China - Commercial Real Estate & REITs

[behappyalways]

"Tsunami Of New Supply": China Slumping Office Rental Market Faces Historic Crisis
https://www.zerohedge.com/commodities/t ... ric-crisis

[winston]

China’s office market to see slow recovery in 2023 after slumping to 14-year low last year, as Beijing eases tech crackdown, analysts say

Several big firms have been adjusting their budgets and goals, which will lead to an expansion in businesses and workforce, resulting in an increase in demand and leasing volume, JLL executive says

Forecast comes after an almost 69 per cent decline in the overall net absorption volume for offices in 18 major Chinese cities last year

by Yulu Ao

Source: SCMP

https://www.scmp.com/business/china-bus ... eases-tech

[behappyalways]

The world's tallest unfinished building is in Tianjin.
The Japanese media directly hit the shutdown for 8 years without a solution!

世界最高爛尾樓在天津 日媒直擊停工8年無解! 專家唱衰中國房市"徹底滅絕的狀態"｜非凡財經新聞｜20230816

https://m.youtube.com/watch?v=QfQAn2Hbj1w

[winston]

A US$100bil bet sours as warehouses stay empty

Average vacancy rates at logistics properties in east and north China are approaching 20%, the highest in years, according to real estate consultancies.

More warehouses are being built, which is making the problem worse.

Source: The Star

https://www.thestar.com.my/business/bus ... stay-empty

[behappyalways]

Investments in China's Commercial Real Estate continues to decline
https://x.com/AyeshaTariq/status/1806011336301638063

[behappyalways]

In Shenzhen, Colliers put its prime office vacancy rate at 27% in June, up from 20% in June 2022. Monthly rental prices at premium offices in the southern Chinese city are now about Rmb163 ($22) per sq metres, down 15% year on year, and expected to keep declining at this pace for the foreseeable future. This matches the trend seen by Knight Frank and JLL.

The three agencies have recorded similar vacancy rises in other cities. Shanghai had a vacancy rate of nearly 21% for its high-end offices as of June, up from 14% in June two years ago, according to Knight Frank. Rental prices have slipped 13% year on year, the agency’s data showed. JLL puts manufacturing hub Guangzhou’s prime office vacancy at 21% as of June and 12% for Beijing, up from 16 and 10% in 2022, respectively.

Chinese Offices Emptier Now Than During Peak Of Covid Lockdowns As Economy Crumbles
https://www.zerohedge.com/markets/chine ... y-crumbles

[winston]

Empty shops, falling rents: commercial property takes a hit in China retail slump

by Cao Li

China’s shop rents have slid back to 2018 levels as subdued consumer spending continues to weigh on the retail sector, with analysts expecting the pressure to persist for another one to two years.

In the second half of 2025, average rents across 100 major commercial streets in 15 key mainland cities fell to 24 yuan (US$3.50) per square metre per day — the lowest level since the second half of 2018 — according to a report published on Monday by independent real estate research firm China Index Academy.

The pace of decline accelerated compared with the first half of the year, with rents slipping 0.8 per cent for 2025 overall, a steeper fall than in 2024.

Source: SCMP

https://www.scmp.com/business/article/3 ... pe=section