Shantou Property Express (I)
Since the opening of the high-speed rail last September, it has become more convenient to travel to and from Hong Kong. Along the high-speed railway, Chaoshan Station is located in Shaxi town, Chao'an district, in Chaozhou city within the Guangdong province. It also sits in the geographic centre of Chaozhou, Shantou and Jieyang. Additionally, Chaoshan is one of the major stations along the Xiamen-shenzhen Railway, connects to the Meilong Passenger Dedicated Line, is adjacent to the Chaozhou electric multiple unit inspection and maintenance station and is connected to the Xiamen-shenzhen Railway Shantou Link, about 28 kilometres from downtown Shantou. With Shantou's continuous reform and progress, the city's real estate development has begun to attract much attention.
According to data from the Municipal Bureau of Statistics, Shantou city's economy in the first four months of this year has maintained a steady growth. Among the macro-economic data, fixed-asset investment is the most eye catching. Its year-on-year growth was stable in the double digits at 11.5%, up 0.3 percentage points from the previous year-to-date data, or down 5.8 percentage points year-on-year. Its infrastructure investment increased by 59.5%; state-owned economic investment increased by 44.4%; Hong Kong, Macau and Taiwan and foreign investment increased by 66.7%; and real estate development investment declined 2.5%. The city's consumer price index has experienced a moderate increase of 1.8% yearon-year, 0.2 percentage points lower than the same period last year.
The Jinping West district of Shantou city has just seen a land plot for sale only for residential development in June 2019. The land plot is in the southern part of the Jinfeng peninsula in Shantou's Jinping West district. It covers an area measuring 137,300 square metres and has a construction area of 443,900 square metres. The local auction attracted eight real estate companies, namely Poly, Country Garden, Longguang, Jinmao, Aoyuan, Ping An, China Merchants and China Overseas. This plot was eventually acquired by Guangzhou Shunmao Real Estate Development (Jinmao) for a price of RMB 2.656 billion. The transacted floor price was approximately RMB 6,237 per square metre, and the total floor price was approximately RMB 5,983 per square metre, representing a high land premium of 82%.
Stay tuned for the next issue as we continue to track the sales performance of this new property in Shantou and the development of the city's main infrastructure.