The Global Research Center of CB Richard Ellis, a global real estate investment firm, issued an investigation report Tuesday on foreign institutions' investment on Chinese property market.

The report shows that during the first half of the year, foreign investment continued to flow into Chinese property market. From January to June, the amount of foreign capital in Chinese property market reached 1.44 billion US dollars, 15% more than the total amount of foreign investment for the whole year of 2005. Of all the foreign capital put channelled into Chinese property market, those from the North American region account for half of the total.

The statistics in the report are only related with whole building purchase and do not include land lot purchase and projects still in preparation. The capital source figure shows that most of the investment comes from North America or North Asia. Last year, the proportions of capital from these two regions accounted for 43% and 1%, respectively, of the total capital. However, during the first half of this year, their proportions had already climbed to 51% and 24%, respectively. Meanwhile, capital from Southeast Asian region declined from 36% last year to 19% in the first half of this year.

Beijing and Shanghai are still the two most popular cities for foreign investors to make their investment. During the first half of this year, a total of 1.36 billion US dollars of foreign capital was put into buying entire buildings in China. Of these, 705 million US dollars, or 49% of the total capital, were invested in Beijing, and 656 million US dollars of capital (45%) in Shanghai. 5% of the capital went to Guangzhou, ranking it third among all Chinese cities. Foreign investment in other cities accounted for only 1% of the total.

The report also indicates that luxury apartments have become the favorite investing product among foreign investors this year, as statistics show that the proportion put into luxury apartments rose from 7% last year to 36% in the first six months of this year.

Source:佚名