier-3 cities, including Xuzhou, Guiyang and Putian. In the first 3 quarters of 2012, Merchant Property obtained 970,000m2 of land, a sharp rise from the same period of the previous year, which is mostly concentrated in tier-2, tier-3 and even tier-4 cities.

The performance of Evergrande is eye-catching. As a real estate enterprise of China that is the earliest to implement a strategy for tier-2 and tier-3 cities, Evergrande now has the widest layout in tier-3 cities. This strategy has enabled it to take a leading position on the market immediately when the implementation of the new townization policy started. In 2012, its sales increased by 14.8% to 92.32 billion yuan, 98% of which was sourced from the projects in tier-2 and tier-3 cities, obviously benefiting from the new townization policy. Recently, Bank of America Merrill Lynch noted that Evergrande would remain the biggest beneficiary of urbanization in 2013 and expected that its sales under contract would increase by 20% in 2013 to 110 billion yuan, thus maintaining its "buy" rating and raising its target price from 4 HKD to 5.75 HKD.

SOURCE Sina Leju

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
In the first article of this three-part series on hybrid cloud security, we discussed the Shared Responsibility Model and examined how the most common attack strategies persist, are amplified, or are mitigated as assets move from data centers to the cloud. Today, we’ll look at some of the unique security challenges that are introduced by public cloud environments. While cloud computing delivers many operational, cost-saving and security benefits, it takes place in a public, shared and on-demand ...
In his session at @ThingsExpo, Sudarshan Krishnamurthi, a Senior Manager, Business Strategy, at Cisco Systems, will discuss how IT and operational technology (OT) work together, as opposed to being in separate siloes as once was traditional. Attendees will learn how to fully leverage the power of IoT in their organization by bringing the two sides together and bridging the communication gap. He will also look at what good leadership must entail in order to accomplish this, and how IT managers ca...
In his keynote at @ThingsExpo, Chris Matthieu, Director of IoT Engineering at Citrix and co-founder and CTO of Octoblu, focused on building an IoT platform and company. He provided a behind-the-scenes look at Octoblu’s platform, business, and pivots along the way (including the Citrix acquisition of Octoblu).
SYS-CON Events announced today that CA Technologies has been named “Platinum Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY, and the 21st International Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. CA Technologies helps customers succeed in a future where every business – from apparel to energy – is being rewritten by software. From ...
SYS-CON Events announced today that Outlyer, a monitoring service for DevOps and operations teams, has been named “Bronze Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Outlyer is a monitoring service for DevOps and Operations teams running Cloud, SaaS, Microservices and IoT deployments. Designed for today's dynamic environments that need beyond cloud-scale monitoring, we make monitoring effortless so you...
DevOps is being widely accepted (if not fully adopted) as essential in enterprise IT. But as Enterprise DevOps gains maturity, expands scope, and increases velocity, the need for data-driven decisions across teams becomes more acute. DevOps teams in any modern business must wrangle the ‘digital exhaust’ from the delivery toolchain, "pervasive" and "cognitive" computing, APIs and services, mobile devices and applications, the Internet of Things, and now even blockchain. In this power panel at @...
Cloud Expo, Inc. has announced today that Andi Mann and Aruna Ravichandran have been named Co-Chairs of @DevOpsSummit at Cloud Expo 2017. The @DevOpsSummit at Cloud Expo New York will take place on June 6-8, 2017, at the Javits Center in New York City, New York, and @DevOpsSummit at Cloud Expo Silicon Valley will take place Oct. 31-Nov. 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA.
In his session at @ThingsExpo, Steve Wilkes, CTO and founder of Striim, will delve into four enterprise-scale, business-critical case studies where streaming analytics serves as the key to enabling real-time data integration and right-time insights in hybrid cloud, IoT, and fog computing environments. As part of this discussion, he will also present a demo based on its partnership with Fujitsu, highlighting their technologies in a healthcare IoT use-case. The demo showcases the tracking of pati...
With 10 simultaneous tracks, keynotes, general sessions and targeted breakout classes, Cloud Expo and @ThingsExpo are two of the most important technology events of the year. Since its launch over eight years ago, Cloud Expo and @ThingsExpo have presented a rock star faculty as well as showcased hundreds of sponsors and exhibitors! In this blog post, I provide 7 tips on how, as part of our world-class faculty, you can deliver one of the most popular sessions at our events. But before reading the...
In his keynote at 18th Cloud Expo, Andrew Keys, Co-Founder of ConsenSys Enterprise, provided an overview of the evolution of the Internet and the Database and the future of their combination – the Blockchain. Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life settle...
A strange thing is happening along the way to the Internet of Things, namely far too many devices to work with and manage. It has become clear that we'll need much higher efficiency user experiences that can allow us to more easily and scalably work with the thousands of devices that will soon be in each of our lives. Enter the conversational interface revolution, combining bots we can literally talk with, gesture to, and even direct with our thoughts, with embedded artificial intelligence, whic...
SYS-CON Events announced today that Cloud Academy will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Cloud Academy is the industry’s most innovative, vendor-neutral cloud technology training platform. Cloud Academy provides continuous learning solutions for individuals and enterprise teams for Amazon Web Services, Microsoft Azure, Google Cloud Platform, and the most popular cloud computing technologies. Ge...
The best way to leverage your Cloud Expo presence as a sponsor and exhibitor is to plan your news announcements around our events. The press covering Cloud Expo and @ThingsExpo will have access to these releases and will amplify your news announcements. More than two dozen Cloud companies either set deals at our shows or have announced their mergers and acquisitions at Cloud Expo. Product announcements during our show provide your company with the most reach through our targeted audiences.
DevOps is being widely accepted (if not fully adopted) as essential in enterprise IT. But as Enterprise DevOps gains maturity, expands scope, and increases velocity, the need for data-driven decisions across teams becomes more acute. DevOps teams in any modern business must wrangle the ‘digital exhaust’ from the delivery toolchain, "pervasive" and "cognitive" computing, APIs and services, mobile devices and applications, the Internet of Things, and now even blockchain.
WebRTC is the future of browser-to-browser communications, and continues to make inroads into the traditional, difficult, plug-in web communications world. The 6th WebRTC Summit continues our tradition of delivering the latest and greatest presentations within the world of WebRTC. Topics include voice calling, video chat, P2P file sharing, and use cases that have already leveraged the power and convenience of WebRTC.