The recent macro-control policies implemented in the property sector by the central government have not deterred the enthusiasm of Hong Kong-listed real estate companies toward entering China's mainland market.

In the newly-released land tax policy, real estate developers will be levied with a value-added tax on land, between 30 to 60 percent of any net gain from a property deal. The move was the latest effort by the central government to cool the country's red-hot property market.

Despite such a policy, Hong Kong real estate developers were still keen to invest in mainland property .A third of Hong Kong developers surveyed saw a prospective market future in China's property sector and they would increase their investment this year, with residential market the focus.

Real estate is a major contributor to both the Hong Kong capital market and the mainland's fixed asset market. More than a third of the developers surveyed had a positive attitude towards the potential of the mainland property market, and were planning to invest more than 100 million yuan (US$12.8 million) each.

Over 60 percent of those surveyed said they would invest in first-tier cities such as Shanghai, Beijing and Shenzhen. However, nearly 44 percent believed there were more opportunities in northern China, due to its convenient coastal location and relatively low cost in property management.

Source:未知