Experts Optimistic about Chengdu’s Real Estate Market in 2018

Authors： Jay Liu/ Photographer: Peng Ge

In 2017, Chengdu rolled out a series of positive and innovative policies on its economic and social development, involving such areas as industrial growth, brain gain, ecological construction, and betterment of living environment, etc.

Optimistic effects brought about by the measures have drawn ever increasing attention to its real-estate market, and more and more people from home and abroad come here to live, invest and start business.

So, how did Chengdu's real estate market develop last year in experts' perspectives? On January 9, Savills Property Services, one of the world's big five real property management and consulting services providers, released a report on Chengdu's real estate market in 2017 and prospect of the sector in 2018 through its Chengdu branch.

The city is embracing lots of opportunities after it convened several important conferences focusing on its ambitious plans to become a national central city and development in the new economy, and it launched unprecedented policies to introduce talented people in 2017."In terms of its infrastructure construction and opening-up to the outside world, I believe Chengdu tops any other cities in inland China," said Eric Wo, Managing Director of Savills Property Services (Chengdu) Co., Ltd, at the release ceremony for the report. As an experienced expert in the real estate industry who has lived and worked in Chengdu for over 11 years, Eric is very glad to see the fast economic and social development here, and shows strong belief in the future growth of the Chengdu-Chongqing Economic Belt. "The Belt will definitely be the fourth powerhouse to propel China's economic growth, after the Beijing-Tianjin-Hebei, Yangtze River Delta and Pearl River Delta economic belts."

Last year, Chengdu's real estate market maintained a stable growth in the sales of commodity housing, 5A office buildings and business shops. In terms of the sales of business shops and retail property market, a lot of international brands entered Chengdu in 2017, and gave high recognition to the local market, and the emerging community business model injected strong vigor into the diversification of local retail property market. The market of 5A office building market played an active role in the past year, with a large sales volume and the lowest vacancy rate in the past five years. Powered by Chengdu's strongest ever efforts to build itself into a national central city and the consecutive launch of policies focusing on industrial updating, the 5A office building market in Chengdu hit 384,000 m2 in 2017, increasing 44.6% over 2016 and topping all second-tier cities in the country. And along with the Chinese national government putting forward that housing is for living, not for speculation, the local house leasing market is now on the rise.

When asked his expectation of Chengdu's housing market in 2018, Eric said with strong belief, "The 'Belt & Road' Initiative is key to the economic and social development of central and western China, and the newly-open Xi'an-Chengdu express rail service connects Chengdu, Xi'an and Chongqing, three major cities in western China, more closely. It is widely believed that Chengdu's favorable housing policies will give a strong spur to its housing market and make it develop more rationally and soundly."