"China Real Estate Report Q3 2011" is now available at Fast Market Research

June 23, 2011 - PRLog -- There is increasing activity and optimism in China's commercial real estate sector. The market is generally headed for a period of rising rentals and prices across the board, especially in the office sector.

The office sector has seen increasing occupied space and net absorption, resulting from growing demand and company expansions. Although development has increased, supply has generally been insufficient. Rents are increasing, especially among first-tier cities (including Beijing and Shanghai), with Shanghai office rents growing at the third highest rate in the world.

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Full Report Details at
- http://www.fastmr.com/prod/171466_china_real_estate_report_q3_2011.aspx
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Prime industrial rents in China are on an upward trend, having increased by around 15% year-on-year (yo- y) in 2010. In Shanghai in 2010, the total industrial output increased by 23% y-o-y, driving a huge demand for industrial space. The retail market in most cities is experiencing an influx of high-end international department and specialty stores.

On the whole, the residential market is extremely overvalued, and price declines are expected into the medium term. Prices are beginning to soften, as higher consumer price inflation, property cooling measures and monetary tightening measures bite. China's average home sales value declined 21% monthon- month (m-o-m) in April 2011. In March, average prices for new houses fell by 1.8% m-o-m, for the second month in a row and at a faster rate than in February. In February, sales volumes were the lowest recorded since 2009. As expectations of capital gains in the residential property sector evaporate, demand will dry up, forcing prices lower and reducing construction. This, in turn, will deliver a negative shock to related industries, leading to a decline in overall growth.

China's economy has been growing strongly, at one of the highest GDP growth rates in the world. However, there are signs of a slowdown in economic activity. Despite the solid trade figures, total retail sales and total industrial production growth are slowing, and money supply growth continues to fall. However, we still predict real GDP growth of 8.3% y-o-y for 2011.

The most important sector for Chinese economic growth is construction, and in particular construction of residential real estate. The construction sector is expected to slow in the next few years from its high growth rates, which were largely due to stimulus spending. As property cooling measures begin to take effect, residential construction especially is predicted to slow markedly. However, after overtaking the US as the world's largest construction market in 2010, China is still expected to have the world's largest construction sector through to at least 2015.

Report Table of Contents:

SWOT Analysis
- China Real Estate/Construction SWOT
- China Economic SWOT
- China Business Environment SWOT
Real Estate Market Overview
- Office Sector
- Industrial Sector
- Retail Sector
- Residential Sector
- Real Estate Market Analysis
- Table: China's Real Estate Market - Historic Rents, 2009 And 2010 (m2/month, US$)
- Table: China's Real Estate Market - Net Yield, 2010 And 2011 (%)
- Table: China's Real Estate Market - Terms Of Rental Contract/Lease, Mid-2010
- Table: China's Real Estate Market - Available And Vacant Space, Mid-2010 (m2)
Industry Forecast Scenario
- Office Sector
- Retail Sector
- Industrial Sector
- Residential Sector
- Table: China's Real Estate Market - Rentals, 2010-2012 (m2/month, US$)
- Table: China's Real Estate Market - Forecast Net Yield, 2008-2015 (%)
- Construction Industry Overview
- Table: China Construction And Infrastructure Industry Data, 2007-2015
- Table: China Construction And Infrastructure Industry Data, 2012-2020
- Macroeconomic Outlook
- Table: China - Economic Activity, 2008-2015
Business Environment
- Real Estate/Construction Business Environment Ratings
- Table: Asia Real Estate/Construction Business Environment Ratings
- China's Business Environment
- Table: BMI Business And Operation Risk Ratings
- Table: BMI Legal Framework Rating
- Table: Labour Force Quality
- Table: Asia, Annual FDI Inflows
- Table: Trade And Investment Ratings
- Table: China Top Export Destinations, 2001-2008 (US$mn)
Competitive Landscape
Company Profiles
- China Merchants Group/ China Merchants Property Development (CMPD)
- China Vanke
- Gemdale Corporation
- Poly Real Estate Group
- Shanghai Industrial Development
- Shanghai Lujiazui Finance & Trade Zone
- Shanghai New Huangpu Real Estate
- Shanghai Wanye
- Shimao Property Holdings
BMI Methodology
- How We Generate Our Industry Forecasts
- Construction Industry
- Bank Lending
- Real Estate/Construction Business Environment Rating
- Table: Weighting Of Indicators
- Project Finance Ratings Indicators
- Table: Design And Construction Phase
- Table: Commissioning And Operating Phase - Commercial Construction
- Table: Commissioning And Operating Phase - Energy And Utilities
- Table: Commissioning And Operating Phase - Transport
- Sources

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Fast Market Research is an online aggregator and distributor of market research and business information. We represent the world's top research publishers and analysts and provide quick and easy access to the best competitive intelligence available.