reportsSales of Chinese Promoters Drop in 2022

Chinese Real Estate Developers Suffer Major Drop in Sales for Year 2022

The Yicai economic news portal revealed that 95% of Chinese real estate developers that published data for year 2022 experienced a drop in sales compared to 2021. 45 out of 47 promoters saw a negative evolution, with 25 selling less than half what they sold in 2021.

Groups such as Poly Developments & Holdings, experienced a 14.5% drop in sales, while Country Garden and Vanke both dropped 30%. On the other hand, firms like Sunac (-71.7%) and R&F Properties (-68%) were even more affected, following Beijing government’s decision in 2020 to restrict access to financing for more indebted developers.

Official data published yesterday further underled this trend, as real estate sales measured by area fell 24.3%, while investment fell 10%, the first time this happened since the recording of historical data started in 1999.

The review done by Yicai confirms the difficult situation in which the Chinese real estate sector finds itself due to Beijing’s imposed restrictions, which have been in place since last year.

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