Chillin' out till it needs to be funded
I am just 5-10 articles old on the subject. Honestly., i would love the money to travel and spend on hotels and travel thru even if it is not Shanghai or even Dalian but a village in Chaoyang in China. My Asian heritage does give me some understanding of where the Chinese are going with this discussion on land price and real estate bubbles. A couple of articles in the China Daily form a basis of a trend being discussed here that is the basis of so much noise about China.
TO start with, it is obvious that the target in China is not the entrepreneur but the salaried middle “kingdom’ that is pressured by mores to find a girl and settle down for males and likewise find a landed rich suitor for any 20 something in young China. The target of real estate satraps and banks that want their loan book to remain healthy for the additional 7.5 trillion Yuan they have to lend in 2010 ( They would have lent more than half of it by now, but we know the rest..) It does seem strange that the media is already discussing multiple home owners irrespective of their job at work and that the number of such rich has dramatically increased in China. To quote the China daily:
Buyers in Beijing who set their sights on apartments before the Lunar New Year found that the same properties were out of their budget after the celebrations. This, in turn, has driven a frantic rush to seal the housing deal.
There is a lot of interesting statistics around the Chinese obsession for Real Estate. A 2009 national survey indicated 96.9% Chinese would refuse to consider marrying with out a house in tow. 80% already own houses and only 20% rent and Wealthy Chinese snap up properties as if they are buying stocks or making savings deposits because “Renting isn’t stable” ( Source: China Daily)
On the other side, as we came back after a break, ( yes this is potentially a video script to beat all triad stories, please donate to the worthy cause to travel to China) the administration is swift and the scale of work before them huge. Sample this. When Chaoyang District started a Land reserve initiative in its rural district last year for a Financial Services Park amongst others, they planned a freeing up of 26 sq km or 2600 HA of land. Well, other plains in India and Asi, even Europe may find the number not so nonchalant for one Urban Development project or SEZ or any other project. This bigger super sized canvas is what makes the Chinese dream long lasting and a sight to behold. They have completed Urban City projects in three months after acquisition though land acquisition has now become a thorny issue for them with the Chaoyang in question becoming unpalatable for Changdian village users at 1.6 million yuan a house ( 2400 sft) as it would not buy him a replacement house for the 239K USD. 43 villages will be demolished for the new Financial Services Park to be built in the Jinzhan township.
A third phenomenon which could see a boom in Chennai (oops, China) is of job hotels as bare one room apartments are made available to potential migrants as more jobs are on offer in the City! All in All the China experience has a lot to offer for learning how to expand quickly and sell for the right price but I am sure twenty somethings elsewhere are happier dating more outgoing fellows not rooted to the land so much..which is you my readership.