ULI Mainland China Real Estate Markets

2013 Executive SummaryMainland China 2013 Survey Cover

Mainland China Real Estate Markets 2013: ULI Analysis of City Investment Prospects—the third such annual survey conducted by the Urban Land Institute (ULI)—reports on real estate development and investment prospects in 36 of the largest Mainland China cities and related issues, as evaluated by real estate industry leaders active in Mainland China

Investment and Development Prospects

The 2013 ULI Mainland China cities survey revealed that respondents were decidedly more upbeat with respect to prospects for China’s real estate markets than they were at the beginning of last year:

  • Investment rating scores for this year’s four top-ranked cities—Shanghai, Suzhou, Beijing, and Wuhan, in descending order—are all higher than the investment rating awarded to top-ranked Chengdu in 2012.
  • The development rating for Shanghai—this year’s top-rated city for development—is also higher than the development score of top-rated Chengdu in 2012. Development ratings for Suzhou and Guangzhou—the second- and third-rated cities for development prospects this year, respectively—exceed all 2012 development scores, save Chengdu’s.

”"Shanghai—China’s most populated city—moved up to first place for both investment and development prospects after being second in both to Chengdu for the last two years. Shanghai is viewed as one of the two most mature, deepest, and most liquid markets in China, strong in all sectors. The maturity of Shanghai as a real estate market is reflected by the fact that the city’s residential prices—while clearly still on an upward trend overall—are among the less volatile.

Suzhou saw a jump in its investment rating score that brought its ranking up a dramatic 11 places—from 13th to second place for investment prospects. The jump in its development rating score brought it up 12 places—from 14th to second place for development prospects. Suzhou is Shanghai’s largest industrial satellite with a substantial concentration of high-tech manufacturing and a vibrant, expanding city in its own right.