The Olympic Games: Good news for Chinese property investors?

A new report has shown that there are many opportunities for property developers and investors in China thanks to the Olympic Games. Consultants Jones Lang LaSalle have produced a report entitled ‘The Greatest Olympic Legacy’ and they state that China’s capital, Beijing, as undergone a rebirth with major investment happening in transport and infrastructure, retail, residential and commercial property.

The investment is good not just for the Games, but also for China’s future – the new underground lines coupled with all the new developments means that there are now huge residential opportunities throughout the country. The expanding infrastructure means that commercial hubs throughout the country are ever more accessible and this is opening up new land for residential development.

Despite this, caution is urged. Beijing’s property price history looks tempting – property prices in Beijing are said to be up by around 115% percent since 2004, with an 11 percent increase in 2007 alone. However property prices are down around 3 percent this year, and when the Games finish and focus switches away from the country, property price growth is not expected to continue on a strong upward trend.

It’s not all doom and gloom – picking the right property will still see price growth and good rental yields, however the overall market is not expected to boom. It is believed by many that Beijing’s property market has already experienced it’s peak with many property investors having already turned their focus away from the country and towards the new property hot spots.

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  1. ooopinionsss | Dec 3, 2008 | Reply

    How you think when the economic crisis will end? I wish to make statistics of independent opinions!

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