Date
26 September 2017

Beijing land prices show polarization trend, paper says

China Railway Construction Corp. (CRCC) (01186.HK, 601186.CN) secured on Wednesday a land plot in Beijing’s Daxing district for 2.645 billion yuan (US$425.916 million), reaching the ceiling bid price set by authorities and way above the starting bid price of 1.775 billion yuan, the National Business Daily reported Thursday. However, Zhonghong Holding Co. Ltd. (000979.CN) won a site in the city’s Pinggu district for 827 million yuan, representing a premium of just 1.4 percent, it said. Centanet Beijing analyst Zhang Dawei was quoted as saying that price polarization will continue in Beijing’s land auction market, with sites near the city center to remain hotly sought after, while prices of sites at farther locations are set to plunge. Land plots sold in Beijing fetched more than 70 billion yuan in total in year to date, compared with 48 billion yuan in the first quarter of 2013, the report said.

– Contact HKEJ at [email protected]

EL/AC/RC

 

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